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Proposed $40 million settlement set for players

By WTOP Staff

TIM DAHLBERG
AP Sports Writer

A $40 million settlement has been completed that will pay college football and basketball players dating to 2003 for the use of their likenesses in NCAA-branded videogames.

The payouts could go to more than 100,000 athletes, including some current players, who were either on college rosters or had their images used in videogames made by Electronic Arts featuring college teams. Lawyers for the plaintiffs say it would be the first time college athletes will be paid for the commercial use of their images.

Depending on how many athletes apply for the settlement, the payments could range from as little as $48 for each year an athlete was on a roster to $951 for each year the image of an athlete was used in a videogame.

“We’re incredibly pleased with the results of this settlement and the opportunity to right a huge wrong enacted by the NCAA and EA against these players and their rights of publicity,” said Steve Berman, one of the lead attorneys in the case. “We’ve fought against intense legal hurdles since filing this case in 2009 and to see this case come to fruition is a certain victory.”

The settlement is with Electronic Arts and Collegiate Licensing Co., which licenses and markets college sports, and does not include the NCAA. The case against the NCAA is scheduled for trial early next year.

Plaintiffs in the case, which dates to 2009, contend the NCAA conspired with Electronic Arts and Collegiate Licensing Co. to illegally use their images in videogames.

U.S. District Judge Claudia Wilken still must approve the proposed settlement, which comes on the eve of a major antitrust trial against the NCAA that could reshape the way college sports operate. That case, featuring former UCLA basketball star Ed O’Bannon and others as lead plaintiffs, goes to trial June 9 in Oakland, California.

According to documents filed with the court late Friday, attorneys for O’Bannon and 20 other plaintiffs say they have already run up legal fees exceeding $30 million and expenses of more than $4 million in pressing their case. They are seeking an injunction that would stop the NCAA from enforcing rules that prohibit athletes from profiting from their play in college.

O’Bannon, who led UCLA to a national title in 1995, is also part of the group settling with EA Sports and Collegiate Licensing Co. Also covered by the settlement are suits brought by former Arizona State quarterback Sam Keller, former West Virginia football player Shawne Alston and former Rutgers player Ryan Hart.

According to the filing, a pool of money will be available to players after attorneys take 33 percent of the proposed settlement and up to $2.5 million in expenses. Named plaintiffs like O’Bannon and Keller will receive $15,000, while others who joined the suit later would get $2,500 or $5,000.

The majority of the money, however, will go to athletes who file for claims, a group that attorneys say could contain between 140,000 and 200,000 players who were on football and basketball rosters from 2003 on. The final payouts will depend on how many of those athletes file claims in the class-action case.

EA Sports announced last year it would stop making the long-running NCAA football videogame series because of the litigation and other issues in securing licensing rights.

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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