Court rules for BC in flap over exit fee
Boston College cleared a major legal hurdle in its bid to join the Atlantic Coast Conference yesterday when a Massachusetts Superior Court judge issued summary judgment in favor of the school's attempt to depart the Big East next July under the old provisions of the conference's constitution.
In an attempt to stablize its conference after the defections of Miami and Virginia Tech to the ACC in June 2003, Big East presidents sought to stiffen the $1 million withdrawal fee and 12-month notice in an amendment voted on last Oct. 6 that called for a $5 million penalty and 27-month withdrawal notice.
When it was initially proposed last July, BC expressed its support for the amendment, but abstained from voting on the measure when Villanova president Rev. Edmund J. Dobbin faxed an explanatory memorandum and a ballot to the conference's presidents and chancellors.
When BC accepted an invitation to become the ACC's 12th member six days later, Big East decision makers sought to impose the new penalties, prompting BC officials to seek a declaratory judgment, claiming the conference improperly attempted to amend its constitution.
Yesterday, in his 17-page decision, Superior Court Judge Allan van Gestel ruled the amendment was not adopted in accordance with Article VII of the Big East Constitution, declaring invalid the harsher exit penalties. As a result, van Gestel said BC was entitled to exit the Big East next July 1 for $1 million, and the school is entitled, with exception to voting rights, to all benefits and privileges provided to other Big East members.
"We are gratified that, after nearly a year of adverse and misleading public statements leveled against us, a respected judge has seen through to the actual merits of the case and has ruled in favor of Boston College," athletic director Gene DeFilippo said in a statement yesterday.
In his ruling, van Gestel posed the question whether the Big East's $1 million exit fee could be characterized as liquidated damages, seemingly giving BC an avenue to legally challenge its enforceablity. The judge indicated that a $5 million fee "would constitute an unreasonable penalty" and would exceed the actual loss suffered."
In addition, van Gestel said BC was eligible to withdraw before July 1, 2005, for a doubled withdrawal fee of $2 million. When contacted last night, DeFilippo indicated the school had no such plans for an early exit and that it would remain a Big East member until July. Efforts to reach BC president Rev. William P. Leahy, S.J., who was traveling from the West Coast, were unsuccessful.
Big East commissioner Mike Tranghese issued a statement expressing his dismay over the ruling. He did not indicate whether the conference was prepared to appeal.
"Although I have not read the 17-page decision in its entirety, I can say that we are extremely disappointed with the court's decision," Tranghese said. "I will be discussing our options with the conference's Executive Committee in the next few days to determine the status of our appeal."
Predictably, ACC commissioner John Swofford applauded the decision, which seemed to pave the way for the ACC to proceed with its plans to expand to a 12-team conference and stage a lucrative football championship game next season.
"We are very pleased for Boston College and not surprised by this ruling," Swofford said in a statement. "As we have always said, we look forward to having Boston College in the Atlantic Coast Conference."
