Florida State, ACC officially dismiss dueling lawsuits after 14-month marathon litigation
- Florida State University (FSU) dismissed its lawsuit against the Atlantic Coast Conference (ACC) after reaching a settlement agreement.
- The settlement includes a new revenue distribution model based on viewership ratings.
- The exit fee for leaving the ACC remains at $165 million for the 2026 fiscal year, decreasing annually to a flat $75 million by 2030-31.
Florida State's lawsuit against the Atlantic Coast Conference is officially over, after 14 months of legal squabbling between the school and the conference.
FSU had sued the conference over media rights contracts and a potential $500 million the university would owe the conference if it exited.
Media rights in college football refer to the rights a school has to control and sell the broadcasts of its games such as on TV, radio, and streaming.
These rights are usually sold to TV networks or media companies, such as ESPN or FOX, often as part of a conference-wide deal. The school or the conference gets paid, and the network gets permission to show the games.
Such deals are a significant source of revenue for athletic programs and universities. FSU valued its media rights in the range of $300 million-$400 million during the litigation.
Dismissal had been expected after out-of-court agreement announced
On Tuesday, FSU's lawyers filed in Leon County to dismiss the case, a move that was anticipated after the university and ACC announced a settlement agreement in March. There was a June 9 deadline for the dismissal.
Clemson University and the ACC also have dismissed similar lawsuits in North Carolina and South Carolina courts.
With the settlement, a new revenue distribution model will be put in place in the ACC. The introduction of a viewership pool will see 60% of base media rights put in the pool and distributed on a "ratings-based model." That model will go into effect in the upcoming year.
Additionally, the exit cost to leave the ACC remains at $165 million for the 2026 fiscal year and that fee will drop by $18 million year over year before it becomes a flat $75 million fee by the 2030-31 season. And any school that pays the withdrawal fee will leave with its media rights.
Liam Rooney covers Florida State athletics for the Tallahassee Democrat. Contact him via email at LRooney@gannett.com or on Twitter @__liamrooney