Judge Rejects $335M UFC Settlement in Fighter Pay Lawsuit

Judge Rejects $335M UFC Settlement in Fighter Pay Lawsuit

Introduction

A U.S. judge has rejected a proposed $335 million settlement in two class action lawsuits against Ultimate Fighting Championship (UFC), which accuse the organization of suppressing martial arts fighters' wages.

The decision sets the stage for a trial where damages could potentially exceed $1 billion. The U.S. District Judge in Las Vegas set a tentative trial date for October 24 and stated he would issue a written opinion explaining his decision. He had previously raised concerns about the settlement, particularly regarding how the funds would be distributed among class members. A hearing is scheduled next month to discuss the next steps.

The UFC, owned by TKO Group Holdings under Endeavor, has denied any wrongdoing. The lawsuits, initially filed in 2014, allege that UFC used its market dominance to stifle competition by acquiring or blocking rival promoters and using exclusive contracts to keep fighters locked into the organization. The plaintiffs argue that these practices suppressed fighters’ pay.

In August of last year, the judge allowed 1,200 fighters who competed in UFC bouts between 2010 and 2017 to sue as a class action, with estimated damages ranging between $811 million and $1.6 billion. Another lawsuit involved fighters from mid-2017 to the present.

In a June court filing, plaintiffs’ attorneys stated that nearly 500 fighters from the settlement classes would have received over $100,000 each. The fighters' legal team has vowed to press forward as directed by the court but remains open to further negotiations with UFC.