$27 Million Settlement Announced in EA Madden Price-fixing Lawsuit

[3Rivers]

SAN FRANCISCO – Attorneys representing purchasers of Electronic Arts, Inc. (NASDAQ: ERTS) (“EA”) football video games have reached a proposed settlement over claims that the gaming giant violated antitrust and consumer protection laws and overcharged consumers for the games.

The case, originally filed June 5, 2008, in the United States District Court for the Northern District of California, alleges that EA violated antitrust and consumer protection laws by establishing exclusive license agreements with the National Football League (NFL), National Collegiate Athletic Association (NCAA), and the Arena Football League (AFL). The agreements gave EA the exclusive right to produce football video games with the teams, players and other assets of the NFL, AFL and NCAA, the lawsuit states.

The proposed settlement, filed with the court on July 19, 2012, would establish a $27 million fund for consumers who purchased Madden NFL, NCAA Football or AFL games published by EA. If the settlement is approved by the court, consumers who purchased a sixth generation title (GameCube, PlayStation 2, and Xbox) may receive up to $6.79 per game. Those who purchased a seventh generation title (Wii, Xbox 360 and PlayStation 3) may be entitled to as much as $1.95 per game under the terms of the proposed settlement.

It also stipulates that EA will not sign an exclusive license arrangement with the AFL for five years and will not renew its current agreement with the NCAA, which expires in 2014, for at least five years.

“After more than four years of hard-fought litigation, we have reached a settlement that we strongly believe is fair to consumers,” said attorney Steve Berman, managing partner of Hagens Berman, the law firm representing consumers. “We look forward to moving this process forward and asking the court to approve this settlement, which we think is in the best interests of the class.”

On April 6, 2011, the court certified a class of consumers in the case, including all persons who purchased Madden NFL, NCAA Football or AFL games published by EA between January 1, 2005, and the present.

The proposed settlement must be approved by the court before it is final.

Consumers can learn more about this case by visiting Hagens Berman > EA Madden NFL. You can also contact Hagens Berman, lead-counsel in the action, by emailing maddenNFL@hbsslaw.com.

 

[Muzion]

It also stipulates that EA will not sign an exclusive license arrangement with the AFL for five years and will not renew its current agreement with the NCAA, which expires in 2014, for at least five years.

What about the NFL license?

 

[TheMoor]

Damn the AFL and NCAA, I want my 2K football back

 

[MikelArteta]

it also stipulates that EA will not sign an exclusive license arrangement with the AFL for five years and will not renew its current agreement with the NCAA, which expires in 2014, for at least five years.

I would not mind another college hoops game, i still mess with college hoops 2k8

 

[StatUS]

it also stipulates that EA will not sign an exclusive license arrangement with the AFL for five years and will not renew its current agreement with the NCAA, which expires in 2014, for at least five years.

I would not mind another college hoops game, i still mess with college hoops 2k8

Could be wrong but I think both EA and 2K stopped making college bball games because they didn't sell.

That NCAA license costs alot of money.

 

[detroitwalt]

What about the NFL license?

This.

I had to go back and read it again hoping it was a typo they meant NFL

 

[FloorGeneral]

1. How they gonna pay ppl? You'll probably have to produce a receipt proving you actually purchased the game(s), and noone in their right keeps receipts for games for years.

2. at the noticeable absence of the NFL license: guarantee that was part of the settlement. EA was probably like: "ok, we'll give you X amount of dollars, and give up the exclusivity of the NCAA license for X amount of years, but we keep the NFL license".



That sucks. I doubt anyone (re: 2K) wants to do anything with the NCAA license, so I'd guess that we'll still be stuck with EA as far as NCAAFB goes.

 

[Judgement!]

Lawyers getting caked up

 

[jadillac]

1. How they gonna pay ppl? You'll probably have to produce a receipt proving you actually purchased the game(s), and noone in their right keeps receipts for games for years.

2. at the noticeable absence of the NFL license: guarantee that was part of the settlement. EA was probably like: "ok, we'll give you X amount of dollars, and give up the exclusivity of the NCAA license for X amount of years, but we keep the NFL license".



That sucks. I doubt anyone (re: 2K) wants to do anything with the NCAA license, so I'd guess that we'll still be stuck with EA as far as NCAAFB goes.

I've bought NCAA evey year since like 2002....not this year tho.

i dont still have all of them, but I have enough of them to prove that I buy every year. hell if I can get $30-35 outta these crooks, I'm taking it. They OWE me with these half-ass games they put out.

EA just showing why they were chosen the worst compan in America