Colorado State and Utah State go head-to-head with Mountain West Conference over exit fees!

Two exiting members of the Mountain West Conference have taken legal action against the league, with millions of dollars in dispute. Colorado State and Utah State have filed a lawsuit in Colorado District Court in Denver on Monday regarding exit fees that the Mountain West claims the schools owe. The two schools, along with three others (Boise State, San Diego State, and Fresno State), announced plans in September to leave the Mountain West for the Pac-12 in July 2026. The Mountain West is seeking exit fees ranging from $19-38 million per school. In their legal complaint, Colorado State and Utah State argue that the exit fee is invalid and unenforceable, alleging that the Mountain West made changes to league bylaws in secret meetings without the departing members present. They also accuse Commissioner Gloria Nevarez of making side deals to benefit existing conference members using the exit fees from departing schools. Although the other three departing schools are not part of the lawsuit, they share similar concerns as Colorado State and Utah State. The legal action includes a letter from all five schools to Nevarez stating that the exit fees are unjustified. The Pac-12 and Mountain West are facing challenges in realignment efforts, with legal disputes arising over penalty fees and exit fees. The legal filings cast doubt on bonus payments promised to UNLV and Air Force from the fees collected. The Pac-12 has also filed a separate lawsuit against the Mountain West over claimed penalty fees. Both legal actions challenge the validity of the fees sought by the Mountain West, which could amount to $150-250 million. The schools argue that the conference is seeking to profit excessively from the situation. The schools claim they should have a say in conference matters until formal exit notifications are provided.

The current dispute between departing members of the Pac-12 and the Mountain West revolves around legal issues that surfaced last year involving Washington State and Oregon State. Despite publicly announcing their imminent departure to join the Pac-12, these schools maintain that they are still full voting members of the Mountain West conference. However, the Mountain West has allegedly continued to hold meetings without providing proper notice to all members, including those who are in the process of leaving. Moreover, the conference has reportedly refused to share the minutes of these meetings with the departing schools, leading to further tensions and ultimately resulting in a lawsuit being filed.

The crux of the matter lies in the distribution of various revenues and benefits that the Mountain West conference generates, which the departing members are now seeking to claim. The Mountain West, on the other hand, appears intent on withholding these distributions as a means to recoup a portion of the exit fees from the departing schools. Notably, these distributions encompass not only revenue from conference television rights but also include College Football Playoff (CFP) distributions and playoff travel reimbursements received by the conference. Boise State, a prominent member of the Mountain West, notably secured a spot in this year’s College Football Playoff as the No. 3 seed, underscoring the conference’s competitive presence on the national stage.

Meanwhile, as the Pac-12 undergoes a period of rebuilding, it faces the challenge of adding one more full, football-playing member to meet the NCAA’s requirement of a minimum of eight schools for its league. Presently, the Pac-12 comprises the five schools transitioning from the Mountain West, along with Washington State and Oregon State, in addition to non-football playing member Gonzaga. The Mountain West, having reached its maximum membership capacity, has expanded its ranks to include new additions such as UC Davis, Hawaii, Grand Canyon, and UTEP. Furthermore, negotiations are reportedly underway to bring Northern Illinois on board as a football-only member, further strengthening the conference’s football program. Noteworthy original members of the Mountain West conference include Air Force, Nevada, New Mexico, San Jose State, UNLV, and Wyoming, each contributing to the conference’s rich history and competitive landscape.

In conclusion, the ongoing developments and disputes between the Pac-12 and the Mountain West underscore the intricate dynamics at play within collegiate sports conferences. As both conferences navigate the complexities of member transitions, revenue distributions, and competitive alignments, the implications of these decisions extend beyond the boardroom to impact the broader collegiate sports landscape. The resolution of these conflicts will shape the future trajectories of the Pac-12 and the Mountain West, influencing their competitiveness, financial stability, and overall standing within the collegiate athletics realm.

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