Pac-12 and Mountain West finalize settlement over realignment litigation
The Pac-12 and Mountain West conferences announced Tuesday that they have reached final settlement agreements resolving all pending litigation over conference realignment, the poaching clause, and exit fees. The deal concludes disputes that began when five Mountain West schools joined the Pac-12 and included a lawsuit challenging the validity of a $55 million penalty structure.
The Pac-12 and Mountain West conferences announced Tuesday that they have reached final settlement agreements resolving all pending litigation over conference realignment, exit fees, and a disputed poaching clause, according to ESPN's reporting. The deal concludes disputes involving Boise State, Colorado State, Utah State, San Diego State, and Fresno State, each of which left the Mountain West for the Pac-12.
The litigation centered on two competing legal challenges. The Pac-12 and some of the schools joining the conference filed suit in California in 2024, claiming a poaching clause in the Mountain West scheduling agreement was invalid. That clause, which governed the original scheduling deal that allowed Oregon State and Washington State to piece together football schedules after ten schools departed the Pac-12 in 2024, called for payments to the Mountain West of $10 million for the first departing team, with the amount increasing by $500,000 for each additional team, totaling $55 million, according to ESPN.
Separately, Colorado State and Utah State filed their own lawsuit against the Mountain West seeking to avoid exit fees ranging from $19 million to $38 million, per ESPN's reporting. Boise State later joined that suit. A federal judge, Claudia Wilken, denied the Pac-12's motion to dismiss in November after the sides failed to reach agreement in mediation the previous summer.
The conferences announced an agreement in principle in May. The final settlement now includes formal sign-off from all parties. Colorado State, Utah State, San Diego State, Fresno State, and Boise State have all joined the Pac-12 to begin play this fall, according to ESPN. The Pac-12 added Texas State last year to reach the eight-team minimum required for automatic qualification to the College Football Playoff, and Gonzaga is joining the conference as a non-football member starting this fall.
The Mountain West has added UTEP, Hawaii, and Northern Illinois for football starting this fall, per ESPN's reporting. Both conferences issued a joint statement, according to ESPN: "With these matters concluded, the conferences and institutions can move forward with certainty and focus on serving their student-athletes, campuses, fans, and communities."
The settlement agreements do not disclose the specific financial terms agreed to by each party, the allocation of payments or payouts, or which of the two competing lawsuits was resolved on what particular terms, though ESPN confirmed the resolution encompasses all pending litigation.
The Pac-12, Mountain West, and affected schools (Boise State, Colorado State, Utah State, San Diego State, and Fresno State) have reached final settlement agreements resolving all pending litigation over realignment and exit fees, according to ESPN's reporting on Tuesday.
The settlement ends the two-year legal standoff that followed the largest wave of Pac-12 departures. Whether the terms favor the Mountain West's collection of exit fees, reduce them, or split the difference remains undisclosed; the focus now shifts to how the eight-team Pac-12 competes for College Football Playoff qualification beginning this fall.
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