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Conference Expansion: Stanford, California and SMU Join the ACC

MichDeac25 said:
That is the dumbest post masquerading as legal analysis. Of course it's always been a possibility that a school could buy out. That's the way it was designed. It's just insanely expensive to do so.
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The possible scenario outlined in the article makes some sense. Though the ACC could insist on strict enforcement of the terms of the GOR, in which case it is “insanely expensive“ for FSU to leave, there is a real possibility that the ACC will choose to negotiate an exit fee that FSU will accept. If FSU leaves, then several others could follow.

www.on3.com

The Florida State-ACC negotiation will set the terms for more college football realignment

The ACC indicated a willingness to negotiate with Florida State in a court filing on Friday. If that happens, a divorce is likely coming.
www.on3.com www.on3.com

…The number likely will land somewhere near the middle of that $150 million floor and that $572 ceiling. Then Florida State will pay. And while neither the Big Ten nor the SEC have expressed any public interest in the Seminoles, it seems highly likely one or both leagues would then try to scoop up Florida State as well as the other desirable properties that choose to buy their way out once Florida State breaks the seal.

Given the seeming inevitability of a negotiation, it almost doesn’t matter if the Big Ten or SEC are interested now. If several potentially additive programs buy their way into free agency at once, the competitiveness of the true Power 2 could take over. The Big Ten would see an opportunity to plant its flag in the South. The SEC might feel a need to defend its borders or expand its footprint…
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CaptRenault said:
The possible scenario outlined in the article makes some sense. Though the ACC could insist on strict enforcement of the terms of the GOR, in which case it is “insanely expensive“ for FSU to leave, there is a real possibility that the ACC will choose to negotiate an exit fee that FSU will accept. If FSU leaves, then several others could follow.

www.on3.com

The Florida State-ACC negotiation will set the terms for more college football realignment

The ACC indicated a willingness to negotiate with Florida State in a court filing on Friday. If that happens, a divorce is likely coming.
www.on3.com www.on3.com
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That also is not a new revelation. If the ACC compromises with one, others may see a path to compromise.
 
CaptRenault said:
The possible scenario outlined in the article makes some sense. Though the ACC could insist on strict enforcement of the terms of the GOR, in which case it is “insanely expensive“ for FSU to leave, there is a real possibility that the ACC will choose to negotiate an exit fee that FSU will accept. If FSU leaves, then several others could follow.

www.on3.com

The Florida State-ACC negotiation will set the terms for more college football realignment

The ACC indicated a willingness to negotiate with Florida State in a court filing on Friday. If that happens, a divorce is likely coming.
www.on3.com www.on3.com
Click to expand...
Not really. It still doesn't address why the ACC would negotiate with FSU. There is no advantage to letting them get out of the league for cheaper than the previously agreed upon exit fee. But there are a lot of disadvantages- namely being the end of the ACC if it opens the way for other schools to follow.
 
LilburnDeac said:
It still doesn't address why the ACC would negotiate with FSU. There is no advantage to letting them get out of the league for cheaper than the previously agreed upon exit fee.
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I think the reason for negotiation is assumed - the concern that if taken to court, the GOR might not hold up and the ACC might not get any buyout.
 
ChrisL68 said:
I think the core of the original acc will stay together. I just don't see Carolina whoring
themselves out to go play all their road games in the midwest.

Also these mega conferences are getting about as big as they can feasibly operate without just getting ridiculous.
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Forbes has complained that they're all too big already.
 
myDeaconmyhand said:
I think the reason for negotiation is assumed - the concern that if taken to court, the GOR might not hold up and the ACC might not get any buyout.
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Among other reasons like costs of litigation, time value of money, value of time, potential for things to come out in discovery that you don’t want to come out, the possibility of other events occurring, etc. But the possibility of FSU being allowed to walk away without paying one red cent seems like it would be at the top of the list. Maybe the ACC thinks the chance of the GOR being invalidated is 0.1% - very, very small, but not 0. In that case their reserve price is going to be damn high and likely close to the full $525 million or whatever they think the full cost would be. But what if they think that chance is 2% or 5% or 10% or 20%? What is the ACC’s risk tolerance? So far, I’ve thought FSU’s arguments have been pretty bad to laughably bad. But that doesn’t mean the hazards of litigation are nothing.
 
There is certainly a size when a conference becomes too big. The Southern Conference was about 25 when the original SEC left and about 20 when the original 7 left to create the ACC.
 
CaptRenault said:
The possible scenario outlined in the article makes some sense. Though the ACC could insist on strict enforcement of the terms of the GOR, in which case it is “insanely expensive“ for FSU to leave, there is a real possibility that the ACC will choose to negotiate an exit fee that FSU will accept. If FSU leaves, then several others could follow.

www.on3.com

The Florida State-ACC negotiation will set the terms for more college football realignment

The ACC indicated a willingness to negotiate with Florida State in a court filing on Friday. If that happens, a divorce is likely coming.
www.on3.com www.on3.com
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Why would an insanely high buyout make sense for FSU other than an irrational attempt to save face? If the reason for leaving is money, it seems the GOR doesn’t make a buyout a financially advantageous decision.
With the current setup, there isn’t an advantage to being in the SEC or B1G beyond the absurd TV payouts.
 
Tobacco Road said:
With the current setup, there isn’t an advantage to being in the SEC or B1G beyond the absurd TV payouts.
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We just spent like a month of FSU fans complaining that they got screwed because of their ACC affiliation.
 
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