It Pays To Buy Out When In Doubt

Parting ways with a college coach accused of violating National Collegiate Athletic Association (NCAA) rules has become a delicate process. On February 8th, the NCAA notified Indiana University that its men’s basketball coach, Kelvin Sampson, had allegedly committed five “major” NCAA rule violations.[1] After more than a week of speculation surrounding Sampson’s future at Indiana, the school negotiated a settlement to terminate its relationship with the second-year coach.[2] In exchange for a $750,000 buyout, Sampson resigned and agreed not to purse any legal action against the university.[3]