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HomeSportsFootballNCAAF News: Reports: ACC settlement with Clemson, FSU could bring revenue hike

NCAAF News: Reports: ACC settlement with Clemson, FSU could bring revenue hike

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Florida State and Clemson called meetings for Tuesday where university officials are expected to approve an agreement with the ACC to settle four ongoing lawsuits and implement a new revenue distribution model, according to multiple reports Monday.

The league board of directors as well as the boards of each school must agree to the settlement to move forward, and it’s expected that will happen, per the reports. The ACC’s board of directors is also expected to vote Tuesday as part of its regularly scheduled meeting.

If approved, the settlement would keep the ACC’s 18-member league through 2036, when the league’s Grant of Rights contract expires.

The deal would address financial penalties for exiting the ACC’s grant of rights and establish a new revenue structure based on TV viewership, or brand-based distribution, according to the reports. The penalties for leaving the league would be reduced significantly.

ACC presidents are expected to vote on the framework of the settlement, with the boards of FSU and Clemson to follow, per the reports.

FSU first sued the league in December 2023 followed by Clemson. The ACC countersued both schools. FSU’s lawsuit came after failing to reach the then-four-team College Football Playoff despite being undefeated, which it blamed on the ACC. The schools also were concerned with league revenues falling too far behind those of the SEC and Big Ten, per the reports.

The new revenue structure based on viewership would apply to every ACC school, with no carveouts for either Clemson or FSU, but those prominent programs could see an annual increase of up to $15 million based on terms of the proposal.

ESPN reported that FSU and Clemson would be among the ACC’s biggest winners of the new distribution on the strength of deep runs in the College Football Playoff and the NCAA Tournament.

–Field Level Media

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