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July 17, 2012

Lawsuits Require Patience

Filed under: Big East,Conference,Money — Chas @ 9:47 am

If you file a lawsuit — even to force the movement on negotiations — there is going to be more of a delay before anything is fully settled. All matters have to be resolved. Details have to be finalized. Everything must be in place.

The fact is, Pitt only filed that lawsuit in mid-May. Two months ago. I know it seems longer, but that it really isn’t. That put all negotiations on hold for a good month while the Big East got its legal response together. You can’t now complain that things are going too slowly compared to Syracuse reaching a settlement.

It isn’t like Pitt and the Big East haven’t been negotiating. It is just that it is now under a more formal structure.

Federal court documents indicate that Pitt and Big East officials have had discussions that could lead to a settlement, but no trial date has been set.

The fact that Pitt had filed a lawsuit probably spurred the Big East to resume active negotiations with Syracuse to avoid another lawsuit. Even then, it took until now to work out enough of a deal that they could announce a deal.

A deal that now becomes the hard ceiling on what Pitt pays to get out of the Big East.

“This gives the negotiations a starting point,” said Michael McCann, director of the Sports Law Institute at the University of Vermont. “I don’t think Pitt would be willing to pay $7.5 (million), but would they be willing to pay $6 (million)? (Pitt) could go to its board and say it saved $1.5 (million) from what Syracuse had to pay, and that could be framed as a victory.

“In some ways, this could accelerate the settlement process.”

And an absolute floor with the $5 million exit fee. It is now a negotiation over $2.5 million and the legal fees

For those who believe that AD Pederson was absolute in saying Pitt wouldn’t pay more than the $5 million exit fee, I have a tunnel in Squirrel Hill to sell you. He and Pitt may not want to pay more than that, but if as suggested Pitt pays $6 million, it is still a win. That is only $1 million extra to leave a year earlier. You claim to have recovered the buyout for one game and some of the money lost in ticket sales because of WVU and TCU not in the Big East.

My opinion is that Pitt and the Big East would love to reach a settlement in the next week or so. Ideally have it settled before Big East Media Day so that reporters aren’t asking Big East officials about the lawsuit.

The other thing to consider, is that as much as Pitt wants out of the Big East the Big East will not want Pitt in the conference in 2013. In that year the Big East will have 18 basketball programs. They have been running schedule scenarios for 18-teams. I doubt they have been doing much for 19.

Not to mention that it would have all those issues resolved before they begin the negotiations with ESPN and other networks on their new TV rights deal.

This will get resolved soon enough. Just not today.





prediction: if the annoucement is sooner, the buyout will be $6M. If the anouncement is later, the buyout will be $5M.

Comment by wbb 07.17.12 @ 10:34 am

I’m not a legal eagle, but if it ever got to court, or I guess even during negotiations, doesn’t the TCU only paying 5 million come into it???

Also, does anyone know, has TCU paid the money yet???

Comment by Dan 07.17.12 @ 10:44 am

Googled it. TCU hasn’t paid. As a matter of fact, BE is suing TCU for not paying. LMAO!!!

Comment by Dan 07.17.12 @ 10:53 am

TCU is suing Jamie for the $5 mill

Kidding

Comment by steve1 07.17.12 @ 12:07 pm

Dan- TCU paid, just not with money. They paid in bananas…and the BE thought they were getting the better end of the deal. Ha!

Comment by Get the Glory 07.17.12 @ 2:42 pm

Looks as if the Cuse bloggers seem to think Pitt screwed up suing the Big East and picks SU as a “winner” over Pitt, as if this were a competition. Wow, that’s all I have to say. Turns out it’s true- they aren’t as smart as they seem. Anyway, read for yourself. I thought PSU fans were mind numbingly dull.
link to nunesmagician.com

Comment by Get the Glory 07.17.12 @ 3:38 pm

Give me a couple jars of Jif, a loaf of town talk with those bananas, and I’ll go away!!

CHAS: need my address?? LOL

Comment by Dan 07.17.12 @ 3:48 pm

Of course our (PITT) law suite helped Syracuse settle quicker and probably for less money. The Big East has one down, now only has to worry about the “son of a bitch” who sued them. Why not drag it out and give some payback to PITT.
At this point it hurts PITT more than the Big EAST.

Comment by Old Pitt Grad 07.17.12 @ 5:14 pm

haha well let the Cuseys celebrate their big win, cause they get so few of them on the football field.
And we owned them in hoops too for the majority of the last 10 years.

Enjoy the ambiance of the Carrier Dump, lol

Comment by Emel 07.17.12 @ 7:33 pm

Pitt need only consider its goals. The fact is that until Pitt sued, the BE stood silent. Once Pitt sued, the BE was forced to sue TCU and it allowed Syracuse to coast in Pitt’s draft.
So be it.
Pitt will pay less than Syracuse. I agree with the prediction from wbb.
The fiscal fool in the deal us WVU and the Big 12. Talk about overpaying.

Comment by SFPitt 07.17.12 @ 10:22 pm

another Voytik as future Pitt QB?

link to pittsburgh.scout.com

Comment by wbb 07.18.12 @ 9:11 am

[…] surprised Pitt didn’t work the number down a little considering the hit Pitt took to the football schedulue this year, but it’s not like the Big […]


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