Big East Possible Agreement With WVU

[jvwvu]

renegetiate

As you stated 25 million is about what WVU stands to gain in just 36 months of increased TV revenue in the big 12... effectively it costs WVU 9 months of big 12 revenue to move forward... big east will not give them that quite that easy.... it will be atleast a 27 month revenue penalty and a garantee from the big 12... I'd wager BE goes to arbitration and states the same, plus big east stands to lose a lot of money for one year of having WVU along with the new members... as it stands now, pitt and syracuse will be a part of the big east when we welcome our new members in 2013... them along with WVU for even one year give the big east a lot of leverage in negotiating their new tv contract

Why would the revenue penalty be assessed from the Big 12 rate?

I think it would be assessed from the Big East contract revenue "penalty" - WVU announcement of ~ Nov 1st (for ease) come July 1, 2012 there will be only 18 months of damages remaining to collect. I was told the yearly revenue for the Big East for WVU will be ~7.5 million per year, therefore

Initial Buyout - $5 million

2 years (18 months but for ease) 2 x ~$7.5 million = $15 million

Total required ~$20 million

"Believed Payout"

The BE keeps WVUs Initial 2.5 mil payment.

The BE keeps monies owed to WVU, from final four, Orange Bowl and such. $5-10 mil

WVU pays BE 12.5 mil cash, yearly payments( may go up to 5 years for $2.5 mil year)

Therefore exit fees and damages total $20-25 mil.

[jvwvu]

To fill their schedules? what does boise joining early have to do with WVU's claims? if anything it disproves them as it shows the big east can get a team better then WVU in there for 2012... it strengthens their case in court...

WVU claims they had no choice but to leave because the big east did not fullfill its fiduciary duties to the football schools... adding Boise by 2012 shows that WVU simply didn't wait to see what the big east was doing.if anything the big east can say that the WVU is causing greater damage then Sry or Pitt, in that those founding members are not trying to leave immediately and are biding by their contractual agreements... its the timing that kills WVU in this contract dispute... that's kinda what happens when you listen to old Wayne Luck.

Your argument of a gentleman's agreement doesn't come into effect here... big east if acting in its best interest will demand something in writing. it comes down to is the big 12 willing to wait 3-5 years to poach another team to fulfill its contractual obligations? or is the big east going to jump at a settlement and be short sided... sadly this is where smazza is right.

at the end of the day i had a "gentlemans agreement" for a 5% raise at the end of last year... i didnt have it in writing... and i got the same 2% everyone else got... this is what happens with gentleman's agreements.

Boise St. claims are only showing something is happening behind the scenes for them to be here in 2012, as I stated I believed was the case all along.

Big East can claim Boise St can be here in 2012 with about $7 Million payout, to prove their case in court but is that the case?

As far as fidiciary claims remember WVU filed suit to leave early only after 1st TCU left, then Pitt and Cuse announced they were leaving, Boise St replaces basically TCU this year if WVU is on 2012 schedule. (Still dont think this seems a court room, and this stuff with Boise St, imo is to get back to 8 teams this fall since agreement in principle is in place, imo)

As for the gentlemens agreement, I am not agruing this I think there has been discussions on this, I understand these are broken all the time, but if the Big East Conference put in writing that one of the members Louisville were not allowed to join a conference for 4-5 years because another conferene agreed so what is Louisville's suit? (I am not a lawyer and would like to know that answer) I as a WVU fan loves a 10 team Big 12 that brings OU or UT into WV every year.

[jvwvu]

Just in case - Here is the Big 12's revenue share breakdown for us the first 2 years.

http://collegefootballtalk.nbcsports.com/2011/10/28/report-wvu-could-get-equal-revenue-slice-right-away-in-big-12/

*Note bottom revision will be brought in on TCU's rate

According to the Fort Worth Star-Telegram, TCU will earn 50 percent of the normal $17 million payout in the 2012-13 academic year, 67 percent in 2013-14, 84 percent in 2014-15, and 100 percent in 2015-16.

So therefore Big 12 damages would be (actuals)

1st year - $8.5 million

2nd year - $11.39 million

Initial Buyout - $5 milion

Total $24.89 million

But note 2nd year would only be 6 months per 27 months from filing date so $8.5+$5.7+$5 = $19.2 million

[method]

As far as fiduciary claims remember WVU filed suit to leave early only after 1st TCU left, then Pitt and Cuse announced they were leaving, Boise St replaces basically TCU this year if WVU is on 2012 schedule. (Still dont think this seems a court room, and this stuff with Boise St, imo is to get back to 8 teams this fall since agreement in principle is in place, imo)

One of those 4 teams is not asking to be relieved of be bylaws they agreed to... guess which one that is... that team is also the only one claiming the BE failed its fiduciary duties, while simultaneously trying to get out of a contractual agreement they helped craft...

WVU wishes this would go away for 25 million... it probably could with a big12 agreement to not poach teams... without that... it'd be a failure on the be's part to agree to any terms that lets WVU out of its contract.

[Who'sYourData?]

There has been inklings of Louisville not being the 11th team, starting after the last BIG 12, when a major reporter reported that UL was a "lock" for 11. Did a gentlemens agreement happen between the two conferences, some believe there has been.

Note : the two twitter posts above

1. Memphis comes from EERinsider a WVU connection (throw **** on wall something will stick)

2. Boise St tweets is coming from what appears Boise St insiders saying that Big East is pushing them to join in 2012, if the Big East doesn't need Bosie St in 2012, why is this happening and why would Big East want Boise St to pay $7mil to get here early, (/see link in post #265)

To fill their schedules? what does boise joining early have to do with WVU's claims? if anything it disproves them as it shows the big east can get a team better then WVU in there for 2012... it strengthens their case in court...

WVU claims they had no choice but to leave because the big east did not fullfill its fiduciary duties to the football schools... adding Boise by 2012 shows that WVU simply didn't wait to see what the big east was doing.if anything the big east can say that the WVU is causing greater damage then Sry or Pitt, in that those founding members are not trying to leave immediately and are biding by their contractual agreements... its the timing that kills WVU in this contract dispute... that's kinda what happens when you listen to old Wayne Luck.

Your argument of a gentleman's agreement doesn't come into effect here... big east if acting in its best interest will demand something in writing. it comes down to is the big 12 willing to wait 3-5 years to poach another team to fulfill its contractual obligations? or is the big east going to jump at a settlement and be short sided... sadly this is where smazza is right.

at the end of the day i had a "gentlemans agreement" for a 5% raise at the end of last year... i didnt have it in writing... and i got the same 2% everyone else got... this is what happens with gentleman's agreements.

I have to agree with jvwvu on this one. If the Big East is trying to get Boise for 2012, it is so they can finish an agreement with WVU. Which means the B12 is helping WVU pay a BIG payout. If it can happen, I think the Big East should do it. Take $25 mil from WVU, spend $7mil or so to help Boise take WVU's place. Pitt and Cuse aren't going to pay that much money to leave in 2012. So then the BE is set for 2012 and 2013 when Pitt and Cuse likely leave for a smaller buyout but larger than $5mil.

Boise replacing WVU means the BE is as good or probably better in 2012 than it would be with WVU. Gets some excitement going with the new BE lineup, and probably even helps grease the skids for the next TV negotiation. I'm not sure what the BE would do with the extra money, but I'm sure schools like USF wouldn't mind pocketing an extra mil or two.

[jvwvu]

Databull and I have discussed/agrued this from the start but we both pretty much agreed (I believe) this would never see a court room and ultimately end up with WVU paying more than they wanted originally heard $15-18M and Big East letting WVU go and possibly bringing Boise St in.

I think the stay in WV helped pushed this along, again why WVU pulled the trigger on the lawsuit first was to push dates, and force Big East to start to release inqueries from the suit needing answered which would become public for the world to see because of FOIA in WV.

If I am Big East I offer Boise St. $3.5million of WVU buyout money to pay them to be here in 2012, becuase the 7 remaining teams (including Pitt and Cuse) would spend that bringing someone in for WVU not being on the schedule so therefore you only have to replace the TCU game if you havent already.

Does WVU get part or all of Mizzou's buyout? Dont know that would have to get voted on, but that appears to be able to cover the $12.5 Million of additional money that would have to be provided to Big East per my breakdown in post #271.

The other money might go to pay back some of the schools that are owed money (WVU was owed money from Final Four - 2 years ago), but the Big East acts an agent of the schools. My thought is the 5 remaining football schools get that money on the 27th month of WVU leaving, if they still are in the conference, but we all know somehow the basketball schools are going to end up with some of this, which is ********.

Pitt and Cuse leave after next year for the $5 million buyout and assuming ~$10million in damages (approximately half of WVU's).

The real question is how does Big East protects itself and can it legally do so, ie Louisville to Big 12. (Can someone honestly answer if you could put this in a legal document to not take them, I mean the Big East is an "Agent" of Louisvilles)

** Still think Home/Home series with Big 12 will happen at least with Remaining 5 teams**

[Carolina_Bull]

Really getting sick of this drama.

Probably alone when I say I'm ready for WVU to GTFO already.

[Who'sYourData?]

The real question is how does Big East protects itself and can it legally do so, ie Louisville to Big 12. (Can someone honestly answer if you could put this in a legal document to not take them, I mean the Big East is an "Agent" of Louisvilles)

We still need to see the final numbers. But the Big 12 needs WVU badly, so I think they help with WVU. But there would be no urgency to get Louisville out early, so they aren't going to help them. And Louisville isn't going to pay $25 or $30 mil or whatever to leave two years early. Not to mention that the BE will have more than 8 schools at that point.

In short, I don't see this scenario repeating.

[macphisto]

Boise St. claims are only showing something is happening behind the scenes for them to be here in 2012, as I stated I believed was the case all along.

Big East can claim Boise St can be here in 2012 with about $7 Million payout, to prove their case in court but is that the case?

As far as fidiciary claims remember WVU filed suit to leave early only after 1st TCU left, then Pitt and Cuse announced they were leaving, Boise St replaces basically TCU this year if WVU is on 2012 schedule. (Still dont think this seems a court room, and this stuff with Boise St, imo is to get back to 8 teams this fall since agreement in principle is in place, imo)

As for the gentlemens agreement, I am not agruing this I think there has been discussions on this, I understand these are broken all the time, but if the Big East Conference put in writing that one of the members Louisville were not allowed to join a conference for 4-5 years because another conferene agreed so what is Louisville's suit? (I am not a lawyer and would like to know that answer) I as a WVU fan loves a 10 team Big 12 that brings OU or UT into WV every year.

TCU was never a member of the Big East, so what happened to them is immaterial. Just as WVU is not currently a member of the Big XII.

From the Big East's perspective, I would let WVU go with a large payout of $25M with a team coming in to replace them next season and a binding agreement from the Big XII that all current and future Big East teams (meaning Navy, Houston, UCF, Boise, SDSU and any other that agree to join us in the future) are off limits to the Big XII for expansion for five years with a $100M penalty for the Big XII for each team poached during that period, That would be a strong economic disincentive that would also bring some stability to the league and set precedent for what is required to leave before the 27 month period.

The whole purpose here is to enforce that 27 month window or give it some teeth if broken. By forcing the Big XII and WVU into something akin to this, a precedent is set that will require something similar from the ACC should Pitt and Cuse want to leave early as well.

The Big East has a vested interest in surviving and that's what this is about from our end. But if I am the BE then I settle for nothing less, but it is imperative that we get another member from next season, a hefty penalty from WVU, and a binding agreement from the Big XII with a HUGE financial penalty that will prevent them from taking a Louisville or even from taking USF or whoever else.

This would not prevent the Big XII from expanding, they would just have to look elsewhere. BYU has been mentioned and would be a good addition. Memphis or Tulsa out of CUSA could work well for them too.

If I'm the Big East and I get those three things then I settle. I'd use the money from WVU to pay for Boise to come in early and help with schedule adjustment from all the other schools.

The most important thing is the precedent. We need something big out of this to prevent Pitt and Cuse from just up and bolting easily. That's where the anti-pilfering clause plays out. If the ACC wants them early then they can have them, but both schools have to pay out AND the ACC has to give us a binding agreement against raiding us. Doing so would protect the Big East on all flanks outside of the Big Ten possibly having an interest in Rutgers, but I see that as the only school they'd be interested in with Pitt and Cuse leaving. And I doubt they expand. None of the schools will draw SEC interest.

[Who'sYourData?]

That would be a strong economic disincentive that would also bring some stability to the league

Unelss the ACC or Big 10 poach a team.