UFC to compensate fighters $375 million for alleged underpayment

A federal judge in Las Vegas preliminarily accepted a class action settlement which will oblige the Ultimate Fighting Championship (UFC) to pay $375 million to mixed martial arts fighters who claimed they were underpaid. The heart-wrenching statements from fighters were “quite significant” in the judge’s decision.

The lawyers representing the fighters stated that the verdict by District Judge Richard Boulware II is a “monumental achievement that will get significant relief to hundreds of deserving MMA fighters.”

Despite contesting any wrongdoing, the UFC also said, “we are pleased to be another step closer” to the end of the case. In July, Boulware dismissed an earlier proposed $335 million settlement. This initial proposal would have resolved the case and related lawsuit against UFC and its parent company TKO Group Holdings (part of Endeavor Group). Endeavor requested to be uninvolved in the case.

One lawsuit was filed in 2014, and another in 2021. The UFC allegedly took advantage of its fighters and abused its market power. It purportedly obtained or prohibited competitor promoters and used exclusive contracts to keep fighters within the UFC.

The $375 million settlement would recompense more than 1,000 fighters from the Le class who were involved in contests between 2010 and 2017. Class members could receive amounts ranging from $15,000 to more than $1 million. It is understood that thirty-five are in line to net over $1 million. Five hundred will receive in excess of $100,000. Nearly 800 can expect more than $50,000. The other unsettled lawsuit comprises fighters from 2017 onwards.

When the new $375 million settlement emerged, numerous fighters submitted declarations. Fighter Matt Brown said, “this would truly be life-changing money for me and for other members of the class.”

There is still opportunity for members of the Johnson class, including hundreds of fighters covered in the Le settlement, to pursue additional damages and, crucially, injunctive relief as that case moves forward.

Plaintiffs expect to receive £115.2 million in legal fees (around 30% of the settlement amount). The UFC is valued at more than $12 billion.