NCAA ban on athlete pay is upheld by Federal Court of Appeals
NEW YORK — The NCAA restrictions that prevent college athletes from getting paid were upheld by a Federal Court of Appeals on Wednesday.
The court rejected a lower court’s call for the NCAA to allow football and basketball players to be paid up to $5,000 per year in deferred compensation.
The decision comes in a court case filed by former UCLA basketball player Ed O’Bannon, who sued to allow athletes to share the profits that colleges, conferences and the NCAA make from college sports. His lawyers argued that the restrictions violated the nation’s antitrust laws.
The court ruled that the NCAA is subject to the nation’s antitrust laws, which is a setback for the organization. But the association also scored a big win, since the court found that schools aren’t required to pay athletes another $5,000.
NCAA President Mark Emmert said the organization was pleased by the decision.
The NCAA has long allowed schools to provide scholarships to athletes. Earlier this year it began to allow athletes to receive additional cash payments from colleges to fill the gap between scholarships and the actual cost of attendance. Expenses such as student fees and some living expenses could be covered by those stipends, which remain in place under Wednesday’s ruling.