The Minneapolis Star-Tribune reported Williams filed the suit Thursday after he discovered the Big Ten school has blocked his attempt to become an assistant under current coach Tubby Smith.
To accept Smith's offer, he quit as an assistant coach at Oklahoma State.
The report noted Smith made an offer, which Williams said was later pulled off the table by Maturi.
Williams is seeking damages for costs incurred when he quit his job at Oklahoma State.
Williams was head coach at Minnesota during an embarrassing run of NCAA rules violations in the 1970s and '80s.
"Tubby Smith did interview Jimmy Williams, but the two never reached any agreement for Williams to work for the university as an assistant coach," Minnesota’s general counsel, Mark Rotenberg, told the newspaper.
The university says it owes Williams nothing.