Pac-12 Sues Mountain West Over $43 Million Poaching Fees

The Pac-12 has initiated a federal lawsuit against the Mountain West, claiming that the imposed 'poaching penalty' is both unlawful and unenforceable. This penalty could potentially cost the Pac-12 over $40 million due to the addition of four schools: Boise State, Fresno State, Colorado State, and San Diego State. The lawsuit was filed in the U.S. District Court of the Northern District of California, seeking a declaratory judgment to challenge the Mountain West's actions. The Mountain West has established exit fees that can exceed $17 million for schools leaving the conference, with these fees increasing based on the notice period provided. Additionally, the Mountain West has implemented poaching fees as part of its scheduling agreement with Oregon State and Washington State, the only current members of the Pac-12 this season. The initial poaching fee is set at $10 million, escalating by $500,000 for each additional school the Pac-12 recruits from the Mountain West. With the Pac-12's recent additions, the total poaching fee has reached $43 million. Furthermore, the Pac-12 is also considering adding Utah State and UNLV, which would incur an additional cost of $24.5 million. This legal action highlights the competitive tensions between the two conferences as they navigate the evolving landscape of collegiate athletics. The outcome of this lawsuit could have significant implications for both conferences, particularly in terms of recruitment and financial stability. The Pac-12 aims to rebuild its conference amidst these challenges, while the Mountain West seeks to protect its member institutions from potential losses.