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Brian Kelly set for $54M payout after suing LSU over contract buyout dispute resolution process

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A wild turn in the already ugly Brian Kelly-LSU divorce had a happy ending for the former Tigers coach.

Kelly will receive the remainder of the $54 million owed to him after a lawsuit filed by Kelly claimed the school attempted to avoid paying up.

The coach filed a lawsuit against LSU, claiming the school was attempting to avoid its buyout after allegedly telling Kelly’s representatives it had not officially terminated him and was instead looking to fire him for cause.

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Brian Kelly set for $54M payout after suing LSU over contract buyout dispute resolution process  at george magazine

Head coach Brian Kelly of the LSU Tigers during a game against the USC Trojans at Allegiant Stadium on Sept. 1, 2024, in Las Vegas. (Gus Stark/LSU/Getty Images)

Kelly, though, received a letter from the school on Wednesday stating he had officially been terminated without cause and is owed “liquidated damages as required” under his contract.

LSU spelled out in the letter that Kelly has a legal obligation to make “good-faith, reasonable and sustained efforts” to get another job in football while he is still being paid by LSU.

When formally announcing Kelly’s departure, then-athletic director Scott Woodward said, “We had high hopes that he would lead us to multiple SEC and national championships during his time in Baton Rouge. Ultimately, the success at the level that LSU demands simply did not materialize, and I made the decision to make a change after last night’s game.”

Brian Kelly set for $54M payout after suing LSU over contract buyout dispute resolution process  at george magazine

Louisiana State University head coach Brian Kelly during the fourth quarter at Memorial Stadium in Clemson, South Carolina on Aug. 30, 2025. (Ken Ruinard/USA Today Network South Carolina/USA Today Network via Imagn Images)

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Woodward has since left his post after Louisiana Gov. Jeff Landry said he would not allow Woodward to hire the next coach, claiming he would rather have President Donald Trump make the decision. 

However, the suit claimed that Kelly’s representatives were told by LSU that Kelly was never officially fired because Woodward did not even have “the authority to terminate Coach Kelly and/or make settlement offers to him.”

In his comments about Woodward, Landry also blamed the former athletic director for the $77 million given to Jimbo Fisher, whom Woodward hired and whose contract negotiations he oversaw when Fisher was let go by Texas A&M.

Kelly’s ousting came shortly after Penn State fired James Franklin, as multiple big-time college opportunities have opened up this season. Franklin has since gone to Virginia Tech, but Kelly has yet to find his next landing spot.

Brian Kelly set for $54M payout after suing LSU over contract buyout dispute resolution process  at george magazine

LSU Tigers head coach Brian Kelly during warm-ups before the game against the Southeastern Louisiana Lions at Tiger Stadium. (Stephen Lew/Imagn Images)

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Kelly owns a lifetime record of 297-109-2, dating back to his days coaching Division II school Grand Valley State from 1991 through 2003. He spent 12 seasons at Notre Dame before going to Baton Rouge and also had stops at Central Michigan and Cincinnati.

Fox News’ Ryan Gaydos contributed to this report.

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Brian Kelly set for $54M payout after suing LSU over contract buyout dispute resolution process  at george magazine
Brian Kelly set for $54M payout after suing LSU over contract buyout dispute resolution process  at george magazine
Brian Kelly set for $54M payout after suing LSU over contract buyout dispute resolution process  at george magazine

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