The Pac-12 and Mountain West conferences, along with Boise State, Colorado State, and Utah State, have agreed to enter mediation regarding ongoing lawsuits over school exit fees and a poaching penalty, sources informed ESPN.

This step, initiated by the Mountain West, could potentially lead to settlements before court proceedings.

The dispute stems from a football scheduling agreement signed in December 2023, which included a controversial “poaching penalty.” This clause required the Pac-12 to pay $10 million if a Mountain West school joined the Pac-12, with additional fees for each subsequent school.

In September, the Pac-12 filed a federal lawsuit challenging this penalty’s legality. The situation escalated when five schools – Boise State, Colorado State, Fresno State, Utah State, and San Diego State – announced plans to leave the Mountain West for the Pac-12 in 2026. The Mountain West contends this move should result in a $55 million payout from the Pac-12.

Colorado State, Utah State, and later Boise State, filed a separate lawsuit against the Mountain West in December, seeking to avoid exit fees ranging from $19 million to $38 million. Fresno State and San Diego State have not challenged these fees in court.

Fresno State said they have no comment when asked by GV Wire.

As of Wednesday evening, the mediation agreement was informal, according to a source. This development marks a significant step in addressing the complex legal and financial issues surrounding conference realignment in college sports.

Read more at ESPN.