Ray Rice suing Ravens for wrongful termination
On Friday, Ray Rice’s indefinite suspension from the NFL was overturned, after Barbara Jones, an arbitrator and former federal judge, found that he was punished for the same incident of domestic violence two times without any additional evidence that warranted a new, harsher punishment. USA Today Sports explains that this makes Rice eligible to play in the NFL immediately if a team signs him.
The Baltimore Sun reported that Rice filed a formal grievance against the Ravens for wrongful termination. His $35 million contract was terminated on September 8 after the release of a video of him knocking his then-fiancée unconscious. Prior to that, on July 24, he had been given a two game suspension for the act of domestic violence.
In the grievance he filed with the league, he argues that under Article 46 of the NFL collective bargaining agreement, he should have received a single punishment for the incident instead of being suspended, and then terminated for the same event.
Rice joined the Ravens when he was signed to a five-year, $35 million contract with $3 million in base salaries in 2012 and 2013 and a $15 million signing bonus and a $7 million option bonus. The economic damages relevant in this case, revolve around Rice’s $3.53 million, non-guaranteed base salary for this year. Had Rice’s original punishment of an unpaid two game suspension been the single punishment, he would have been paid that base salary.
Now that Rice’s ban from the NFL has been overturned, the matter of mitigation will take center stage in his claim for damages. Rice potentially being drafted by a new team and negotiating a new contract will have a significant impact on the damages that may be applicable in this case.
Relevant reading:
‘An Examination of the Legal Issues Surrounding Ray Rice’s Indefinite Suspension and Contract Termination‘, by Chris Helsel for the Entertainment, Arts and Sports Law Section of the New York State Bar Association.
‘Back Pay and Front Pay Calculations in Employment Termination Cases: Accounting for re-employment and mitigation efforts‘, by Dwight Steward, Ph.D. and Stephanie Botello, Ph.D., EmployStats