RE: Fox/ESPN have veto power on Big 12 Expansion?
I'll take a stab at explaining how the GOR and network agreements fit together.
In Section 1, which is the heart of the Big 12 GOR, each school grants to the Big 12 Conference whatever rights are necessary to enable the conference to fulfill its obligations under the Conferences' media deals with ESPN and Fox. The individual schools retain all other rights.
No one has seen the Conference media deals with ESPN/Fox because they have not been made public. But let's say, for example, that the Conference media deals give ESPN/Fox the right to broadcast 3 games on the one weekend of the season. ESPN/Fox says, OK Big 12, this week we want the Baylor home game, the Oklahoma home game and the Iowa State home game. The GOR assures the Conference and ESPN/Fox that the conference can fulfill its obligations under the media deals, so in this instance the conference says "Baylor, Texas and Iowa State, we're taking your home games this week."
What ever ESPN/Fox don't want, stays with the schools. That week, for example, both Texas and Kansas got to keep the rights to their games. Some people refer to these as Tier 2 or Tier 3 games, but regardless the important point is that the schools get to keep the rights and can sell them. That's what Texas did with the LHN, Oklahoma did with Fox and Kansas did with ESPN.
That's how the two contracts work together. From a technical perspective, the Conference (not ESPN/Fox) owns the rights granted by the schools in the GOR, but as a practical matter, ESPN/Fox can make use of them by calling for the game to be one of the games they want to broadcast.
The most interesting thing about the GOR is how it's worded - the schools only grant the rights necessary for the conference to meet its obligations under its contracts with ESPN/Fox. SO . . . . what would happen if the ESPN/Fox media deals were terminated for some reason after the 2015-16 season? The technical answer is that the GORs would still exist, but they would be meaningless because the Conference would have NO obligations to ESPN/Fox.
That's why some people think there is a 'backdoor' way to get out of the GORs. ESPN/Fox almost certainly built in rights to terminate their agreements if certain things occur - like, maybe, for example, Texas, Oklahoma and three other schools leaving the Big 12. ESPN/Fox would probably not want to keep paying the Big 12 $200 million per year if only 5 lesser schools remained. Likewise, they would not want to allow the Big 12 to just replace Texas and Oklahoma with, for example, UTEP and BYU, and have to keep paying $200 million per year. UTEP and BYU may be fine schools but they will not draw the huge TV audience that Texas and Oklahoma will.
So that's basically the picture. No one knows what the Big 12 agreements with ESPN/Fox say, but it's reasonable to assume the networks built in at least some termination rights to protect themselves in the event that, notwithstanding the GOR, some major event occurs.
What events might trigger ESPN/Fox rights to terminate - and as a result essentially make the GOR meaningless? Dissolution of the conference voluntarily (requires 8 votes) would probably be one. The Big 12 not being considered a conference by the NCAA (less than 7 members, I think), maybe that one too. Texas leaving the conference, even if everyone else stays? or perhaps Texas and Oklahoma both leaving? Who knows . . . and that's what these message board are all about because we love to speculate and seize on the latest tidbit of information to try to see into the crystal ball of future realignment.
|