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The University of Memphis' disgraced 2007-08 basketball season prompted three local attorneys who claimed to represent unnamed season ticket holders to threaten a lawsuit against former coach John Calipari, former guard Derrick Rose and current athletic director R.C. Johnson before reaching a lucrative out-of-court settlement.
Calipari and Rose, according to the settlement agreement obtained Thursday by The Commercial Appeal, agreed on May 28, 2010, to pay a total of $100,000 to the three attorneys -- Martin Zummach, Frank L. Watson III and William Burns -- who were representing, in the agreement's words, "certain ticket holders." The amount was to be disbursed "as they agree among themselves."
Calipari, who left Memphis after the 2008-09 season for the University of Kentucky, also agreed to donate his bonus to the U of M scholarship fund. The agreement approximated the value of the bonus at $232,000.
Rose, who has starred the last three seasons for the NBA's Chicago Bulls, was also to "consider ... making a suitable donation" to the scholarship fund sometime before 2015.
The agreement said the unnamed season ticket holders believed that Calipari, Johnson and Rose were responsible for making their 2009-10 season tickets and future season tickets "potentially" worth less than they had anticipated.
In 2007-08, the Tigers won 38 games and lost to Kansas in overtime in the championship game of the NCAA Tournament. Despite the bitter ending, it was celebrated as the program's pinnacle of success. Calipari and Johnson received bonuses -- $355,000 for the coach, $105,875 for the athletic director.
But in August 2009, the NCAA's Committee on Infractions ordered the school to vacate its wins and strike mentions of the Final Four after it found the U of M guilty of major violations. The validity of Rose's SAT score before his enrollment at the UofM was at the heart of the case, and the NCAA ruled him retroactively ineligible for the 2007-08 season.
In March 2010, an NCAA appeals committee rejected the U of M's appeal.
Two months later, attorneys for Calipari, Johnson and Rose signed an agreement to settle the local dispute. In it, they "deny that they are in any way responsible or otherwise liable to" the potential plaintiffs.
U of M attorney Sheri Lipman said Thursday that she believes Calipari made a donation of $58,000 last fall, the first of a four-year plan to pay the prescribed amount. She wasn't aware if Rose had made a donation.
The repayment of Johnson's bonus, which the U of M said was worth $71,306.81 after taxes, was already called for by the language in his contract.
Last October, a plan was struck for Johnson to repay the money to the University of Memphis Foundation. Johnson paid the first installment of $20,000 by check on June 22.
Another installment of $20,000 is due by June 30, 2012, and a final installment of $31,306.81 is due by Jan. 1, 2013.
Johnson is only obligated to keep paying the installments if he is employed as the U of M athletic director on those dates, Lipman said.
Johnson, 69, is contracted to be the U of M athletic director through June 30, 2013, a deal worth $316,725 annually.
Lipman said Zummach, a past president of the U of M alumni association, first approached her in the spring of 2010 with a proposed complaint that would attempt to recover the bonus money for the U of M.
"I think he actually used the phrase 'pound of flesh,' " Lipman said.
Lipman said she advised Zummach that the complaint "had all sorts of holes in it" and told him the university would not support it. At the time, she said, the U of M was working on an agreement for the repayment Johnson was obligated to make and had received an indication that Calipari would make a donation "to some extent."
Unlike Johnson's contract, Calipari's deal did not include language under which the UofM felt it could pursue repayment of the bonus.
Citing the confidential nature of the agreement, Johnson and the attorneys for Calipari and Rose would not comment Thursday. U of M spokesman Bob Eoff referred requests for comment to Lipman. Zummach, Watson and Burns, who are also bound by the confidentiality agreement, did not respond to messages.
The Commercial Appeal obtained the agreement, a copy of which was kept by the school, under Tennessee's public records law.
-- Kyle Veazey: (901) 529-2799
------------------------------------------------
WHO ARE THEY?
The confidential settlement agreement obtained by The CA doesn't name the season ticket holders represented by the three attorneys. But what about the attorneys themselves?
Martin Zummach, who practices with Sparkman, Zummach & Perry in Southaven, is a 1985 graduate of the U of M and a 1993 graduate of the U of M law school. He is on the UofM alumni association's executive board and has served as that group's president, according to information on the university's website.
Frank L. Watson III and William Burns practice law together at Watson Burns, a Downtown firm, according to its website. Burns is a 1993 Christian Brothers graduate and a 1996 U of M law graduate. Watson is a 1988 graduate of Washington & Lee and a 1991 graduate of Tulane's law school.
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Comments » 106
nutnbtwork writes:
This is news from May 2010 and the CA has a banner calling it "Breaking News"? I guess the election was too boring so they had to come up with something else for a headline.
Camelot writes:
Why let the culprits make installment payments? They didn't get it in installments. Johnson will probably leave so he doesnt have to pay. Prove what a sleaze ball he is.
dragonslayer (Inactive) writes:
(This comment was removed by the site staff.)
ExitLightEnterNight writes:
Hey, he can keep the money as long as he leaves. That's more than a fair trade in my book.
msuthon#313916 writes:
I think it's a joke that they paid the lawyers and plantiffs money. It also shows me that this move was a bitter, revenge move and less about actually doing something beneficial. Again, mis-use of our over taxed justice system.
Oskie writes:
Good point. At this stage, ticket holders and big boosters should simply ask Johnson, point blank, "What will it take for us to get rid of you?" and then write the collective check.
esk1230 writes:
So the basis of the lawsuit was that the games weren't exciting because Rose's SAT score was invalid?
My question is whether the casinos got to collect all the payouts they made on all of the UofM wins which became de facto losses a year later?
PollyPocket writes:
Obviously there is a lot unreported/ undiscovered here.
cyclops writes:
The Prosecution rest your honor. . . .
We the Jury,
find John "the snake" Calipari
and Derrick "the dunce" Rose
both guilty as charged.
And RC?
Well . . .
He is presumably just as ignorant of all wrong doing as an innocent bystander getting a fat pay checkcan be.
Meandmemphis writes:
not this again...
robert30#348835 writes:
I'm glad a jerk like Cal is being forced to payback a bonus he did not deserve. Cal was behind all of the test taking D Rose took. He had world wide wes handle it. Cal didn't want to know how it was done just do it, like a mafia don. I just wish the NCAA would go after Cal and world wide wes too. Cal is out for one thing and one thing only, Cal.
Oskie writes:
Cal's making $4.5 million at year at Kentucky.
http://basketball.about.com/od/coache...
Paying back this money is a drop in the bucket.
The only way to hurt cheaters like Cal is to hurt them where it would really hurt which is for the NCAA to ban them for coaching for a few years. Until they start holding coaches accountable like they do the schools, mercenaries like Cal will just keeping jumping ship to the better offer while leaving carnage in his wake in his previous employment
ShaniaPain writes:
They're all a bunch of swindlers, including the attorneys.
RayMan writes:
Why sue Rose? Why not sue the CrOOkEd NcAa for fabricating these charges? Sue Johnson for impersonating an A.D. Sue him for the $h!tty job he's done. Sue him for "malpractice" or whatever. Do unto him what the CrOOkEd NcAa had done unto us: drum up some bogus charges! Whatever it takes to get rid of him. Rescue Tiger Football!
publicenemynumerouno writes:
Nice shake down. So much better to separate people from their cash with a pen than with a pistol. Almost feels......righteous.
anotherpointofview writes:
Cal has always wanted to be one of the elite college coaches like Coach K, Dean Smith, Roy Williams, Bobby Knight. With what happened at UMass and Memphis, there will always be a dark cloud over him.
Even Bobby Knight asked on ESPN: Two college programs had records removed and were put on probation for actions during this man's tenure as coach. How can he still be in college coaching?
I wish the plaintiffs would have gone after the NCAA for selective enforcement. Kansas won with an ineligible player but since that's a blue blood program, NCAA officials choose to look the other way.
Big time college sports is a cess pool.
juce writes:
petty, petty, petty
Midtown writes:
I find the whole thing amusing...only because I used to be disgusted, now I'm amused.
Paying money to lawyers seems wrong, though. Had they made it a stipulation that all damages be paid to the scholarship fund, I'd be cheering the move.
msu83 writes:
"sue RC for impersonating an AD"..hysterically funny.
joebertjunk#657162 writes:
This whole deal involves a lot of slimy folks. It is too bad to see Rose's name involved. It would have been to Memphis's benefit to keep a positive relationship with him.
The devil visited a lawyer's office and made him an offer. "I can arrange some things for you, " the devil said. "I'll increase your income five-fold. Your partners will love you; your clients will respect you; you'll have four months of vacation each year and live to be a hundred. All I require in return is that your wife's soul, your children's souls, and their children's souls rot in hell for eternity."
The lawyer thought for a moment. "What's the catch?" he asked.
nonny2t writes:
Take heart, U of M fans, Calipari won't be at Kentucky long before the NCAA will issues sanctions. The man just cannot run a clean program. Of course, he will do what he has done to U of M and the previous university before that, make plans to cut and run by taking a new position somewhere else before he gets caught leaving the school holding the bag. Be glad you are rid of him, he is disgusting. I for one would love to see Bob Knight at Memphis. Say what you want about Bobby Knight, but the man ran an ULTRA clean program, expected his players to go to class and graduate and spent big bucks behind the scene advocating reading in children and the literacy program and still got shafted by Indiana, who by the way haven't had a decent year since they fired him.
RebelBlackBear writes:
Lawyers..Go in after the war and bayonet the wounded.
dmoose writes:
There should be a class action lawsuit by all season Ticket holders. Why should these few get the benefit....
ElonTigerFan writes:
"disgraced 2007-08 basketball season"
NOT
dtruth writes:
I totally agree!!!!!
batesthomas writes:
Very well written!
batesthomas writes:
I agree. That was not a disgraced season.
batesthomas writes:
We DO not need Bobby Knight. We got a coach young now! Are you crazy!
ATL_Mem writes:
People ask "Why do Derrick Rose acknowledges Chicago instead of Memphis when he's intruduce in the starting line up at NBA games" Now you have it. Calipari, he pimped us as well as we used him, not Derrick. He was a 18 year kid lead by Calipari. Derrick helped restore Memphis back into a National Powerhouse. Just like in college football, you can blame young kids for taking a few dollars when you have colleges presidents and AD's selling their souls for $$Billions$$, especially when you are a non-profit for profit organization. Just my opinion. I WOULD TAKE 1,000 DERRICK ROSE IN A NEW YORK MINUTE!!!!!!!!!!!.............THIS ARTICLE WAS ALL ABOUT MONEY.
aeandocommunications writes:
Wonder what kind of "bonus" the UofM educational entity received?
Absolutely Nothing?
AirportFired writes:
Sorry Dayrunner, but you fail again. Give Dooley and Martin time. Things are slowly on the upswing on the hill, and there is not one thing that YOU can do about it. Did you ever consider that every person that makes a negative remark about UOM, might NOT be a UT fan? You're Vol hatred consumes you old man.
fishnlawyr writes:
Let's just say that the NCAA does ban Coach Cal for 5 years for his "collective body" of cheating. Doesn't that mean that UofM will then be labeled as a cheating school? Right now, my visceral feeling is that most folks think that UofM was railroaded by the NCAA and, if there was a problem, it was because of Rose, Wes, and, by neglect, Coach Cal. To a few others (read that to say those folks are fans of that school in East TN who finally learned how to listen to ESPN -- Lord help us if they ever learn to read) there is nothing that UofM will ever do, short of surrendering their charter to LeMoyne-Owen, that will give them any more joy.
But I'd much rather have the feeling that UofM, during the past decade had an honest, above-board program that was not unlike any other in major college basketball.
But if you folks want to paint Cal as a liar and a crook then go ahead. I prefer to think that the program he led is something in which we have a great deal of pride.
Heck fire, I still wear my UofM shirts that I had made during that NCAA tournament run that says, "This is our time" It was, and still is, "our time" because we are part and parcel of the Tiger Nation and every day as a student or graduate of Memphis State University or University of Memphis OR as a Tiger fan, Today will always be "our time"
fishnlawyr writes:
Go back and read the article. Where does it say that the money went into the lawyers pockets?
aeandocommunications writes:
Well Polly, we don't want to make any of our friends at the UofM mad, because they might put a full-court-press on our ability to cover their ball sports...or corruption therein
fishnlawyr writes:
Close relationship with Rose??? YOu kiddin'???? When they got off the plane after the championship game, how many of you remember what Rose said? He deferred.. It was a hem... It was a haw... The first time I saw him introduced in an NBA game they didn't say he was from University of Memphis...they said "From Chicago!!!! Derrick Rose!!!"
Rose used us....didn't have enough smarts to foul...and used a great tournament stretch to become ultra-rich.
Suddenly, he wasn't reading his mail...he wasn't talking... (Do any of you ever remember any statement he made to the NCAA??) Rose disappeared from the landscape and, other than mandatory games against the Grizzlies, I have doubts he ever thinks about Memphis, Tennessee, or the University of Memphis.
Rose deserves nothing.
bartlett79 writes:
Consider the fact that the worst basketball team UT had since Buzz Petersen destroyed your Tigers and one of the worst football teams UT ever had hung up half a hundred on you in football last year.
DALLASTIGER writes:
Now that pretty well sums up the mental picture I have of RC, the buffoon, and Calipari the rattlesnake. I cut Derrick some slack. He was a high school kid probably influenced by the snake.
Tiger67 writes:
Your comment that you would "love to see Bob Knight at Memphis" gives me the opportunity to reiterate how fortunate we are to have Josh Pastner! Even if it was a lucky shot in the dark by RC, Josh has managed to put Cal in the U of M's rearview mirror in a very short period of time. I, for one, am grateful and deeply impressed.
Buck writes:
Wow, this stinks. Sounds like a shakedown.
rodtig writes:
One thing is that the U of M Lawyers were only involved in collecting the bonus repayment of R.C. Johnson. His part was clear and could not fight the suit.
I am glad the silent group of season ticket holders sued them. Calipari had to pay for his lawyers and as did Rose.Johnson had to retain a lawyers also other then the schools attorney as I read it.
As far as revenge their maybe a hint of that going on but I think these guys also sent a message to the Athletic Department.
When all this transpired the University should have washed their hands Mr.Johnson.His ignorance in Calipari's buy out clause alone was enough. If the buy out had been 5 times more we could have recouped our loses on his bonus there.
We need to wash our hands of Mr Johnson he is costing us a great deal more then the 50 to 60 thousand he owes the school.He has already paid 20,000.00 and the repayment was actually worth 75,0000.00.
Retire Johnson Retire Leave Johnson Leave
U of M cut the loses with his Bonus Please get rid of him
Rose is having to pay also and he did not pay to come to the U of M what he is paying should cover the lose with Mr.Johnson
Leave Johnson Leave
pumpy25 writes:
can we sue any player that hits a buzzer beater against us now...this is sad. I wonder if the attorneys will give the money back to the scholarship fund. If your team gets put out in the elite 8..theres a lawsuit
rodtig writes:
I am in "No Way" a Volunteer Fan. I bleed Tiger Blue!
One thing I will certainly say the U.T. vs.U of M game in 1996 was one of the greatest wins for the Tigers. I also remember when the Tigers went out to Pasadena CA. and played the USC Trojans and beat them on their turf when they were ranked No.3 in the Nation to me that was an even greater accomplishment.It was either Rip Sheers first or second year as head coach and the teams only win that year was the USC game if I am not mistaken.
The next biggest win to me when Ranked Ole miss and Ely manning came into Memphis and Memphis won that game in a very close contest.
Tennessee football has its ups and downs,right now they are down. Never sell Tennessee short though, they (with No Doubt)are in probably the toughest football conference in the country and they recruit against those SEC schools.What truly hurt Tennessee was South Carolina hiring
Steve Spurrier. Tennessee is a has a rich Athletic Dept pretty much in all sports.
Unlike the U of M they have Athletic directors who push Football and Basketball and all their sports to be the best. U.T. has had very good basketball reams in the past. Hey they beat Memphis in Bball the year we went to the National Championship Trust me Tennessee football will be back and stronger then ever unfortunately Memphis will not play them again until 2015 and I bet they will be ranked then.Wish we had a shot at them while they were rebuilding Memphis might give them a game LOL I dont think so as long as we have R.C Johnson and Porter in charge of football
spartanfan67 writes:
I highly doubt Martin Zummach did anything for free. He was probably one of the ticket holders himself.
Oskie writes:
It really is amazing, isn't it? RC Johnson must have some sort of hypnotic power over the handful of big boosters that keep him in power because the man's 15 year resume at Memphis is downright dreadful in so many areas not just football. Even his crown jewel, the hiring of Coach Cal, will now be remember for this and his attempts to hide the NCAA investigation from the school and the media, not for the comeback of Memphis basketball
Oskie writes:
The year Memphis beat USC was 1991 under head coach Chuck Stobart and they finished 5-6 that season.
http://www.cfbdatawarehouse.com/data/...
Memphis also played that year, Ole Miss, Miss State, Missouri, Alabama and Tennessee
What a sharp contrast to the RC Johnson watered down non-conference schools Memphis plays now.
bball_purist writes:
I love the smell of legal napalm in the morning!
msu83 writes:
Veasy is not a friend to the Tigers. Disgraced?
rodtig writes:
Thanks for the correction It was still an incredible win for the Tigers We did it in there house.What was sad is they fired Stobart and I believe the reason they announced it was because of attendance numbers That is when they hired Rip Sheer if I am not mistaken.
The funny thing is this Tommy West and Rip Sheer upon their firing they both blasted R.C. Johnson for lack of support from him.
Who was the AD when Stobart was fired?
51tiger writes:
I know what Derrick Rose was a part of was not good.
But I do think that it would benefit the tiger program for him to be a representative for us.
Especially in recruiting. NBA MVP? Rose is a humble kid who got caught up. I heard that he is supposed to be at mid night madness.
I would be good if that whole team came to memphis madness next friday.
We will never forget the ride that they gave us.
I dont condone cheating but if everyone of the elite college basketball programs revealed what has been done behind the scences no one would be totally clean.
Let's stop fooling ourselves to think that bobby knight has never done wrong. If you can assalt (choke) a player or throw a chair at a player then you can cheat.
If rose and memphis maintain a good relationship
it would be great.
ATL_Mem writes:
@51tiger - I completely agree with you 1000%. Derrick Rose can do for Memphis what Michael Jordan did for North Carolina or Grant Hill did for Duke. He could be our ambassador for the Univ. Seeing Derek Rose at March Madness is priceless. Let's build our Brand(Tiger Nation), make it National and International. I have no ill will towards Calipari because living in Atlanta. People would see my Tiger Tshirt and say we have a great basketball program. Now Calipari is gone, we just reloaded with CJP. The prize is a National Championship, then we can sit at the big boys table and shut up all UofM hatters!!!!!
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