There is absolutely nothing the Regents can do to force UCLA to pay Cal. The logical consequences that would flow from such line of reasoning would be absurd. UCLA’s athletic department has no legal obligations or contracts with Cal. Conference membership is merely a scheduling arrangement that ties a member school’s media rights for a s…
There is absolutely nothing the Regents can do to force UCLA to pay Cal. The logical consequences that would flow from such line of reasoning would be absurd. UCLA’s athletic department has no legal obligations or contracts with Cal. Conference membership is merely a scheduling arrangement that ties a member school’s media rights for a specified period of years to the conference in exchange for an agreed upon allocation of revenue sharing. That’s it. This is precisely why the UC bylaws explicitly without any ambiguity provide complete autonomy to campus athletic departments to enter into contractual agreements with the exception of coaching contracts. UCLA signed a grant of rights that expires in 2024 tying its media revenue to the Pac-12. Cal and the Board of Regents have always been aware of this. They’ve always known that UCLA was not committing its share of media rights to the conference beyond 2024. Thus, any financial ramifications that Cal took on beyond 2024 they did so fully knowingly accepting the risk that they may not benefit from UCLA’s media rights revenue. We actually know exactly what the UC regents policy concerning changing conferences is. We know, not only because it’s written into the UC bylaws but because it’s happened many times throughout history of the UC system where schools have left conferences with other UC members. Never has any school gone to the Board of Regents and asked for permission to do so. To make it up on the fly now would be nonsensical.
Moreover, on a more practical note, the campuses are not just different entities but they are competitors with each other in many respects, none more so than when it comes to the business of intercollegiate athletics. This argument that UCLA should pay Cal because Cal cannot benefit from UCLA’s media rights is so ridiculous it could even be extended to games between the schools. Each time UCLA beats Berkeley on the court or in the field, UCLA could be said to be gaining monetary value at the expense of Berkeley.
Furthermore, as the article here mentions, UC Berkeley has already paid over $200 million to its athletic department? I have no idea if that’s true but if so then that means Berkeley’s athletic department benefits from a lot of taxpayer money in a way that UCLA never has even though it currently faces $100 million debt of its own. UCLA’s athletic department only receives $3 million annually from UCLA’s general fund. It’s one of the lowest in power 5 athletics. In other words, if the Regents sought to go after that little funding, it would have to balance that against the $200 + million that Berkeley’s athletic department apparently receives from the state. If anything, by the same logic it seems like Berkeley should be the one paying UCLA, not the other way around. Btw, if this is true then it 100% clears the way for UCLA to go the Big Ten without subsidizing Berkeley a penny. Actually, it would make a lot more sense now why they left.
Most importantly, even if the Regents legally could go after UCLA’s Big Ten revenue (they can’t) and they actually dare to handicap UCLA’s ability to succeed in the Big Ten by forcing them to pay welfare to Berkeley, it would be such an insignificant sum that it would hardly make any difference to Berkeley. I’ll explain why. Prior to UCLA and USC leaving for the Big Ten, the Pac-12 projected TV revenue was set at $42 million per school in 2025. In the aftermath of their departure, the projected revenue per Pac-12 school is $30 million. That loss would amount to $12 million divided by UCLA’s portion of the damage (in actuality, USC is the more valuable commodity so it would be even less) that comes out to $6 million annually. That is the absolute maximum the Regents could redistribute from UCLA to its less fortunate sibling.
Last note, whenever you’re demanding what is essentially welfare payments from a sibling institution, it’s safe to assume you’re no longer the “flagship” institution. I do notice this foolish arrogance from Berkeley people thinking they have special rights because they think they are the “flagship” school. Even if they were the “flagship” school it has no legal bearing on how the Regents deal with the schools (they could even be sued for such illegitimate motives). So in case any Berkeley people are confused, I will help clarify: UC Berkeley does not own UCLA and UCLA is not Berkeley’s slave or colony. Berkeley has ZERO legal rights to UCLA’s media revenue. I feel like a lot Berkeley people misunderstand this stuff and think they own UCLA. I feel like it’s the source of this “pay us money” demand.
Hello Showtime. You make an informative argument that I am just becoming aware of. As I consider this matter I wonder if the Regents have more leverage that you are thinking? UCLA is attractive to the BIG TEN because it is a prominent brand. (The last 20 years of athletic results certainly are not the reason. UCLA has been mediocre.) It is the location in Los Angeles together with the UCLA brand which makes UCLA attractive to the BIG TEN. This leads me to wonder who owns the UCLA brand? If the University of California is the owner of this brand (which would make sense to me but may not be legally accurate) -- can't the UC Regents decide that this brand has become very valuable and decide that they will charge a royalty for use of the brand beginning in 2024? OR Given that the UC Regents provided autonomy to the campuses in 1991 -- can't the UC Regents decide that, from this day foreward, conference agreements of this nature must be approved by the Regents? This would not stop UCLA from joining the BIG TEN in 2024. However the Regents could let it be known now that the Regents will not approve any renewal/extension of the initial term of the agreement. If that context existed, would UCLA and the BIG TEN choose to move forward with a partnership that is known to be temporary in nature? All of this fascinates me. It will be interesting to see how it plays out.
They aren't likely to redistribute revenue. However the State can and probably will reduce the amount of State funding UCLA receives. UCLA had a right to make their move. The State has the right to revise it's funding allocation.
The athletic department receives $3 million in university subsidies a year. You really think that’s going to “punish” them for doing what is otherwise perfectly valid under UC bylaws? You realize the UC Regents have a fiduciary duty to act in the best interest of the university, students, and people of California right? That means should they attempt to withhold funding for any reason that is not in the interest of the university and people, they would expose themselves to liability. Part of that duty also includes application of UC bylaws and policy. To justify reduction of any state funds to UCLA, the only plausible grounds would be to supposedly make Cal whole but Cal’s athletic department already receives a whopping $25 million in university subsidies and has received a university bailout amounting to hundreds of millions of dollars. Thus, there really is no justification to make Cal whole since they’ve already benefitted from state funding that UCLA never has received.
Thanks I appreciate your kind wishes. I am confident as soon as Notre Dame joins the Big Ten, the conference will admit Cal, Stanford, and Washington alongside Notre Dame.
There is absolutely nothing the Regents can do to force UCLA to pay Cal. The logical consequences that would flow from such line of reasoning would be absurd. UCLA’s athletic department has no legal obligations or contracts with Cal. Conference membership is merely a scheduling arrangement that ties a member school’s media rights for a specified period of years to the conference in exchange for an agreed upon allocation of revenue sharing. That’s it. This is precisely why the UC bylaws explicitly without any ambiguity provide complete autonomy to campus athletic departments to enter into contractual agreements with the exception of coaching contracts. UCLA signed a grant of rights that expires in 2024 tying its media revenue to the Pac-12. Cal and the Board of Regents have always been aware of this. They’ve always known that UCLA was not committing its share of media rights to the conference beyond 2024. Thus, any financial ramifications that Cal took on beyond 2024 they did so fully knowingly accepting the risk that they may not benefit from UCLA’s media rights revenue. We actually know exactly what the UC regents policy concerning changing conferences is. We know, not only because it’s written into the UC bylaws but because it’s happened many times throughout history of the UC system where schools have left conferences with other UC members. Never has any school gone to the Board of Regents and asked for permission to do so. To make it up on the fly now would be nonsensical.
Moreover, on a more practical note, the campuses are not just different entities but they are competitors with each other in many respects, none more so than when it comes to the business of intercollegiate athletics. This argument that UCLA should pay Cal because Cal cannot benefit from UCLA’s media rights is so ridiculous it could even be extended to games between the schools. Each time UCLA beats Berkeley on the court or in the field, UCLA could be said to be gaining monetary value at the expense of Berkeley.
Furthermore, as the article here mentions, UC Berkeley has already paid over $200 million to its athletic department? I have no idea if that’s true but if so then that means Berkeley’s athletic department benefits from a lot of taxpayer money in a way that UCLA never has even though it currently faces $100 million debt of its own. UCLA’s athletic department only receives $3 million annually from UCLA’s general fund. It’s one of the lowest in power 5 athletics. In other words, if the Regents sought to go after that little funding, it would have to balance that against the $200 + million that Berkeley’s athletic department apparently receives from the state. If anything, by the same logic it seems like Berkeley should be the one paying UCLA, not the other way around. Btw, if this is true then it 100% clears the way for UCLA to go the Big Ten without subsidizing Berkeley a penny. Actually, it would make a lot more sense now why they left.
Most importantly, even if the Regents legally could go after UCLA’s Big Ten revenue (they can’t) and they actually dare to handicap UCLA’s ability to succeed in the Big Ten by forcing them to pay welfare to Berkeley, it would be such an insignificant sum that it would hardly make any difference to Berkeley. I’ll explain why. Prior to UCLA and USC leaving for the Big Ten, the Pac-12 projected TV revenue was set at $42 million per school in 2025. In the aftermath of their departure, the projected revenue per Pac-12 school is $30 million. That loss would amount to $12 million divided by UCLA’s portion of the damage (in actuality, USC is the more valuable commodity so it would be even less) that comes out to $6 million annually. That is the absolute maximum the Regents could redistribute from UCLA to its less fortunate sibling.
Last note, whenever you’re demanding what is essentially welfare payments from a sibling institution, it’s safe to assume you’re no longer the “flagship” institution. I do notice this foolish arrogance from Berkeley people thinking they have special rights because they think they are the “flagship” school. Even if they were the “flagship” school it has no legal bearing on how the Regents deal with the schools (they could even be sued for such illegitimate motives). So in case any Berkeley people are confused, I will help clarify: UC Berkeley does not own UCLA and UCLA is not Berkeley’s slave or colony. Berkeley has ZERO legal rights to UCLA’s media revenue. I feel like a lot Berkeley people misunderstand this stuff and think they own UCLA. I feel like it’s the source of this “pay us money” demand.
Hello Showtime. You make an informative argument that I am just becoming aware of. As I consider this matter I wonder if the Regents have more leverage that you are thinking? UCLA is attractive to the BIG TEN because it is a prominent brand. (The last 20 years of athletic results certainly are not the reason. UCLA has been mediocre.) It is the location in Los Angeles together with the UCLA brand which makes UCLA attractive to the BIG TEN. This leads me to wonder who owns the UCLA brand? If the University of California is the owner of this brand (which would make sense to me but may not be legally accurate) -- can't the UC Regents decide that this brand has become very valuable and decide that they will charge a royalty for use of the brand beginning in 2024? OR Given that the UC Regents provided autonomy to the campuses in 1991 -- can't the UC Regents decide that, from this day foreward, conference agreements of this nature must be approved by the Regents? This would not stop UCLA from joining the BIG TEN in 2024. However the Regents could let it be known now that the Regents will not approve any renewal/extension of the initial term of the agreement. If that context existed, would UCLA and the BIG TEN choose to move forward with a partnership that is known to be temporary in nature? All of this fascinates me. It will be interesting to see how it plays out.
They aren't likely to redistribute revenue. However the State can and probably will reduce the amount of State funding UCLA receives. UCLA had a right to make their move. The State has the right to revise it's funding allocation.
The athletic department receives $3 million in university subsidies a year. You really think that’s going to “punish” them for doing what is otherwise perfectly valid under UC bylaws? You realize the UC Regents have a fiduciary duty to act in the best interest of the university, students, and people of California right? That means should they attempt to withhold funding for any reason that is not in the interest of the university and people, they would expose themselves to liability. Part of that duty also includes application of UC bylaws and policy. To justify reduction of any state funds to UCLA, the only plausible grounds would be to supposedly make Cal whole but Cal’s athletic department already receives a whopping $25 million in university subsidies and has received a university bailout amounting to hundreds of millions of dollars. Thus, there really is no justification to make Cal whole since they’ve already benefitted from state funding that UCLA never has received.
Eh, we didn't need your money anyway. It sucks that our rivalry will sort of break off, but that's all I'm grieving.
Hopefully We'll be in the Big 10 in some years so it becomes a non issue. Good luck out in the midwest. (In 2024.)
Thanks I appreciate your kind wishes. I am confident as soon as Notre Dame joins the Big Ten, the conference will admit Cal, Stanford, and Washington alongside Notre Dame.