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$375 Million Settlement Approved in UFC Antitrust Case, Ending Decade-Long Legal Battle

By  |  October 23, 2024
UFC

A landmark $375 million settlement between the UFC and its former athletes has been approved, bringing an end to a ten-year legal battle over fighter compensation. The case, Le v. Zuffa, was centered around claims that the UFC, as the dominant promotion in mixed martial arts (MMA), suppressed fighter wages between 2010 and 2017. The settlement, which was finalized on Tuesday, signals a major moment for fighters who had long sought restitution.

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    The lawsuit, initially filed in 2014, alleged that the UFC used its market power to create unfair contract conditions, keeping fighter salaries artificially low. Had the promotion not settled, it faced a February 2024 court date, with the possibility of liabilities reaching into the billions, according to Yahoo News.

    Earlier this year, the two sides had agreed to a $335 million settlement in March, but Judge Richard Franklin Boulware II rejected the proposal in July, deeming it too favorable to the UFC. The new $375 million settlement, submitted in September, was designed to address his concerns. Judge Boulware’s approval on Tuesday now clears the way for payments to fighters involved in the case.

    The UFC released a statement acknowledging the settlement, stating: “Today’s decision is welcome news for both parties. We are pleased to be another step closer to bringing the Le case to a close.” The promotion, owned by TKO Group Holdings, has been entangled in the legal fight for years, as former athletes sought compensation for what they described as unfair wage suppression during their time in the UFC.

    Related: UFC Fighters’ Lawsuit Settlement Resurfaces with $375 Million Offer

    Per Yahoo News, former UFC athlete Tom Lawlor, who was a plaintiff in the case, estimated that approximately 1,200 fighters will be receiving a portion of the settlement. However, after accounting for legal fees totaling $115 million, the remaining pool of $260 million will result in an average payout of around $217,000 per fighter, though individual payments will vary.

    “It’s a historic day for the UFC, and for the fighters,” said Lawlor. “After 10 years, it seems like it’s over.” For many of the athletes, the settlement marks a significant victory after a prolonged legal fight that brought attention to fighter pay disparities in the world of professional MMA.

    While this case has reached its conclusion, the UFC still faces ongoing legal challenges. A separate lawsuit, led by former UFC fighter Kajan Johnson, is in progress, targeting compensation issues for fighters who competed after 2017. No trial date has been set for that case, and the UFC has already filed a motion to dismiss the complaint.

    Source: Yahoo News