A judge in North Carolina denied Clemson University’s request to dismiss an Atlantic Coast Conference lawsuit on Wednesday. The lawsuit originated from Clemson challenging the conference’s bylaws in court back in March. Clemson sought to remove itself from the ACC’s grant of rights and a potential $140 million exit fee if it left the conference, prompting the ACC to countersue the next day.

Clemson aimed to have the countersuit thrown out or put on hold, but the judge ruled that only a North Carolina court has the authority to interpret and enforce the conference’s bylaws. Despite Clemson’s argument that it could not be sued in North Carolina due to sovereign immunity, the court disagreed. The judge highlighted Clemson’s active participation in league meetings and events within North Carolina as a waiver of immunity.

While the judge dismissed ACC claims of breach of contract against Clemson, he did acknowledge the grant of rights as valid and binding contracts. The ACC welcomed the ruling, emphasizing that North Carolina courts are the appropriate venues to enforce and interpret agreements, reiterating the validity of the 2013 and 2016 Grant of Rights agreements voluntarily entered into by its members.

The ACC has also filed a lawsuit against Florida State on similar grounds, with the court staying that case as the school appeals the ruling to the North Carolina Supreme Court. This legal battle displays the ongoing dispute between Clemson and the ACC over conference bylaws and grant of rights agreements.