RELEASE DATE: August 7, 2008
LOS ANGELES - - - On Tuesday, August 5, 2008, the United States District Court approved a settlement resolving White v. National Collegiate Athletic Association ("NCAA"), a class action case filed in Los Angeles by Division I football and men's basketball players against the NCAA charging that the NCAA unreasonably restricted the amount of athletics-based financial aid which colleges and universities could pay to student-athletes. The settlement approved by the Court provides valuable new benefits for class members. Specifically, the settlement enhances the financial aid potentially available to former, current and future student-athletes in a variety of ways, including:
(a) The NCAA's agreement to provide, for the academic years 2007-08 through 2012-13, an additional $218 million to NCAA Division I member institutions to use, if and to the extent they choose, for the benefit of their student-athletes for purposes allowed under the current guidelines for the Student Athlete Opportunity Fund, with the NCAA encouraging the Division I member institutions to use the available funds for such aid to student-athletes with demonstrated financial needs.
(b) The NCAA's agreement to provide, over a three-year period, a total of $10 million to be distributed to qualifying former student-athletes for reimbursement of certain educational expenses incurred in the future. Individual class members are eligible to receive up to $2500 per year for three years for educational expenses incurred in connection with accredited undergraduate, graduate, professional degree or professional certificate programs, and a one-time payment of $500 toward career development programs. Beginning August 11, 2008, class members may access claim forms for the Former Student-Athlete Fund at the following URL on the NCAA website, http://www.ncaa.org/wps/ncaa?ContentID=29642.
(c) The NCAA's adoption of a rule permitting Division I schools to provide year-round, comprehensive health insurance to student-athletes.
