Bumped. Here is a refresher on Steve Alford's contract through which Dan Guerrero made a mediocre loser the highest paid college basketball coach in the Pac-12 conference (and the West Coast).
Over in the Karl Dorrell to Vandy thread, we began discussing Alford's employment contract and the consequences of firing him mid-season.
Well, I happen to have a copy of his contract from the sports law course I took last semester, so I figured I'd take a look at the details of his contract.
This is what I found:
Alford has the following liquidated damages (buyout) schedule:
$10,400,000 if prior to April 30, 2016;
$7,800,000 if prior to April 30, 2017;
$5,200,000 if prior to April 30, 2018; and
$2,600,000 if prior to April 30, 2019.
Buyout payments would be spread out monthly until April 30, 2020.
Plus, UCLA is on the hook for the base salary ($300,000/year), talent fee($2,300,000/year), and deferred compensation through the end of the current contract year (which ends April 30).
So if UCLA were to fire Alford Jan 31 (so, 3 remaining months), it would cost:
Base salary – $75,000
Talent fee – $575,000
Liquidated damages- $10,400,000
Total – $11,050,000
Plus, UCLA will likely have to pay for a new coach during that same time, which means a new salary, talent fee, and signing bonus (Alford got $845,615).
The best we can hope for is a termination for cause, which requires either a violation of the contract (which includes NCAA compliance), acts of dishonesty, theft or misappropriation of UCLA property, fighting on the job, insubordination, acts endangering others, or serious misconduct. No further compensation is due, including liquidated damages, if termination is for cause.
On a side note, I’d like to point out that Alford is getting 2 company cars, a country club membership, a prime mortgage rate from UC, free spouse travel to events, and "other benefits normally associated with the operation of an intercollegiate athletic program" which includes all sorts of unspecified goodies (see Rodgers v. Georgia Tech Athletic Association).
Oh, and he has all kinds of bonuses set up. $30,000 just for starting a new contract year; $10,000 for an academic progress rate greater than 925 (below the NCAA post-season requirement of 930); $10,000 for PAC-12 Coach of the Year; $15,000 for NABC Coach of the Year; $15,000 for winning the PAC-12 tourney; $20,000 for winning the PAC-12 regular season; $25,000 for participation in the NCAA tourney; $25,000 for both Sweet Sixteen and Elite 8 appearances; $50,000 for Final Four appearance; and $75,000 for winning the championship (haha, no bonus for second place).
So, it looks like we're stuck with Alford for at least a couple more years.
One final thought: are you comfortable paying Alford, TRA, at least $13,240,000 in exchange for a national championship?