Rutgers Can't Evade Arbitration Over $10M Big East Exit Fee

Law360, New York (November 1, 2013, 5:43 PM EDT) -- A New Jersey federal judge ruled Thursday that Rutgers University’s suit challenging a $10 million exit fee the American Athletic Conference, the former Big East Conference, claims the school owes for leaving it should be arbitrated in Rhode Island.

U.S. District Judge Michael A. Shipp ruled that the conference’s amended bylaws contained a valid forum selection clause stipulating that lawsuits challenging the conference’s rules are subject to mandatory arbitration, defeating Rutgers’ attempt to battle out in court the dispute over a $10 million withdrawal fee the...
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