Dec 22, 2023
11:47:47am
runningryan Pretend Athletic Director
What part of what I said was untrue?
The issue isn’t the validity of the GOR. It is the enforcement of it. The terms of the actual GOR are widely available for all to see and are very straightforward. The REAL issue is the private contract between ESPN and the ACC which the GOR is predicated on. One could argue that if ESPN has the unilateral option to extend or cancel the contract in 2027 there isn’t a real value to those media rights from 2027-2036. Assuming FSU, Clemson, or ND buy their way out, ESPN is not extending that deal at the same cost. Period. It will walk away from an impaired asset it has recouped costs for in the early years of the deal. In other words, the ACC schools have no actual guarantee of ESPN money from 2027-2036. Hard to prove damages there. Therefore, the exit fee and the value of TV rights from now through 2026 are the only real financial exposure. That is much easier to settle upon than $572M.
This message has been modified
Originally posted on Dec 22, 2023 at 11:47:47am
Message modified by runningryan on Dec 22, 2023 at 11:49:11am
Message modified by runningryan on Dec 22, 2023 at 11:50:59am
runningryan
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