@HighEliteMajor I was intrigued by your comment indicating the possibility of the NCAA using some testimony from the federal trial but disavowing other testimony that may undermine its case against KU.
The reason I am intrigued is that I think that if the NCAA does this,, they will indeed hand a federal lawsuit to KU on a silver platter. The NCAA may govern its owm members by its own rules and procedures. I have discussed for what seems like years how the courts will defer to private adjudicatory processes that are directed to voluntary members of an organization (which you also have discussed). So long as an organization follows its own rules (which must include notice, the right to be heard, and some type of appeal) courts keep their hands off. Churches, lodges, etc all administer their proceedings largely unfettered. It is also really what underlies the general legislative and common law deference to arbitrations.
There is one exception, however, that the NCAA could easily stumble into. First, a general observation: let's remember that the use by the NCAA of evidence from federal criminal trials has never been tested anywhere. In virtually all penalty types of proceedings, using testimony from a third party against the subject of the proceeding is usually allowed only when the subject of the proceeding had a chance to cross-examine or otherwise participate (whether they availed themselves of it or not). It is entirely likely in my mind that a court faced with the notion of use of outside testimony against a party that had no ability to participate in that proceeding would consider this as a case of first impression potentially impacting hundreds--thousands, including D2 and D3--of schools. The huge importance of ensuring that the NCAA's rules passed a fundamental test of private adudicatory due process would absolutely, in my mind, guarantee a willingness by a court to take the case.
But secondarily, this case itself would beg for review if the NCAA chose to use their rules by cherry picking which evidence from a court case to use. It is axiomatic that the NCAA developed the rule to get to things it otherwise would miss since it has no subpoena power. I think courts could easily say that there is nothing more arbitrary than excising disfavorable evidence while trumpeting the favorable. Courts, even if willing to let the NCAA use this novel power after considering that first challenge discussed above, might (I think "would") decide that the NCAA can only use evidence that is specifically and conclusively established as a finding in the prior case. Evidence that is extraneous to a guilty finding should not be used because it may well not have been the result of a judicial or jury finding.
Example: Agent is on trial for providing drugs to get Student A to sign a representation contract in high school. Student A testifies that he and Agent invited classmate Student B to dinner and did drugs later. Agent is found guilty. NCAA wants to impose initial eligibility sanction on Student B for accepting value (meal and drugs) from Agent, and tries to introduce Student A's testimony to prove it.
I think a court would say it violates fundamental fairness to allow the use of extraneous evidence like that. A judge or jury could have found Agent guilty while disbelieving that Student B was involved.
Anyway, if the NCAA tries to disregard the testimony that KU did not know of the payments, I think the door is wide open.