UFC Lawsuit Update: Judge Rejects $335M Antitrust Settlement in Landmark Decision
Those following the UFC antitrust lawsuit were shocked to hear in March that the Le et al. vs. Zuffa, LLC and Johnson et al. vs. Zuffa, LLC lawsuits had reached a preliminary settlement agreement of $335M, seemingly ending the decade-long litigation, which could have reshaped MMA as we know it.
Industry-Changing UFC Lawsuit Reaches 9-Figure Settlement
This isn't the case anymore, as Judge Richard F. Boulware, who presides over the case, has denied the settlement and set a new 'tentative' court date. According to Courthouse News Service, Boulware found it "difficult" to understand why class members would agree to the injunctive relief they were offered. However, Boulware hasn't provided an official reason for the denial yet.
While Le's class of fighters would have been paid relatively handsomely, some of Johnson's fighters would have been paid much less due to arbitration clauses and class action waiver provisions in some of the more recent UFC contracts.
"Johnson plaintiffs contractually agreed to arbitrate their claims instead of suing and to not sue via a class action. Courts generally find those types of clauses enforceable. Enforcement of those clauses here would end Johnson with its fighters getting nothing." (via Sportico)
The news suggests that Boulware expects a better settlement, more money for the fighter classes and larger adjustments to the UFC business model.
"To settle the judge wants to see big $$$ in Le and major contractual changes in Johnson," Wrote combat sports lawyer Erik Magraken on X.
The new, tentative court date is October 28, 2024. This gives time for negotiations or the possibility of a new settlement.
UFC Could Pay Out $Billions in Antitrust Lawsuit
UFC Officially Involved in Class-Action Lawsuit, Over $1.6B in Damages Possible
The claimants allege the UFC used "improper strategies" to control the market for MMA fighter services and underpaid them during a certain period. They represent a group of about 1,200 fighters (almost 2,000 with Johnson et al.), so the damage is potentially huge, between $800M and $1.6B. Under U.S. Antitrust law, damages awarded can be tripled, significantly raising the payout.
Read more about the lawsuit at UFC Antitrust Lawsuit.
Spectators might see this battle go to the final bell.
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