Florida State and ACC Head to Mediation in Ongoing Legal Dispute
Florida State University and the Atlantic Coast Conference (ACC) are set to enter mediation next week in an effort to resolve their ongoing legal dispute, multiple sources have told Yahoo Sports. The mediation process, which is expected to take place in person with a neutral mediator, is a significant step in the proceedings, but it is not guaranteed to produce a settlement.
The dispute centers around Florida State’s attempt to exit the ACC without paying the exit fee and buying out its media rights, which it agreed to grant to the conference years ago. The estimated price tag for such an exit is over $500 million, according to court records.
The ACC and Florida State have been locked in a legal battle for months, with the conference refusing to budge on its stance. In fact, ACC Commissioner Jim Phillips recently blistered Florida State and Clemson, another school seeking to exit the conference, for their "disruptive and harmful" attempts to leave.
The dispute has taken a toll on the ACC, with internal strife and public criticism from Florida State officials. Phillips has acknowledged that the league has handled the situation well, but admitted that it is a daily concern.
The ACC is also facing pressure to find new revenue streams, as its schools trail the SEC and Big Ten in terms of television distribution. The league is exploring new opportunities, including a potential naming rights deal with Allstate.
Meanwhile, Florida State and Clemson are seeking an inexpensive exit path from the conference and its grant of rights. The grant of rights is connected to the conference’s television deal with ESPN, which will pay ACC members a fraction of what those in the SEC and Big Ten are receiving from their television contracts.
The dispute has significant implications for the future of the ACC and its member schools. If Florida State and Clemson are able to exit the conference without paying the exit fee and buying out their media rights, it could set a precedent for other schools to follow.
The mediation process is expected to be a complex and challenging one, but it represents a critical step in the ongoing dispute. The outcome is far from certain, but one thing is clear: the future of the ACC and its member schools hangs in the balance.
