Former LSU football coach Ed Orgeron has been ordered by the Louisiana Supreme Court to pay more than $8 million to his ex-wife, Kelly Orgeron, as part of a long-running divorce settlement. The court ruled in a 5-2 decision that Kelly is entitled to half of the $16.9 million buyout Ed received from LSU following his departure in 2021.
Background of the Case
The case centered on whether the buyout funds, secured during the marriage, qualified as community property. In January 2020, Orgeron signed a binding term sheet with LSU for a contract extension. He filed for divorce in February 2020, and the full contract was officially approved by LSU in April of that year.
Lower courts had previously ruled in favor of Ed Orgeron, stating the buyout should be considered separate property since the contract was finalized after the divorce was filed. However, the Supreme Court reversed those rulings, finding that the agreement was legally binding at the time it was signed—while the couple was still legally married.
Supreme Court’s Ruling
Justice Jefferson Hughes, writing for the majority, stated that the term sheet guaranteed financial security for Orgeron regardless of future coaching outcomes and was therefore part of the marital estate. The majority determined that Kelly Orgeron is entitled to $8,134,500—half of the net amount remaining after a $680,000 payment to Orgeron’s agent was subtracted from the $16.95 million total.
Justices Jay McCallum and Cade Cole dissented, arguing that the buyout payment was conditional upon Orgeron’s later termination and should be treated as separate property.
Conclusion
The ruling marks a major financial decision in a high-profile divorce that made its way to the state’s highest court. With this judgment, the court clarified how binding agreements signed during marriage, even if finalized later, can significantly impact the division of assets in divorce proceedings.