A lot of press has been released over a Federal District Judge’s
“rejection” of the NFL concussion settlement. The truth is that Judge Anita B.
Brody did not give preliminary approval to the settlement, giving the parties
leave to supply her with more information on the settlement. Although this is
not the same as an outright approval, it is not as gloom and doom as most
sources are making it out. In actuality, both the Plaintiffs’ representatives
and lawyers for the NFL want this settlement approved. This is not the same situation
we have in the Deepwater Horizon Oil Spill settlement BP (see my previous blog
posts on that subject).
What Judge Brody did was to ask the parties for more financial
analysis and information. Her main concern was that not all retired NFL players
who would qualify for the settlement would get paid. The settlement is designed
to last at least 65 years.
Under the current agreement, awards would vary based on an
ex-player's age and diagnosis. A younger retiree with Lou Gehrig's disease
would get $5 million, those with serious dementia cases would get $3 million,
and an 80-year-old with early dementia would get $25,000. Retirees without
symptoms would get baseline screening and follow-up care if needed.
The proposed settlement would include $675 million for
compensatory claims for players with neurological symptoms; $75 million for
baseline testing for asymptomatic men; and $10 million for medical research and
education. The NFL also would pay an additional $112 million to the players'
lawyers for their fees and expenses, for a total payout of nearly $900 million.
Although this ruling is a setback, both sides are confident a
deal can get done and approved by Judge Brody. How much, or to what extent, the
agreement will need to be tweaked is unknown. The parties could show Judge
Brody more financial analysis to assure her the money will last or raise the
fund amount to ease her concerns. They also could try to start over.
