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The no votes and the implications
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esayem Offline
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Post: #101
RE: The no votes and the implications
(09-04-2023 12:21 PM)nole Wrote:  
(09-04-2023 12:17 PM)Hokie Mark Wrote:  
(09-04-2023 09:44 AM)JRsec Wrote:  
(09-04-2023 09:27 AM)HtownOrange Wrote:  While you recognize a potential way out, you leave out the simple fact that ESPN, under your scenarios, must pay for FSU twice, both the SEC and the ACC...

Ah, but they don't pay them twice. The replacements are coming in for nothing. All ESPN is doing is honoring the FSU's obligation to the ACC. The money they pay for them in the SEC will make a profit...

JR, the new schools may be getting nothing, but ESPN is paying full price to the ACC for each of them. That's why the schools ultimately voted to add them - for the extra $72 million/year or whatever it comes to. So next year ESPN will pay the ACC for 17 full TV shares, regardless of how those shares will be divided.

Now, if FSU went to the SEC, there are two possibilities:
1) ESPN continues paying as-is, and the ACC essentially pays FSU the same amount of money to play in the SEC and they make in the ACC, with the ACC keeping the rest (and FSU has zero shot at performance-based incentive money, obvjously), OR
2) ESPN pays FSU a full SEC share AND whatever portion of their ACC share was going to go into the incentives pot. It's not their whole share which would be duplicated, but it's not zero, either.

FSU fans are wrong to think they can get out of GoR for Free.
ACC fans are wrong to think they can get a windfall out of FSU.

The truth is somewhere in between - the kind of stuff lawyers make their living on.

Totally agree. Side not: The vast majority of FSU fans don't believe anything is happening "for free"...same for FSU media.

Also don't think ACC is getting extra pots of $$. I believe/hope/think that the ACC will be made 'whole' by getting the payout they were projected to through 2036.

It's not near as aggressive and emotional as many think.

I would say the vast majority of FSU fans have no idea what's going on with conference revenue. Most people get out more.
09-05-2023 07:43 AM
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esayem Offline
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Posts: 16,751
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Post: #102
RE: The no votes and the implications
(09-04-2023 05:11 PM)JRsec Wrote:  
(09-04-2023 04:41 PM)HtownOrange Wrote:  
(09-04-2023 03:26 PM)JRsec Wrote:  
(09-04-2023 03:18 PM)HtownOrange Wrote:  
(09-04-2023 01:36 PM)JRsec Wrote:  For the record way too many people are trying to obfuscate the issue. The contracted amount for 14 full members and Notre Dame as a partial is all that you are legally dealing with as ESPN doesn't owe you anything beyond that amount. It is a clear and definable amount. What the ACC does internally to muddy the waters doesn't change that amount. What FSU does to muddy those waters doesn't change the amount. The amount is a gestalt set by the media rights contract. Only ESPN with the ACC's consent can change that amount. The only unilateral means that ESPN had to change it, the potential loss of members, has been covered by the additions. You are only dealing with the contracted amount where damages are concerned.
The contract amount is now inclusive of the new teams and new money promised by ESPN. Thus, your theory is moot and you have destroyed your own argument.

Your suggestion that the issue would go directly to the Supreme Court is highly unlikely as SCOTUS does not like to hear cases of first impression, which you are trying to make. SCOTUS usually wants fully developed cases with narrow issues to be addressed. SCOTUS is not likely to hear a case such as this as there is no need to do so, there is no Constitutional matter that must be heard that will destroy the country. This is a commercial case, as you have noted, the facts are generally clear and the lower courts are in a position to hear arguments, rule, and the case may then work through appeals. It is more likely that the GOR expires prior to SCOTUS hearing oral arguments on the matter.

As for simply walking away, FSU can walk away but there TV rights remain with the ACCN and ESPN. ESPN cannot simply move FSU’s broadcast/streaming rights to the SEC. That is a material point, one demanded by ESPN for the formation of the ACCN, thus, ESPN is locked into FSU’s rights for use with the ACCN unless FSU buys them back. Further, to do as you suggest is the definition of tortious interference, which then ensures the commerce matter as well as fraud on the parts of ESPN, FSU, and tortious interference by the SEC. I am not saying the ACC will win, but dragging it out in court will cost everyone money and the courts hate fraud, as do juries.

Whomever posted that UT and OU waited out their TV deal is incorrect. UT and OU are leaving one year early and paid 2.1X the annual TV share when they announced. They tried to buy their way out earlier but it was not agreeable to them, the cost was too high.

If it was as simple as you say, it would have been executed several times over by other teams in other leagues.

Further, ESPN has zero incentive to show anyone how the GOR may be broken, if they do GORs are rendered useless going forward.

Thousands of lawyers have concluded the same thing, the GOR stands. Besides, FSU will have enough of an issue to pay the exit fee. Further, their argument about not being able to compete was destroyed last night by handily beating a top ten team, in the SEC no less.

The time will come when it is feasible for FSU to leave. By then, ESPN will have to decide whether it will become the Jefferson Pilot regional broadcaster for the SEC or it stays a national key player. If they want the east coast, they cannot kill off the ACC and a good deal will be proffered. If they can no longer compete with Fox and others, ESPN will take the properties the SEC wants and effectively kill off the ACC.

P.S. Note, Clemson and UNC handled this properly, they were looking at their interests first as all schools should-but they are being mature in their handling of the matter. Personally, I agree that FSU should look out for itself. However, I recognize all of the issues and see no easy, fast, cheap way out. I also think most of FSU and their fans are not the same as the AD, while desiring a better payout, they are not behaving like children.

Your additions at no payout are hardly going to make the point moot. As to how this ends, we will all find out one way or the other in the next 2 years. I'm old, but I'm patient.

ESPN has promised additional monies for accepting the new schools. ESPN MUST pay for FSU in the ACC. Under your scheme, ESPN must also pay for FSU in the SEC. Whether you agree with tis is immaterial.

FSU's rights remain with the ACCN, not the SEC. ESPN has no legal basis for transferring FSU's broadcast and streaming rights to the SEC. Aside from the obvious argument that FSU's rights were granted in exchange for the ACCN, not the SECN, if ESPN were to attempt to do so without ACC (meaning all teams) approval then ESPN is subject to many additional claims.

Again, if it was as easy as the internet mouths claim, it would have been done by OU, UT, USC, UCLA, and several ACC teams. Thousands lf lawyers who make a living researching the law had concluded that the GOR is solid and it is not cost effective to attempt to destroy it. Further, ESPN holds GORs with other conferences, if they allow a school, or several, to break the GOR, they then render their other GORs, as well as Fox's GORs, useless.

I understand that you want your 'Noles out of the ACC, you may get your wish soon enough. However, it may not happen as quickly as you wish. To a point, I am even sympathetic in that it may be a long wait; however, FSU willingly agreed to everything and is locked in unless they pay the exit fee and buy back their rights.

In the mean time, enjoy the fact that FSU is rising again, stomped LSU, will likely only face stiff competition from Clemson and have a reasonable shot at the playoffs annually until the finances are in place to press the escape button.
1. I'm an Auburn fan, not a Noles fan.
2. The situation legally regarding the ACC Grant of Rights is novel. You know what novel means right?
3. I've lived long enough to know when unexpected things become the norm you
don't bet on stasis.
4. Everyone in the industry says we are headed to two super conferences. They aren't all idiots just flapping their gums. Warren and Swarbrick are not fools.
5. Did you expect the utter destruction of the PAC 12 or Cal and Stanford in the ACC? I expected the PAC to eventually get raided, I just thought more of them would wind up in the Big 10 and said so 2 years ago when Texas and Oklahoma joined the SEC, something I've been saying would happen since 2012 at this site and 2006 elsewhere. When OrangeDude and I use to kick things around in 2012 I suggested 3 conferences of 20 would become the norm. We'll see, but it's getting a lot closer to accurate than not.
6. Nobody at the networks is waiting on the movement to 2 main conferences because they want that leverage going into year 3 of the expanded CFP. That's where they make 750 million each per year by covering it.

It's not worth the effort arguing about what's coming. I'll just wait on events. I hope you all have fun for the season and keep good health. Fun and health are two of life's greatest treasures!

4. Monetarily, we're already there and have been for years.

6. Maybe I am ignorant, but ESPN already covers both the ACC and SEC, plus some Big XII. FOX has the Big Ten, some (majority?) Big XII, and what looks like a new #5 in the MWC. ESPN has the AAC and some others. Every conference is covered. Plus, FOX is on the hook to pay the Big Ten even more with their new additions at the end of the decade.

When is the Big East contract up?
09-05-2023 07:51 AM
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nole Offline
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Post: #103
RE: The no votes and the implications
(09-05-2023 07:43 AM)esayem Wrote:  
(09-04-2023 12:21 PM)nole Wrote:  
(09-04-2023 12:17 PM)Hokie Mark Wrote:  
(09-04-2023 09:44 AM)JRsec Wrote:  
(09-04-2023 09:27 AM)HtownOrange Wrote:  While you recognize a potential way out, you leave out the simple fact that ESPN, under your scenarios, must pay for FSU twice, both the SEC and the ACC...

Ah, but they don't pay them twice. The replacements are coming in for nothing. All ESPN is doing is honoring the FSU's obligation to the ACC. The money they pay for them in the SEC will make a profit...

JR, the new schools may be getting nothing, but ESPN is paying full price to the ACC for each of them. That's why the schools ultimately voted to add them - for the extra $72 million/year or whatever it comes to. So next year ESPN will pay the ACC for 17 full TV shares, regardless of how those shares will be divided.

Now, if FSU went to the SEC, there are two possibilities:
1) ESPN continues paying as-is, and the ACC essentially pays FSU the same amount of money to play in the SEC and they make in the ACC, with the ACC keeping the rest (and FSU has zero shot at performance-based incentive money, obvjously), OR
2) ESPN pays FSU a full SEC share AND whatever portion of their ACC share was going to go into the incentives pot. It's not their whole share which would be duplicated, but it's not zero, either.

FSU fans are wrong to think they can get out of GoR for Free.
ACC fans are wrong to think they can get a windfall out of FSU.

The truth is somewhere in between - the kind of stuff lawyers make their living on.

Totally agree. Side not: The vast majority of FSU fans don't believe anything is happening "for free"...same for FSU media.

Also don't think ACC is getting extra pots of $$. I believe/hope/think that the ACC will be made 'whole' by getting the payout they were projected to through 2036.

It's not near as aggressive and emotional as many think.

I would say the vast majority of FSU fans have no idea what's going on with conference revenue. Most people get out more.

Unlike those in this thread.
09-05-2023 07:53 AM
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