UFC antitrust lawsuit ready for trial after judge rejects settlement

The antitrust lawsuit filed against the UFC by a group of former fighters is not yet over.

On Tuesday, Judge Richard Boulware of the U.S. District Court in Nevada rejected a $355 million settlement offer in the Johnson vs. Zuffa and Le vs. Zuffa cases and set a tentative trial date of Oct. 28 for the latter case, online documents show. MMA journalist John Nash first reported Boulware’s ruling.

A written order from Boulware is expected. A status conference is scheduled for Aug. 19, when the parties will meet with Boulware and set dates.

In March, the plaintiffs and defendants announced a settlement. While the lawsuits initially sought damages ranging from $894 million to $1.6 billion, the settlement proposal was for $335 million.

After the deal was struck, Boulware indicated he had concerns about its terms and said the proposal was likely to be rejected.

MMA journalist Josh Gross, who attended the July 12 hearing, reported that Boulware was concerned that the monetary damages would be insufficient, especially considering that many of the people involved in Johnson’s class fight signed waivers that would have allowed them to receive only $3,000 in damages from the lawsuit.

In addition, Boulware reportedly raised the issue of the difference between the two lawsuits they were seeking. The Le class sought money. The Johnson class sought an injunction, which was not part of the settlement.

Players’ attorneys, including Eric Cramer, had argued for guaranteed monetary damages at a July 12 hearing rather than risk getting nothing if the case goes south.

“The truth is, there’s very little merit to the claim,” Cramer said (according to Sportico). “They should take — they’d be better off taking the money and getting an injunction. … A world where that doesn’t happen is not in the best interest of that fighter, because I would tell him if he was in my office, ‘You’re probably going to lose. You’re probably not going to get anything.'”

Le’s lawsuit began nearly a decade ago. Five separate class action lawsuits between December 2014 and March 2015 were eventually consolidated into one (Le et al.), and a second separate lawsuit was filed in 2021 (Johnson et al.).

The lawsuits alleged violations of the Sherman Act. Class action lawsuits allow for triple damages, meaning the court could triple the amount it sought from UFC.

A group of former fighters alleged that the UFC’s contract structure and business practices limited fighters’ ability to negotiate and explore other promotional options, creating a monopsony. This action was led by former fighters Cung Le, Kyle Kingsbury, Kajan Johnson, Jon Fitch, Brandon Vera and others.

If another settlement agreement is not reached and approved and the lawsuit continues, the plaintiffs will need a unanimous jury verdict to win. Even if they win, there could be years of appeals before the players see any damages or an injunction.