Why is EA Sports being sued? Brandr Group files lawsuit over college football video game

The dispute regarding athlete remuneration in the upcoming 2024 release of EA Sports College Football game has evolved into a legitimate legal action. This further cast a dark shadow on the renaissance of the highly anticipated college football game.

EA is facing a lawsuit filed by The Brandr Group, the organization responsible for negotiating group licensing contracts for 54 Division I schools featured in the game. The legal action concerns the name, image, and likeness agreements being presented to athletes.

After initially being filed in San Mateo County, California, where EA is headquartered, the lawsuit was subsequently filed at the Northern District of California, a federal court on Tuesday. This indicates there are more troubles ahead in the bid to bring back the game.

The dispute between EA Sport and The Brandr Group

According to court documents obtained by Front Office Sports, The Brandr Group and EA had engaged in several communications during 2021 and 2022 regarding the intentions to provide NIL(Name, Image, and Likeness) agreements to athletes for their inclusion in the College Football game.

EA had stated through email correspondence that any agreements for athletes from schools associated with The Brandr Group would be conducted in collaboration with The Brandr Group itself. However, the video game company backed down on this agreement.

In May 2023, EA decided to collaborate with a different company named OneTeam Partners to assist in the facilitation of group licensing agreements with athletes. Consequently, EA is now providing deals, in association with OneTeam Partners, that athletes can directly "opt into" without the participation of The Brandr Group.

The current offer being presented is a flat payment of $500 per athlete, without any additional royalties. Both The Brandr Group and an athlete advocacy group called the College Football Players Association (CFPA) have expressed their belief that this offer falls below fair market value.

On the other hand, schools could potentially receive 10% of the total earnings generated by the game. However, athletes and schools are facing a deadline of June 30 to decide whether they will participate in the agreement.

The Brandr Group asserts that it should have the authority to negotiate on behalf of the athletes at schools covered by its contracts. It argues that EA's choice to have athletes directly opt into a deal without involving them interferes with the contractual relationship.

The group is therefore seeking an injunction to cease all negotiations between EA and athletes as well as schools associated with The Brandr Group's contracts. This is a new chapter in troubles encountered on the route to bring the game back to life.