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Sunday, July 25, 2010
When an Athletic Director is or is not an Athletic Director: The Strange Saga of Bob Krause, Ron Prince, and Kansas State Austin Meek of the Topeka Capital-Journal interviews me and Washburn law professor Michael Hunter Schwartz for a piece on an unusual lawsuit brought by Kansas State against its former football head coach Ron Prince over a $3.2 million buyout that was negotiated and signed by then Kansas State's athletic director, Bob Krause. Kansas State claims that Krause was not acting on behalf of Kansas State at the time, even though the relevant by-laws express that he had the authority to do so.Here are some excerpts:
* * * In terms of the litigation's status, both sides have filed motions for partial summary judgment. It will be an interesting case to follow. To read the rest of the piece, click here.Update: Sports attorney Don Jackson lets me know of a similar case that he litigated. The case was John L. Williams v. W. Curtis Williams and Alabama State University. Here are the details: The KSU case is similar to a case that I tried against Alabama State University in 1999. The University isolated the Athletic Director. He, in turn, claimed that he did not have the authority to enter into a contract with my client, the Interim Head Men's Basketball Coach despite the fact that he made on formal offer on Athletic Department letterhead (which prompted my client to resign his job at another HBCU and accept the Alabama State University job). We sued the A.D. under a theory of promissory fraud and received at $350,000.00 jury verdict against the A.D.. It was clear that he did have authority to act on behalf of the University but he mistakenly assumed that he could escape liability under the doctrine of sovereign immunity or discretionary function immunity. He was mistaken. Ultimately, the A.D. wound up declaring bankruptcy (as a result of the verdict) and the university terminated him.Good stuff, and my thanks to Don. 5 Comments:
You know, this is like a fundamental "agency" question on a law school exam. Krause had authority, period. Why? Well, whether it was actual or apparent, the key question is "What did the 3rd party perceive the authority to be." Good post, and congrats on the interview.
Thanks, Anonymous. Great point about this fact-pattern being like a law school exam question. And I agree, it seems (based on the facts that we know) that Coach Prince has a pretty valid claim against K State.
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