Discover the opinions of a former UFC heavyweight on the responsibility for the MMA monopoly. Learn about the recent $335 million settlement for class-action lawsuits and its implications for the industry.
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| Former UFC heavyweight shares thoughts | A former UFC heavyweight asserts that the responsibility for the MMA monopoly should not lie with Dana White, the UFC CEO, but with the fighters associated with the class-action lawsuits. The recent $335 million settlement has sparked discussions about accountability and the need for fighter unionization. |
The Responsibility for the MMA Monopoly
A former UFC heavyweight recently shared his thoughts on the responsibility for the monopoly in the MMA realm. The recent $335 million settlement for the class-action lawsuits against TKO Group Holdings, the parent company overseeing the operations of the UFC, has sparked discussions about who should be held accountable. The former fighter, Brendan Schaub, believes that the blame should not fall on Dana White, the UFC CEO, but rather on the fighters associated with the lawsuits.
During a recent episode of The Fighter and The Kid podcast, Schaub expressed his opinion on the matter. He stated that the settlement of the lawsuits would not bring about the intended changes in the MMA industry. Schaub emphasized that until the fighters unionize, similar to other major sports leagues like MLB, NBA, and NFL, the UFC will continue to dominate the market. He acknowledged that while many may be quick to criticize Dana White, it is not his responsibility to address the issue of fighter pay and competition. Instead, White’s job is to build the UFC as big as possible and maximize profits, which he has been successful in doing at a historic level.
The class-action lawsuits against Zuffa, the organization overseeing UFC operations before TKO, alleged violations of antitrust laws, including underpaying fighters and stifling competition among other MMA promoters. The initial complaint was filed in federal court in 2014 by former fighters Cung Le, Nate Quarry, and Jon Fitch. In June 2021, Kajan Johnson and C.B. Dollaway initiated a class-action antitrust lawsuit against Zuffa and Endeavor, echoing similar claims of illegal and anti-competitive conduct within the MMA industry.
Cung Le and Jon Fitch, two former fighters involved in the lawsuits, argued that the UFC’s unfair business practices led to a monopoly that hindered fighter earnings. An antitrust lawyer, cited in a report from Bloody Elbow, revealed that the UFC obtained substantial loans exceeding $400 million to distribute dividends to its owners. These loans were used to finance payments to the owners, alongside reported profits from the promotion. Notable dividends were distributed in 2007 and 2009, totaling hundreds of millions of dollars.
It is clear that the settlement of the class-action lawsuits is a significant development in the MMA industry. However, the responsibility for the MMA monopoly remains a topic of debate. Brendan Schaub’s perspective sheds light on the role of the fighters themselves in bringing about meaningful change in the sport.
