Clemson University Sues ACC Over $140M Penalty

Clemson University has sued the Atlantic Coast Conference (ACC), disputing a $140 million penalty for withdrawing its membership. The lawsuit, filed in Pickens County Common Pleas Court, comes amid rumors of Clemson possibly joining the Southeastern Conference (SEC). Clemson argues it owes no fiduciary duties to the ACC and hasn’t breached any obligations. The university is concerned about the growing revenue gap between the ACC and top-earning conferences like the Big Ten and SEC, which could leave Clemson behind its peers. In 2022, the Big Ten and SEC reportedly earned $845.6 million and $617 million, respectively, compared to the ACC’s $37.9 million to $41.3 million per member. Clemson accuses the ACC of making “erroneous assertions” about owning member institutions’ media rights through 2036 and requiring a hefty penalty to leave the conference, which Clemson claims hinders its ability to explore conference membership options and negotiate alternative revenue-sharing proposals.