TKO, the parent company of UFC, has agreed to pay $335 million to settle two class action lawsuits filed by former UFC fighters. The lawsuits accused the promotion of violating antitrust laws and suppressing wages.
| Settlement Amount | Lawsuits | Fighters Represented |
|---|---|---|
| $335 million | 2 | 1,200+ |
TKO, the parent company of UFC, has reached a settlement of $335 million to resolve two class action lawsuits brought by former UFC fighters. The lawsuits alleged antitrust violations and wage suppression by the promotion. Over 1,200 fighters were represented in the lawsuits, which sought damages of up to $1.6 billion. The settlement will be paid out through periodic payments and is considered a positive outcome for TKO.
Antonio Pequeño IV
TKO, the parent company of UFC, has agreed to pay $335 million to settle two class action lawsuits filed by former UFC fighters. The lawsuits accused the promotion of violating antitrust laws and suppressing wages. The settlement allows TKO to avoid an upcoming trial that sought up to $1.6 billion in damages.
More than 1,200 fighters were represented in the lawsuits, which alleged that the UFC maintained a monopoly over the mixed martial arts market and used its power to suppress fighter wages. The settlement will be paid out through periodic payments that will be tax-deductible.
Investment firm Guggenheim Securities views the settlement as a positive outcome for TKO, as it clears the way for potential shareholder returns. The Mixed Martial Arts Fighters Association also expressed satisfaction with the settlement, calling it a victory for past, current, and future UFC fighters.
Fighter pay has been a contentious issue in the UFC, with many fighters demanding higher compensation. UFC flyweight champion Alexandre Pantoja even worked as an Uber Eats driver to supplement his income during his title run. While top-ranked fighters can earn significant amounts, the majority of fighters struggle to cover training costs and healthcare expenses.
Sources:
Antonio Pequeño IV
