NC judge approves NCAA’s dismissal request in ‘Cardiac Pack’ NIL lawsuit

Members of the 1983 N.C. State national championship men’s basketball team will not receive any lost NIL earnings after a North Carolina judge dismissed the “Cardiac Pack” lawsuit against the NCAA.

Judge Mark A. Davis granted the motion to dismiss on Wednesday in North Carolina Business Court. A 44-page order was released on Thursday.

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The NCAA, the sole defendant, filed the motion to dismiss on Oct. 18, 2024, citing a four-year statute of limitations on antitrust claims. It also cited a three-year statute of limitations on the plaintiffs’ claims of invasion of privacy and unjust enrichment. The motion stated the plaintiffs have failed to prove claims of antitrust and infringement of legally enforceable rights.

The plaintiffs claimed the NCAA used their name, image and likeness without their consent in the marketing of the NCAA men’s basketball tournament. The lawsuit also claimed the NCAA made money off advertisements that were shown before watching highlights of the championshihp game on the institution’s website.

In Davis’ brief, he states the plaintiffs’ claims are untimely, they have not shown a violation of any “legally enforceable right,” and the Copyright Act holds higher legal authority than the cases used in their arguments.

Plaintiffs listed in the case, according to the most recent documents, are former Wolfpack players Thurl Bailey, Alvin Battle, Walt Densmore, Tommy DiNardo, Terry Gannon, George McClain, Cozell McQueen, Ernie Myers, Walter Proctor, Harold Thompson and Mike Warren. Martha Mobley is a plaintiff on behalf of Quinton Leonard’s estate. Myers, however, previously told the News & Observer he is not a plaintiff. He works with N.C. State radio broadcasting.

“The NCAA is pleased with the court’s dismissal of the entirety of the Bailey case,” the organization said in a statement. “The court definitively examined and dismissed the claims, not only as untimely, but also finding that there is no enforceable right of publicity in game broadcasts and that federal copyright law would preempt any such right if there were one. We are hopeful that several of the copycat cases will be similarly treated by other courts.”

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Elliot Abrams, one of the group’s attorneys, said he and his co-counsel are proud to represent the group and fought against a system that they believe exploits young and often vulnerable student-athletes.

“This case has always been about standing up for young athletes and shining a spotlight on the NCAA’s abusive practices and continued profiteering off of its historical wrongs,” Abrams said in an email to the News & Observer. “The court has ruled that legal technicalities prevent the NCAA from being held to account in court. Despite the fact that the NCAA stole these players’ rights when they were kids and continues to profit off those stolen rights today, the victims have no justice and no remedy.”

Even if the ruling withstands appeal, Abrams said the case is important and shows the NCAA it will be challenged, both publicly and legally, when laws are broken.

NC State Cardiac Pack basketball team, a March Madness icon, sues NCAA for NIL earnings

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This decision comes after Davis denied the motion to dismiss after a May hearing, which heard arguments from both sides, opting for more time.

“Thank you all for the good arguments today. You’ve given me a lot to think about,” Davis said at the hearing in May. “I’ll get something out as soon as possible. This is an important case, and I’m not going to rush through it.”

Davis’ decision acknowledges the plaintiffs were student-athletes at N.C. State in the 1980s, whose activities were governed by the NCAA. Prior to joining the men’s basketball program, the NCAA required the plaintiffs to sign a “student-athlete statement,” which reportedly verifies an individual’s eligibility to participate in activities.

Though the statement has changed in recent years, the document signed by the plaintiffs included a specific clause authorizing the activities against which they are now arguing.

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“You authorize the NCAA [or a third party acting on behalf of the NCAA] to use your name or picture to generally promote NCAA championships or other NCAA events, activities or programs,” the statement said.

Previously, New York judge Paul A. Engelmayer dismissed the Chalmers v. NCAA case brought by former Kansas men’s basketball star Mario Chalmers and 15 other plaintiffs, citing a four-year statute of limitations. The lawsuit also argued the law continues to be broken by the NCAA’s continued use of the players’ NIL through its March Madness promotions.

In a court filing, the NCAA’s representatives argued Judge Engelmayer’s decision should impact the “Cardiac Pack” case.

The plaintiffs sought damages from 2021, when NIL was officially legalized, to the present. They did not seek damages for the full 40-year span.