CLARKSBURG – A West Virginia-based NCAA athletic conference says a former member school from Ohio owes $150,000 in member dues.
The Mountain East Conference filed a complaint in federal court against Franklin University and Franklin University-Urbana doing business as Urbana University. Franklin is based in Columbus, Ohio.
According to the complaint, Urbana University closed its campus and ceased all operations in May 2020, including its Blue Knights athletic programs. In 2012, Urbana became a charter member of the MEC, which is based in Bridgeport.
In 2014, Franklin University purchased Urbana University. The MEC says it played a key role in helping Franklin/Urbana to maintain NCAA Division II membership. Eventually, Franklin/Urbana became a wholly owned subsidiary of Franklin University. Franklin contributed more than $15 million into Franklin/Urbana’s athletic facilities.
In the spring of 2020, Franklin closed Urbana’s physical campus, moved all classes online, stopped enrolling new students and ceased offering sports and on-site administrative roles.
On May 8, 2020, Urbana’s Executive Vice President and CEO Christopher L. Washington told the MEC it was closing the campus and ceasing all operations and provided formal notice of its intention to withdraw from the conference immediately.
Based on the conference by-laws requiring more than three years notice, the exit date was established as June 30, 2023, and the exit fee was set at $150,000. That’s also based on conference by-laws setting it at six times the annual fees of $25,000.
The defendants have failed to pay the exit fee.
The conference accuses the defendants of breach of contract and seeks the $150,000 as well as post-judgment interest, attorney fees, court costs and other relief.
In an answer to the complaint, the defendants seek to have the case dismissed for lack of personal jurisdiction and/or for improper venue. If the case continues, they seek to have it moved to federal court in the Southern District of Ohio.
The conference responded by asking the court to deny the defendants’ requests.
The MEC is being represented by Michael Garrison and Jordan Sengewalt of Spilman Thomas & Battle’s Morgantown office, and the defendants are represented by Denise Pentino and John Michael Prascik of Dinsmore & Shohl’s Wheeling office. The case has been assigned to District Judge Thomas Kleeh.
U.S. District Court for the Northern District of West Virginia case number 1:21-cv-104