O'Bannon, Jr. v. National Collegiate Athletic Association et al

Filing 233

Deposition Designations by Edward C. O'Bannon, Jr. (Attachments: #1 Exhibit A, #2 Exhibit B, #3 Exhibit C, #4 Exhibit D, #5 Exhibit E, #6 Exhibit F, #7 Exhibit G, #8 Exhibit H, #9 Exhibit I)(Bojedla, Swathi) (Filed on 6/20/2014) Modified on 6/23/2014 (kcS, COURT STAFF).

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EXHIBIT A Page 1 1 UNITED STATES DISTRICT COURT 2 NORTHERN DISTRICT OF CALIFORNIA 3 4 IN RE NCAA STUDENT-ATHLETE ) Case No. 4:09-CV-1967 CW NAME & LIKENESS LICENSING 5 ) LITIGATION ) ___________________________) 6 7 8 VIDEOTAPED DEPOSITION OF 9 ROBERT DANIEL BEEBE 10 JANUARY 8, 2013 11 12 13 VIDEOTAPED DEPOSITION of 14 ROBERT DANIEL BEEBE, produced as a witness at the 15 instance of the Plaintiffs, and duly sworn, was taken 16 in the above-styled and -numbered cause on the 8th day 17 of January, 2013, from 9:39 a.m. to 4:34 p.m., before 18 Therese J. Casterline, Registered Merit Reporter, 19 Certified Realtime Reporter, Certified Shorthand 20 Reporter in and for the State of Texas, reported by 21 machine shorthand, at the offices of Polsinelli 22 Shughart, 2501 North Harwood Street, Suite 1900, in the 23 City of Dallas, County of Dallas, State of Texas, 24 pursuant to the Federal Rules of Civil Procedure and 25 the provisions stated on the record. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 7 1 antitrust plaintiffs. 2 3 MS. DEAN: Cathy Dean on behalf of Mr. Beebe. 4 MR. WIERENGA: Bob Wierenga on behalf of 5 the NCAA and on behalf of the witness to the extent 6 he's questioned in his capacity as someone who had 7 served on NCAA committees. 8 9 MR. HENDERSON: Collegiate Licensing Company. 10 11 MR. LAURIDSEN: Adam Lauridsen for Electronic Arts. 12 13 Harris Henderson for the THE VIDEOGRAPHER: The court reporter, Therese Casterline representing Veritext, will swear in 14 23 Q. Would you state your name, please. 24 A. Robert Daniel Beebe. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 10 14 Q. All right. 15 A. Here in Dallas. 16 Q. All right. 17 A. I'm self-employed. 18 19 20 Where do you currently reside? And where do you work? I've formed a -- a risk management firm called BMT Risk Management. Q. And you have two partners with that; is that correct? 21 A. I do, yes. 22 Q. And what -- what is the business of BMT? 23 A. It is misconduct risk management where we go 24 to organizations -- my two partners have done this for 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 15 13 14 15 16 Q. Did you ever become the director of enforcement in NCAA? A. I did. I returned in -- from Wichita State in 1987 and then became a director shortly after that. 17 Now, that's -- there were a few directors. 18 It wasn't just -- it wasn't just I who was a direc- -- 19 the director of the whole department. 20 Q. All right. 21 A. There were four of us, I think, at the time. 22 Q. And -- and who were they? 23 A. At that point, I think it was me, Chuck 24 Smrt -- hmm. 25 know, there are a lot of folks in and out. 212-279-9424 So how many -- I don't remember who the other two -- you VERITEXT REPORTING COMPANY www.veritext.com I -- I 212-490-3430 Page 16 1 2 3 4 don't remember who the other two were. Q. And -- and how long did you stay as director of enforcement in NCAA? A. Then I -- I left in -- I think in June of 1989 5 to become the commissioner of the Ohio Valley 6 Conference. 7 Q. All right. What were your general job 8 responsibilities as far as being either an -- an 9 enforcement officer or the director of enforcement? 10 MR. WIERENGA: 11 MR. HOWARD: Objection, compound. Okay. We'll do it one at a 12 16 17 18 19 What were your job responsibilities as director of enforcement? A. Overseeing investigations by investigators or enforcement representatives who reported to me. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 18 9 Q. So now let me give you a clean question. 10 Back when you were working at the NCAA 11 during the 1980s, did you have an understanding of what 12 an amateur athlete was? 13 A. Yes. 14 Q. And what was that? 15 A. It was an enrolled student who -- you know, 16 whose avocation was participating in athletics, and -- 17 you know, and then there were certain rules that the 18 membership adopted, which, as an enforcement 19 representative, I had the responsibility to enforce -- 20 Q. All right. 21 A. -- that -- that pertained to those 22 So -- student-athletes. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 21 25 Q. 212-279-9424 Okay. Do you -- as you sit here today, do you VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 22 1 believe that if athletes that play either football or 2 basketball receive some type of compensation beyond 3 grant-in-aid, that that will destroy college athletics? 4 5 19 A. Destroy college -- yeah, I think it would have a huge detrimental effect. Q. What's the basis for your opinion that 20 compensation beyond grant-in-aid will be detrimental to 21 NCAA sports? 22 A. My personal opinion is it -- it would become 23 indistinguishable from the professionals, that the 24 student -- we have to -- you know, as commissioners, 25 I -- I always said, as commissioners, when I was a 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 23 1 commissioner in college athletics, we had a different 2 responsibility than the commissioners in the 3 professional leagues that were just focused on the 4 entertainment value. 5 we saw last night -- well, it wasn't much 6 entertainment -- in the national championship game, 7 and -- and the -- the role of the student-athlete. We had both entertainment, which 8 And having been one myself and been 9 afforded that opportunity, I think it's -- it was 10 critical to ensure that there was a relationship with 11 the student and the university, and I thought a 12 grant-in-aid was a fair -- a fair provision for 13 student-athletes and it didn't need to go beyond that. 14 That's, again, all my personal view on that. 15 Q. Okay. Okay. I'm just going to follow up on a 16 couple of things that you -- you said in your last 17 answer. 18 And -- and, again, the record speaks for 19 itself, so I'm not going to come back and ask you about 20 something you just said; I just want to ask you a 21 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 30 14 15 Q. Do you believe the grant-in-aid is a form of pay for play? 16 A. No. No. 17 Q. Why not? 18 A. I -- I view it as similar to what, 19 unfortunately, none of the Beebe kids were able to 20 obtain, which is a -- some type of award for a talent, 21 either, you know, strictly academic or musical or some 22 other form that an institution provides to attract -- 23 to attract students with special talents. 24 Q. Do you -- do you think -- 25 A. So -- and, I guess, to fill that out, I don't 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 31 1 view that -- you know, there are students that my son 2 is going to school with who are being provided grants 3 at institutions -- not related to athletics -- for 4 other talents, and I'd love for him to have one, but I 5 don't view those to be pay for singing on the -- 6 singing in the -- in the choir or being a chemist or 7 any of that kind of stuff. 8 9 10 11 So I -- I -- my viewpoint is that the student-athlete grant-in-aid is -- is similar to those arrangements. Q. Just so I understand, is it your position that 12 if someone receives a grant because they're a talented 13 musician, that's the same as someone getting 14 grant-in-aid because they're a good football player? 15 A. Yes. 16 Q. And you don't think that's pay for play? 17 A. No. 18 19 And I guess the government doesn't either because they're not taxing it. Q. Yeah, but -- well, that's -- we'll see. 20 Did you read Walter Byers' book? 21 A. Yes. 22 Q. How long ago did you read it? 23 A. Two years ago, maybe. 24 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 34 3 4 Q. Do you believe that the collegiate model can evolve without it harming the collegiate game? 5 A. Yes. 7 Q. How -- how could it evolve? 8 MR. WIERENGA: Go ahead. 9 10 11 12 A. I was a supporter of the -- of increasing the grant-in-aid limit to approach cost of attendance. Q. Okay. And -- and by that, you mean that 13 the -- the amount of grant-in-aid would be level with 14 the actual expense of attending school for an athlete? 17 18 A. Not necessarily level at all -- because you have the fluctuation between institutions. 19 Q. Yes, I -- 20 A. So -- 21 Q. -- understand. 22 A. So increase it closer to that, with a 23 common -- with a common -- the $2,000 limit was one 24 that I supported where the -- a grant-in-aid would be 25 redefined as room and board, tuition fees and books and 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 35 1 up to $2,000 for cost of attendance. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 36 25 Q. 212-279-9424 Okay. As you sit here today, do you have any VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 37 1 facts which you believe would support a position that 2 payment to players, once they've exhausted their 3 eligibility for the use of their names, image and 4 likenesses, will be detrimental to college athletics? 6 A. No. 7 Q. Did you -- going back to when you worked at 8 the NCAA, did you attend committee meetings of any 9 kind? 10 MR. WIERENGA: Object -- 11 A. When I worked at the NCAA? 12 Q. At the NCAA, yes. 13 A. Yes. 14 Q. And what were the committee meetings that you 15 attended? 16 give you a preface. 17 18 And let me just -- I'm going to -- I have to Let me just say it. You have counsel here who's representing you in the capacity for things that you did in 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 44 1 A. Yes. 2 Q. And you were the commissioner there, right? 3 A. I believe -- when was the suit -- 4 Q. Okay. 5 A. -- filed? 8 Q. You started at Big 12 in 2007; is that right? 9 A. 2003. 10 Q. 2003. 11 A. Yeah. 12 Q. Okay. 13 2000 -- 14 A. '11. 15 Q. -- '11? 16 A. Yes, uh-huh. 17 Q. Okay. 6 I apologize. And you were there from 2003 until So at some point during your tenure as 18 the commissioner, this dispute came up about the video 19 games, right? 20 A. Yeah. I don't remember -- did it come up 21 while I was commissioner or deputy commissioner? 22 can't remember. 23 Q. Well, let's -- 24 A. I What year -- 25 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 45 4 5 You were -- when you joined the Big 12 in 2003, you were deputy commissioner? 6 A. 7 associate -- 8 Q. I should -- 9 A. -- commissioner. 10 Q. I should have done this earlier. 11 A. That's right. 12 Q. I apologize. 13 A. Yeah. 14 Q. And when did you become commissioner? 15 A. In September of 2007. 16 Q. Okay. 17 A. Okay. 18 Q. -- 2007. 19 A. Okay. 212-279-9424 I was chief operating officer and senior That's -- that was why I said -- All right. VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 51 9 Q. If we go a little bit into your job 10 responsibilities between 2003 and 2011 -- I want to get 11 through it as fast as I can. 12 A. Sure. 13 Q. So maybe we could just start with your entry 14 position in 2003 as COO. 15 responsibilities at that time? 16 A. What were your job I was primarily responsible for the staff, 17 operation of the staff, internal operations. 18 the work of the outside legal counsel. 19 I oversaw primary liaison to the board of directors. I was the 20 Q. The Big 12 board of directors? 21 A. Correct. 22 Q. Okay. 23 A. In terms of fashioning the agendas and -- and 24 then -- and taking the minutes, compiling the minutes, 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 52 1 Q. 2 change? 3 A. When I became commissioner in September of 5 Q. 2007? 6 A. I mean -- I'm sorry. 4 Okay. And when did your job responsibilities 2011. I became interim 7 commissioner in July of 2011, and then full-time 8 commissioner in. -- 9 10 MS. DEAN: A. Not '11. I mean '7, '7, sorry, 2007. July of 2007 11 became interim commissioner, and then September was 12 named full-time commissioner. 13 Q. Who did you replace? Q. And how did your job responsibilities change, 14 15 16 17 if at all? A. I was in -- responsible for all activities of 18 the conference and, you know, charged staff with 19 carrying out various responsibilities. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 54 1 A. Yes. 2 Q. Okay. 3 A. ESPN, I'm sorry, for -- for basketball, not 4 football. FOX for -- 5 Q. FOX Sports? 6 A. FOX Sports South for football, ESPN for 7 8 9 10 11 basketball. Q. You negotiated two contrac- -- two television contracts total; is that fair? A. I don't -- I think it's -- I mean, there were -- you know -- 12 Q. 18 Q. 19 Okay. Now, when was the first time you negotiated a television contract at the Big 12? 20 A. Probably 1989 -- oh, Big 12, I'm sorry. 21 Q. Yes. 22 A. I was thinking OVC. Well, I was involved with 23 the negotiation with the commissioner when I first got 24 there in 2003. 25 television deal on our secondary football rights. 212-279-9424 We did an extension of our FOX VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 55 1 Then I was involved with him again in the 2 spring of 2007 with an extension of our ABC/ESPN 3 agreement. 4 the spring of 2011, we did an extension with FOX for 5 our secondary football rights. And then I -- when I became commissioner in 6 7 MS. DEAN: You just said you became the commissioner in the spring of 2011. 8 THE WITNESS: I did again? 9 Q. You did that again. 10 A. Sheesh. 11 know. It's 2007. 12 13 Why is '11 and -- and -- I don't THE WITNESS: Thank you. you Keep track on that. 14 MR. HOWARD: Thank you, Counsel. 15 THE WITNESS: 16 I'll probably do it about 15 more times. Keep track on that because 17 Q. Okay. 18 A. I don't know why that's stuck in my head. 19 21 Remember, I have brain damage from football and rugby, Q. On any of the occasions that you've just 22 listed, the 2003 FOX extension, the 2007 ABC/ESPN 23 agreement, and the -- the last extension with FOX that 24 you negotiated -- 25 A. 212-279-9424 In 2011? VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 56 1 Q. -- in 2011 -- 2 A. Yeah. 4 A. Yeah, that one was in 2011. 6 Q. -- was there anybody involved in any of those 7 9 negotiations on behalf of the student-athletes? A. Well, I would say that all of us who were, you 10 know, responsible for considering student-athletes in 11 that -- in the negotiations. 12 13 14 Q. Okay. And when you say all of us, you're referring to who? A. Me, the committee, the -- I mean, the -- the 15 board of directors that ultimately approved the 16 contract, athletics directors who ultimately approved 17 the contract. 18 19 Q. Okay. And did you consider at that time that you were representing their interests? 20 A. Yes. 21 Q. Okay. 22 A. Well, if -- we wouldn't agree to playing games And how were you doing that? 23 at inordinate times that would, you know, provide a 24 hardship for student-athletes. 25 Q. 212-279-9424 What else? VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 57 1 A. The -- you know, student-athletes are 2 attracted to as much exposure as they can get. 3 part of what helps in recruiting to institutions. 4 It's Coaches, when they recruit, you know, 5 report that they might have lost a student-athlete to 6 another conference because of the exposure that 7 conference got versus what your conference has. 8 there was a -- a -- you know, a dedication to try to 9 provide the most exposure that we could. 10 So You know, women's basketball and baseball 11 and soccer and all those sports that needed to have as 12 much -- I mean, you know, they wanted -- those 13 student-athletes wanted as much exposure, and it got 14 down to when you recru- -- as crass as it was in 15 recruiting, a volleyball player out of Lake Highlands, 16 which has a great volleyball program, you know, you 17 wanted to try to get as much -- as much -- as many of 18 those games on as you could. 19 And in the high-profile sports, you know, 20 it made a difference in recruiting student-athletes 21 that you had exposure. 22 you know, student-athletes will attend some schools 23 versus others. That's part of the reason why, 24 Q. Because the games are on television? 25 A. Yeah. 212-279-9424 That's a big -- a big deal for VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 58 1 student-athletes, yeah. 2 Q. Okay. 3 A. Unless they're going to Michigan. 4 don't care. 5 6 Then they MR. WIERENGA: Just being in Ann Arbor is compensation enough. 7 THE WITNESS: 8 THE REPORTER: I'm sorry? 9 MR. WIERENGA: You don't need to report 10 that. 11 13 Yeah. THE WITNESS: Q. Okay. We have to have some levity Well, Mr. Beebe, thank you. Is that a 14 complete list of how you represented the interests of 15 the student-athletes during the negotiations of these 16 contracts? 17 18 A. As I sit here now, yes. I mean, I might think of more things later, but ... 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 59 13 Q. When you were negotiating the contracts in 14 2003, 2007 and 2011, did you have an understanding that 15 those contracts would touch upon rebroadcasts of 16 athletic events? 19 A. Yes. 20 Q. Was that true for -- on each occasion? 21 A. I don't remember the earlier -- 22 Q. Okay. 23 A. -- negotiations. 24 Q. But at least for 2007 and 2011, rebroadcast 25 was one of the issues that was on the table? 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 60 1 A. Yes. 8 A. And there -- you know, and there wasn't deemed 9 It was a very important one. to be much value. I think probably when ESPN Classic 10 came on-line and started to rebroadcast games, there 11 became more of an interest in the value of the 12 rebroadcast, and so it was a -- a big item in 13 negotiations for conferences and institutions to try to 14 recapture those rights -- or I shouldn't say 15 recapture -- to capture those rights. 16 Q. And -- and you understood, I take it, that 17 that -- that important issue of capturing the rights to 18 the rebroadcasts was not something that was just 19 inherent to the Big 12; it was also true of other 20 conferences, right? 23 A. That -- that was my understanding, yes. 24 Q. When you were negotiating the contracts, did 25 you have an opportunity to see other contracts from 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 61 1 oth- -- from -- between networks and other conferences? 2 A. I did not. 6 Q. Okay. Now, during this -- during the time the 7 negotiated -- negotiation of the contracts, let's just 8 say between the 2007 and 2011 period, did you 9 understand that some of these rebroadcasts would 10 include the use of images of athletes who had already 11 exhausted their eligibility? 14 A. Yes. 15 Q. In other words, people, for example, had 16 graduated and they couldn't play anymore, and then the 17 games would be shown on TV and there they would be, 18 right? 19 A. Yes. 20 Q. Okay. Was there any discussion that those 21 athletes that had exhausted their eligibility would be 22 entitled to compensation? 23 A. No. 24 Q. Why not? 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 62 2 3 4 A. I don't think it entered our minds, at least not mine. Q. Is the reason for that because you were under 5 the impression, as you are today, that the -- the 6 athletes are not entitled to receive anything beyond 7 the grant-in-aid that they get from the universities? 10 A. Yeah, I think that's too broad. 11 Q. Okay. 12 A. Well, I mean -- you mean in perpetuity they're 13 Can you narrow it for me? not allowed to get -- to -- no, I never had that view. 14 Q. Well, what was your view? 15 A. Well, as participants in a contest that was 16 televised -- 17 Q. Right. 18 A. -- you know, they -- they -- you know, by 19 walking on the field or court or, you know, sand 20 volleyball court or baseball diamond or softball 21 diamond, you know, they -- they agreed -- in fact, you 22 know, like I reported earlier, they wanted and demanded 23 that they get as much exposure as they could. 24 Q. Right. 25 A. So -- so for that -- for that purpose, then, 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 63 1 there was never -- and for the rebroadcast of that 2 contest that they were in, you know, my feeling was 3 always that's what they -- you know, that's what they 4 came to school for, that's what they -- that's what 5 they actually demanded in a lot of ways. 6 The -- the -- however, if there was a 7 broadcast of a tremendous event, you know, that Vince 8 Young in the Rose Bowl kind of a deal, and later, as a 9 student-athlete, he was -- you know, he went to the 10 rights holders for that game and he wanted to, you 11 know, put together clips of that game and other games 12 or him in high school or whatever else he could get 13 together to have a Vince Young show, then, and profit 14 from that, I didn't -- that's not a problem. 15 outside of his eligibility, and, you know, so if he 16 wanted to gain -- if he wanted to get clips, like 17 anybody else -- you know, I've come -- there are a lot 18 of producers that say, hey, we'd like to get clips of 19 this, this and this, and we go to CLC and how much is 20 that -- you know, how much do we sell it for or 21 whatever -- He was 22 Q. Yeah. 23 A. Yeah, right. 24 Q. Okay. 25 A. So -- so that -- that -- yeah, that -- that 212-279-9424 You've got to pay for that, right? Exactly. So -- VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 64 1 was never -- so -- so when you talk in those broad 2 terms, no, I never got the -- I never had the view that 3 outside of their athletics eligibility they couldn't -- 4 you know, they couldn't use their use and image for 5 whatever kind of profit that they could get, you know. 6 Q. All right. Well, just to -- just to follow 7 the line on that, if -- if I hear what you're saying, 8 you were of the mind-set that if a -- a player who had 9 exhausted his eligibility wanted to purchase clips or a 10 game or whatever he wanted to do, he -- he had the -- 11 the wherewithal to -- to go to whoever held the rights 12 and to get those clips, right? 13 14 A. Yeah. They may not be purchased. It may just be that they just provide it to him. 15 Vince went to University of Texas. You 16 know, Texas may say, oh, Vince, here, here's you know, 17 15 minutes of your -- 18 Q. Okay. 19 A. -- of your game. 20 Q. Okay. 21 22 MR. HOWARD: tape. We're going to change the Just hold the -- 23 THE WITNESS: 24 MR. HOWARD: Sure. -- thought for a second. 25 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 65 1 MR. HOWARD: 2 MS. DEAN: 3 THE VIDEOGRAPHER: 4 Okay. I'd like to take a break. Off the record at 10:44 a.m. 5 (Recess 10:44-10:54 a.m.) 6 THE VIDEOGRAPHER: 7 8 9 12 number 2. Q. This begins media We're back on the record at 10:54 a.m. We were talking about the negotiation of the TV contracts in 2007 and 2011, so I'd like to come back Q. Did -- and I think we had agreed that you 13 understood at the time that there would be rebroadcasts 14 where players would be -- would be on television in a 15 rebroadcast situation where they had exhausted their 16 eligibility; you -- 17 A. Yes. 18 Q. -- understood that? 19 Okay. And then just to pick up the 20 thread, you -- you had explained that you understood 21 the clips, if requested, could be made available to a 22 player that had exhausted its elig- -- his eligibility? 23 A. Yes. 24 Q. Did you -- did you ever consider whether or 25 not the players would be entitled to compensation for 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 66 1 the use of their name, image and likeness where they 2 were no longer athletes, but their image was still 3 being used in a rebroadcast situation? 4 A. No. 5 Q. Why not? 6 A. I can't tell you why not. 7 Q. It was just something that you -- you 8 understood that -- 9 A. No. 10 Q. -- was the way it was going to be? 11 A. Correct. 12 Q. Was there anybody -- was there any effort made 13 to include the -- the athletes as being able to 14 participate in the compensation that was being paid by 15 the networks in connection with these contracts? 19 20 A. More than their student -- their grant-in-aid, no. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 67 1 eligibility? 2 A. Beyond -- 3 4 MR. WIERENGA: THE WITNESS: 6 A. I apologize. I'm -- I'm trying to re- -- reformulate the question. 8 9 Object to the form, asked and answered. 5 7 Sorry. MS. DEAN: She can read it back, if you want. 10 THE WITNESS: 11 back. 12 Yeah. Go ahead, read it I think it was a good -- I just don't remember. Go ahead. 13 (Record read.) 14 15 Q. As you sit here today, do you believe that if 16 some portion of the rebroadcast royalties, for lack of 17 a better word, were provided to athletes that were no 18 longer eligible, that that would have any detrimental 19 effect on college sports? 23 24 25 A. Yeah, I -- I -- I don't know. First of all, the value of those rebroadcast rights isn't very high. Q. 212-279-9424 Okay. VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 68 1 A. So I don't think we really thought about any 2 of that beyond, you know, what all was being provided 3 for -- of that money that would go toward grant-in-aid 4 for all the student-athletes, you know, not just the 5 ones that were appearing in the broadcast. 18 Q. I'm just looking for your best answer -- 19 A. Yeah. 20 Q. -- today. 21 A. Yeah. I mean -- 25 A. Yeah. I -- I just -- there's too many -- too 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 69 1 2 many variables that I have to consider. Q. Could -- for the record, could you just 3 provide the variables to me, and then we'll move on to 4 another topic? 7 A. Yeah, I -- I think as -- maybe this is from my 8 old -- you know, the -- the foundation of a lot of that 9 intercollegiate athletics is the -- is recruiting and 10 the fact that you try to make it as level as you can 11 for institutions to recruit. 12 So I always come at it -- and being an old 13 enforcement guy, too -- from the position of, could 14 School A provide a lot more incentive to a recruit to 15 come because of, you know, saying, well, if you come 16 here and the rebroadcast rights are going to be worth X 17 and you're going to have, you know, 50,000 more dollars 18 than if you go to School B, and then -- and then that's 19 going to -- 20 Q. In a different conference? 21 A. Well, even in the same conference. 22 Ohio -- Iowa State versus Texas -- 23 Q. Right. 24 A. -- you know. 25 And even if it wasn't defined -- I mean, there's -- that's what I mean by the variables. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 70 1 So that would have to be understood. 2 It's not -- we don't have a draft, you 3 know. And I think everybody would be -- object to 4 drafting 17-year-olds to say, sorry -- I mean, God -- 5 they'd have to go to Michigan or Penn, for God sakes. 6 And so -- so I -- so I think that 7 that's -- that's -- that's the prism that you have to 8 view a lot of that stuff through. 9 10 Q. You think there would be less fan interest if that were to occur? 11 A. Absolutely. 12 Q. Why is that? 13 A. Because then if it imbalances the recruiting, 14 then you'll have only a handful -- you can -- the Boise 15 States of the world may not exist. 16 Q. Do you think that the money is so significant 17 that it would have a material impact on either 18 recruiting or fan interest? 19 A. 212-279-9424 No question. VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 73 1 2 A. Yes. So they can access the marketplace like any other student. 3 Q. But that's not true, though, right? 4 MR. LAURIDSEN: 5 MS. DEAN: Objection -- Objection, arguing with the 6 Re: 9 Book, Drop 10 per 5:20 Order Q. I think the point that I'm just trying to generally get at is that when you 12 play college football and basketball, there are certain 13 constraints put on your ability to market your name, 14 image and likeness. Would you agree with that? 16 A. I would agree -- 18 A. Yeah, I would agree. 20 Q. Okay. 21 A. If that's the route you choose, there are 19 22 Yes, I would agree. Yeah. certain constraints. 23 Q. And who makes those constraints? 24 A. The membership of the NCAA. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 96 Do you recall whether there was an 13 issue at the Big 12 about whether or not the football 14 players and basketball players were graduating at a -- 15 at a rate comparable to nonfootball and nonbasketball 16 players? 17 A. It -- yes. That was always part of the 18 discussion, and the genesis for the Group of Six is to 19 try to continue to improve the graduation rates for all 20 student-athletes, and there was a focus on football and 21 men's basketball. 22 23 25 Q. And -- and why are the football and basketball players lagging behind? A. 212-279-9424 Yeah. In my view -VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 97 1 Q. Uh-huh. 2 A. -- a number of those athletes have come into, 3 you know, institutions that are prominent institutions 4 that are -- with -- with -- and they're not as prepared 5 necessarily as the regular student body. 6 some -- there's some -- there's a lot of effort, 7 energy, resources committed to providing those 8 student-athletes with the -- catching up with the 9 preparedness. 10 11 12 And a number of them are not as focused on academics as they are on the -- on the sport. Q. In other words, some of them are just there to play sports and not to go to school, right? 13 MR. WIERENGA: 14 MS. DEAN: 15 MR. WIERENGA: 16 MS. DEAN: 18 19 So there's A. Objection -- Object --- foundation. Object to the form of the I mean, some, perhaps, but I don't -- I'd have to talk to them about that. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 116 1 Q. -- right? 2 Did you -- in the normal course and scope 3 of your duties as either an associate commissioner or 4 the commissioner of the Big 12, did you receive reports 5 on the status of television negotiations? 6 A. Yes, sir. 7 Q. And this would be typical of such a report you 8 might get? 9 A. Yes, sir. 10 Q. And you would get updates both verbally and 11 written, right? 12 A. 13 Q. 17 Q. 18 Yes, sir. Okay. What -- when -- when did you actually become the commissioner of the Big 12? 19 A. Sep -- well, September 5, 2007. 20 Q. All right. And in the calendar year 2007, one 21 of your job responsibilities included participating in 22 the negotiations with FOX, right? 23 A. Yeah. 24 Q. I'm sorry. 25 A. Yeah. 212-279-9424 It was with ABC/ESPN. VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 117 1 Q. Yes, ABC -- 2 A. Right. 3 Q. -- ESPN, and later on with -- with FOX, right? 4 A. In 2 -- in 2003, with FOX; 2007 with ABC/ESPN; 5 and 2000 -- 6 Q. '11. 7 A. -- '11 with FOX -- 8 Q. Right. 9 A. -- right. 10 Q. Okay. Now, let's take a look at the third 11 full paragraph, beginning with Mr. Weiberg providing 12 the directors with an overview of the contractual 13 obligations. 14 Do you see that paragraph? 15 A. Yes, sir. 16 Q. We had talked earlier about the desire on the 17 part of the Big 12 to -- for lack of a better word, 18 capture the rebroadcast rights. 19 A. Yes, sir. 20 Q. Okay. 21 A. Our member institutions wanted to use them on Why was that valuable to the Big 12? 22 their own either, you know, distribution systems, 23 networks, Web sites, whatever it was. 24 Q. 212-279-9424 Okay. And was there a monetary value attached VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 144 6 Q. Do NCAA rules prohibit EA from paying former 7 student-athletes for the use of their name, image or 8 likeness? 10 A. My understanding is they do not. 11 Q. Do Big 12 -- any Big 12 conference rules 12 prohibit such compensation being paid to former 13 athletes? 14 THE REPORTER: I'm sorry. Could you 15 16 Q. Do any -- well, it's the same question as to 17 the Big 12. 18 from paying former student-athletes for the use of 19 their name, image or likeness? 20 A. Does -- do any Big 12 rules prohibit EA And my answer is the same: 21 MS. DEAN: 22 MR. HOWARD: 23 THE VIDEOGRAPHER: 24 No. I think lunch is here. Okay. Let's take a break. Off the record, 12:49 p.m. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 174 9 10 Q. All right. And I take it that, again, throughout this -- well, let me back up. 11 In negotiating this -- this contract that 12 you signed, you had an understanding that there was no 13 need to consult with the players on the issue of 14 compensation -- former players, because by 15 participating in the contest, there was no need to 16 compensate them for any fashion, even if there was a 17 rebroadcast under this contract? 18 19 MR. HENDERSON: answered. 20 23 Objection, asked and MR. WIERENGA: A. And foundation and -- well, There were no former players that were at the 24 point in time of this contract -- that were subject to 25 this contract. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 175 1 Q. Okay. 2 A. Because this was all about future football 3 There were -- this contract -- games. 4 Q. I understand. 5 A. Okay. 6 Q. Okay. 7 It's a 13-year contract or a 12-year contract? 8 A. Yes. 9 Q. Okay. 10 A. Correct, of future games. 11 Q. Of future games -- 12 A. Okay. 13 Q. -- right. 14 And it called for rebroadcasts, right? And so by -- by definition, at some point, 15 as I think you've explained, you understood that they 16 would -- there would -- there was the potential for 17 rebroadcasts, including rebroadcasts of games where 18 players would be shown on television that were no 19 longer eligible, right? 20 A. That's correct. 21 Q. And you -- everybody understood that, right? 22 23 24 MR. WIERENGA: Object to the form, foundation. A. Well -- 25 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 176 1 2 A. I don't even know if everybody even thought about that, but -- so I can't really -- 3 Q. Okay. 4 A. -- speak for everybody. 5 Q. Okay. 6 It certainly was a logical starting point? 7 A. To my logic. 8 Q. Okay. 9 Well, you're -- you're the logic that I want to know about. 10 A. 11 Okay. Q. 17 All right. So, again, from your perspective, no need 18 to consult with the -- with any players who might 19 become former players in the future because by virtue 20 of participation in the live broadcasts, there was no 21 obligation to pay them anything in the future, right? 24 A. 212-279-9424 Yes. VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 177 A. 2 And I wouldn't even know who those players 3 were. How would I know which players were coming into 4 the Big 12 institutions and which ones I would have to 5 talk to? 6 consultation by legal counsel -- The other thing is I didn't have any -- any 7 Q. Right. 8 A. -- that there was any issue with that either. 9 Q. Right. 10 Well, you understood that at some point 11 players that were on the roster as of April 1, 2011, 12 when this was signed, would be participating in live 13 games, right? 14 A. Well, how would I know they wouldn't transfer 15 or quit or something like that or leave in some form or 16 fashion? 17 Q. Okay. Well, I'm -- I -- I think my -- I'm 18 just kind of trying to say something that's inherently 19 logical here, which is that, basically, you understood 20 that this contract was going to be covering both live 21 broadcasts -- 22 A. Yes. 23 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 257 1 Q. Back up. 2 3 When you left the Big 12, was it something that was still being considered? 4 A. I don't remember that either. 5 Q. Okay. 6 So you just didn't really work on that project? 7 A. No, I wasn't engaged in that. 8 Q. Okay. 9 10 MR. HOWARD: MR. WIERENGA: I thought you were at the end. 13 14 So let's take a break, because I'm getting to the end. 11 12 Okay. THE VIDEOGRAPHER: Off the record, 4:02 p.m. 15 (Recess 4:02-4:10 p.m.) 16 THE VIDEOGRAPHER: 17 18 number 7. This begins media We're back on the record at 4:10 p.m. Q. 21 Are you aware of any facts, as opposed to 22 maybe perhaps opinion, that paying former athletes 23 either for rebroadcasts, royalties or the use of their 24 images -- name, image and likeness in video games would 25 somehow upset the competitive balance that presently 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 258 1 3 exists in college football and college basketball? A. I mean, you'll have to tell me if this is a 4 fact, but in my 30 years of experience, including being 5 an investigator, and then talking to a number of 6 student-athletes and understanding their -- and my own 7 experience as a student-athlete and the background I 8 came from without having any resources whatsoever 9 available to me -- 10 Q. Uh-huh. 11 A. -- and having to not only just be on a partial 12 scholarship, which was challenging, but also work, that 13 that -- that fact and the fact of statements that 14 those -- those student-athletes, prospective 15 student-athletes told me, I know for sure that the 16 ability to -- to receive more money would have been a 17 factor in what school they would have chosen and, 18 therefore, disrupting the competitive balance within 19 the NCAA. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430 Page 259 14 Do you have any objective facts like 15 research or, you know, polls or any of those kind of 16 things? 19 A. 20 No, other than my own facts that I've gathered. 212-279-9424 VERITEXT REPORTING COMPANY www.veritext.com 212-490-3430

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