Judge orders FSU to amend lawsuit against ACC, hearing to continue at later date

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Judge orders FSU to amend lawsuit against ACC, hearing to continue at later date

Liam Rooney, Peter Holland Jr. and Jim Henry, Tallahassee Democrat · Tallahassee Democrat

Mon, Apr 22, 2024 ·

11 min read

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Florida State University vs. the Atlantic Coast Conference . Round II, part two.

After a nearly eight-hour hearing on April 9 , both FSU and the ACC will return to the Leon County courthouse at 9:30 a.m. Monday morning for final rulings.

In the first hearing, Circuit Judge John Cooper felt the ACC's filing against FSU in North Carolina was an anticipatory filing and felt the motion to stay in Leon County should be denied.

Judge Cooper did not rule on a motion to dismiss, something that is expected to come during Monday's hearing.

Tallahassee Democrat sports writers Liam Rooney and Peter Holland Jr are attending the hearing and will be providing live updates from the courthouse.

1:56 p.m. | Judge Cooper orders amended complaint to be filed, ends hearing

Judge Cooper has ordered that Florida State's legal team amend its complaint about personal jurisdiction, and notify the Judge when it is filed so he can schedule another hearing "ASAP."

There has been no date given for the next hearing, a date hinges on the filing of Florida State's amended complaint and the schedules of both parties and the courthouse. Judge Cooper again reminds everyone that the case is not over, and circumstances like this are not uncommon.

The next court date will be made after the amended complaint is filed and the ACC has enough time to respond to it.

1:46 p.m. | Judge Cooper extends motion to stay until ruling on motion to dismiss

Judge Cooper has granted a motion to stay until he gives a ruling on a motion to dismiss. Florida State's legal team will have one week, not including weekends or holidays, to file an amended complaint with more clear language on personal jurisdiction so he can make a ruling on a motion to dismiss.

Judge Cooper is ordering a mediation to be done within 120 days. He says that both sides have enough information to have a "good faith" mediation. He says that both sides of the argument, FSU and the ACC, "know what the issues are."

Cooper reminds the legal teams this process isn't over.

"The case is not over, the case will continue," Cooper said.

1:36 p.m. | Judge Cooper rules that FSU needs to amend its complaint, will have another hearing on personal jurisdiction.

Court resumes session and Judge Cooper says that Florida State's legal team will have to amend its case to give a more clear example of personal jurisdiction. Judge Cooper said he isn't ruling for or against the ACC or FSU in this instance, but he needs more clear language in the complaint from Florida State to clearly state their alleged complaint.

"On a case that is worth, from what I am told, half a billion dollars, I need a more clear example of personal jurisdiction," Judge Cooper said.

Judge Cooper says he doesn't want to continue his case with his "eyes closed." There will be another hearing to discuss personal jurisdiction.

1:09 p.m. | Judge Cooper denies ACC's motion to dismiss FSU's case based on ripeness, will rule on personal jurisdiction

Judge Cooper gives his first ruling of the day, denying the ACC's ripeness argument, stating that the fact the FSU hasn't officially withdrawn from the ACC doesn't support the argument given by the ACC. Cooper sent the court into a brief break to review cases cited by FSU's legal team to show personal jurisdiction. This is only one part of the motion to dismiss, but it is the first domino to fall.

He will make a ruling when he returns from break, and consider if FSU needs to amend its complaint to be more clear about the jurisdiction argument they presented.

1:04 p.m. | The ACC legal team provides a firey response to FSU legal team claim

The ACC legal team is back on the stand with Amber Nunnally returning to the stand to provide the conference's response to Florida State's argument.

She says that FSU's complaint did not provide clear examples of "jurisdictional allegations" in the amended complaint filed. Nunnally feels the citizenship standard Rush tried to use for the jurisdictional allegation was incorrect, and says that Florida State "messed up."

Nunnally asks Judge Cooper to dismiss the complaint of personal jurisdiction.

12:47 p.m. | Rush says the ACC pays FSU, the University of Miami to put on productions

The conversation comes back to media rights , and Rush says the ACC pays both Florida State and the University of Miami a million dollars a year to put on productions for the ACC network, establishing the business of the ACC in Florida.

"The ACC uses that money to fund the production of media for the ACC Network at those brick-and-mortar facilities at the University of Miami and Florida State," Rush said.

Rush says those agreements show that the ACC has made contract agreements within the state of Florida .

12:39 p.m. | Court returns to session, discussion resumes on personal jurisdiction

Judge Cooper returns to the courtroom following the hour-long lunch break and begins the discussion with the FSU legal team.

Rush returns to the stand and continues his discussion about personal jurisdiction. Before the break, Rush said the ACC makes money in Florida and is a "citizen" of every state that a school resides in, meaning the ACC has two "citizens" in Florida, with FSU and the University of Miami.

Rush says that because of the citizenship in Florida, the ACC is a business in Florida and that means jurisdiction should come in Florida.

11:24 a.m. | Conversation shifts back to media rights, ESPN agreement before lunch break

Florida State's legal team returns to the stand and issues its argument about the issue of personal jurisdiction in this case.

Rush's argument quickly turns back to media rights and the ESPN agreement , with Judge Cooper asking what FSU would make against a team with "the blue turf," a reference to Boise State. Rush says it depends on the agreement Boise State has.

A long discussion on media rights, ESPN agreement and the issue of jurisdiction ends with Judge Cooper issuing an hour-long lunch break.

11:15 a.m. | ACC legal team argues FSU didn't properly state personal jurisdiction

The ACC legal teams led by Nunnally and Judge Cooper are deadlocked on the issue of personal jurisdiction, with Nunnally and the ACC saying that Florida State didn't sufficiently plead personal jurisdiction in the amended complaint filed.

Judge Cooper cited cases that involved dog shows and professional golfers to ask the ACC about the need for a "clear" statement of personal jurisdiction in the complaint.

10:55 a.m. | Court is back in session, ACC legal team takes stand

Nunnally returns to the stand and is set to present her argument in regard to the issue of personal jurisdiction, which refers to the court's authority to hand out decisions on a person or party in a legal case.

Nunnally says Florida State's argument for personal jurisdiction in the amended complaint is wrong "by matter of the law."

10:43 a.m. | Judge Cooper gives court a 10-minute break

Judge Cooper grants a 10-minute break to the court hearing and will hear arguments on the issue of commercial jurisdiction.

Before the break, Rush was arguing the withdrawal fee in the Grant of Rights is an "unenforceable penalty" and that the fee should be disarmed because of a material breach by the conference. The issue of media rights and the ESPN agreement was a large part of Rush's argument.

10:30 a.m. | FSU legal representative say ruling needs to be done today

Rush tells Judge Cooper that Florida State isn't seeking his input about the Grant of Rights enforceable or invalid, they just want an interpretation of what the document reads, and they want that ruling in today's hearing. He also mentions that Florida State isn't seeking to destroy the Grant of Rights.

He follows the discussion on the Grant of Rights by mentioning the media rights and references the April 9 hearing, where the ACC said ESPN has no right to broadcast FSU home games if they leave the conference. Rush says the conference has directly stated that FSU being in the conference is not necessary for the ACC to perform its agreement with ESPN, with Rush saying ESPN has no rights, but ACC holds all media rights.

10:18 a.m. | FSU legal team issues rebuttal against ACC argument

Rush says Florida State is seeking a declarative judgment on if the Florida State BOT is relieved of the withdrawal and penalty process, again reminding Judge Cooper that the argument surrounds contractual breaches by the ACC.

He tells Judge Cooper that the ACC forgot to mention the ESPN agreement alongside the Grant of Rights and ACC constitution. Rush mentions the Jan. 12 meeting held by the ACC to ratify the lawsuit against FSU, which they didn't invite FSU to, and says the conference is working together against the school.

Says FSU's legal team and Florida Attorney General asked for the ESPN agreement three and a half months ago, and says it hasn't been provided in full and is heavily redacted.

10:15 a.m. | Judge Cooper asks FSU's legal team about the complaint, motion to dismiss

Judge Cooper tells Rush that he must use the complaint as the legal framework for the hearing, and tells Rush he knows he will get facts and information outside of the complaint, but the motion to dismiss will be judged on the language in the complaint filed.

He says he's not here to decide who is "right or wrong" but just to make a ruling. Judge Cooper again says he is keeping in mind what the complaint filed by FSU reads when he makes a decision on the motion to dismiss.

10:06 a.m. | Nunnally leaves the stand, FSU's legal team set to respond

Nunnally ended her argument by saying that Florida State is looking for guidance from the court to withdraw from the conference, and she says they cannot do that in court.

Peter Rush takes the stand representing the Florida State Board of Trustees (BOT). Rush says FSU's argument isn't the withdrawal, but the meaning of the contracts like the ACC constitution and bylaws. Rush says Florida State voted against an increase in the withdrawal penalty and fought very hard against it in 2012.

9:55 a.m. | Nunnally blasts FSU's attempt to invalidate the Grant of Rights

Nunnally says Florida State was fine with the grant of rights deal when they signed it and didn't disagree with it until they saw other conferences handing out "big money" deals to member schools. She mentions that Florida State now wants to withdraw without penalty.

Cooper responds to Nunnally with questions about the contract and its application and validity under Florida law.

"Just because two parties agree to something doesn't mean it is always enforceable if it violates the law in the jurisdiction it resides," Cooper asked Nunnally. She agreed that does apply in certain circumstances, but doesn't feel it applies to this case.

Nunally says Florida State doesn't have truthful claims and says all seven complaints revolve around the grant of rights. She says Florida State hasn't made clear the intention to withdraw from the ACC and is asking for advisory from the court.

9:48 a.m. | ACC legal teams present opening argument on the motion to dismiss

Amber Nunnally steps to the stand for the ACC. Judge Cooper asks if the ACC is willing to let FSU's legal teams respond to every argument immediately, she agrees to Cooper's request.

Nunnally says the ACC takes media rights and conference membership extremely seriously, and she says there are two contracts at issue with FSU's attempts to leave, the ACC constitution bylaws and the Grant of Rights. She speaks on the withdrawal process and says FSU's problem isn't with the withdrawal process, but the payment owed for withdrawal.

9:39 a.m. | Circut Judge John Cooper arrives in the courtroom

Circuit Judge John Cooper has arrived in the Leon County Courtroom 3G.

In his opening statement, Cooper asks the ACC legal team if they want to start the hearing with the motion to dismiss, to which they responded with a stern "Yes your honor." The motion to dismiss and the motion of discovery, for the documents presented in the North Carolina ACC vs. FSU hearings, are the biggest items on the docket.

9:22 a.m. | FSU, ACC legal teams arrive in the courthouse

Both the Florida State and ACC legal teams have arrived at Leon County courthouse room 3G ahead of an anticipated 9:30 a.m. start time for day two of the FSU vs. The ACC court hearings.

On day one , Circut Judge John Cooper gave FSU an early win, ruling to deny the ACC's motion to stay and delay the trial proceedings in Leon County.

Why is FSU suing the ACC?

FSU and the ACC are in a legal dispute over the league's Grant of Rights , an agreement in which schools agree to transfer their media rights to their conference for a set period of time (2036 for ACC schools).

The Seminoles believe they should be allowed to leave the ACC without penalty, saying it would cost $572 million to exit the conference. The ACC's suit seeks to uphold the Grant of Rights. - Jim Henry

Liam Rooney covers preps sports for the Tallahassee Democrat. Contact him via email at LRooney@gannett.com or on Twitter @__liamroone y

This article originally appeared on Tallahassee Democrat: FSU vs the ACC hearing stalls, judge orders FSU to amend lawsuit

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