LOUISVILLE, Ky. (WDRB) – Kenny Payne, who was fired as Louisville basketball coach last month, will receive $7.25 million over the next three years as part of a buyout settlement reached with the school on March 19, according to a copy of the document obtained through an open records request by WDRB News.

Payne will receive payments of $201,388 per month through March 31, 2027. He was fired after compiling a record of 12-52 over his first two seasons, and was owed a total of $8 million, according to the terms of his contract.

The agreement puts Louisville in an unusual position. It will be paying a former coach $2.5 million a year and its current coach, Pat Kelsey, $2.3 million per season, before incentives.

Including payments still being made to former coach Chris Mack in accordance with his separation agreement, Louisville will be paying basketball coaches (two former, one current) $526,387 per month through January of 2025, when Mack’s agreement ends.

U of L also will make health insurance payments for Payne through June 30, 2025, unless he takes a position that includes health insurance benefits before then.

The deal is standard for such settlements. Payne is asked to cooperate with any NCAA or other investigations that take place in the future. It includes no offsets, which means Louisville owes Payne the money, even if he takes another job.

The deal also includes a non-disparagement clause, in which Payne, “agrees that he will not make any disparaging statements or remarks about (the U of L Athletic Association) or the University of Louisville.” Though he may respond truthfully to regulatory agencies, law enforcement or in response to a court order.

Payne has not spoken publicly since his departure.

A full copy of the agreement is in the PDF below.

Download PDF Kenny Payne buyout agreement - redacted

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