Today the NCAA to the latest version of a lawsuit filed by State Senator Jake Corman in state court. This is Senator Corman’s third attempt in less than three months to bring a viable legal action. In its papers submitted today, the NCAA argues that these latest changes, including the addition of Treasurer Robert McCord as a plaintiff, do not correct the faults contained in his previous two complaints.
The lawsuit argues that a private endowment required by the agreement between Penn State and the NCAA violates Pennsylvania State law. Penn State agreed to fund that endowment, which will be established by the NCAA, to assist victims throughout the country of child sexual abuse and to prevent such abuse in the future. Penn State will contribute $12 million a year for five years towards that endowment—a total of $60 million.
Senator Corman and Treasurer McCord contend that Pennsylvania law, including the Endowment Act, requires the endowment funds to be paid exclusively to the State Treasury and used to combat child sexual abuse only within the state.
The NCAA believes the Endowment Act is unenforceable because it violates the United States Constitution, and the NCAA has presented these arguments in a separate lawsuit in federal court. But Senator Corman’s and Treasurer McCord’s claims are completely without merit on several other levels. First, Senator Corman and Treasurer McCord lack the authority and standing to bring the present action under Pennsylvania law. Second, the Plaintiffs again have failed to join a party central to their claims: Penn State. Third, the legal theories do not stand because Penn State is not limited by the Pennsylvania Constitution from spending money outside the Commonwealth, the NCAA has not received any money from Penn State and there is no indication Penn State will use state funds for the endowment.
The NCAA is asking the court to dismiss the case in the face of these significant flaws.