BREAKING: In a major shift, the NCAA will allow college athletes to earn compensation for use of their name, image or likeness. The move comes as legislation is set to become law in several states allowing such compensation.

Submitted by chunkums on June 30th, 2021 at 6:05 PM

DALLAS (AP) — The NCAA cleared the way for athletes to profit off their name Thursday, the eve of legislation becoming law in several states that would allow for such compensation.

The expected approval from the NCAA Board of Directors came a few days after a recommendation from the Division I Council to allow athletes in every state to pursue compensation for their name, image and likeness without jeopardizing their college eligibility.

Source: The Associated Press.

Blue Vet

June 30th, 2021 at 6:14 PM ^

I'm shocked. Shocked, I tells ya. The NCAA assured us that they were standing on principle. Surely they would adhere to that principle. Whatever it was.

Hugh White

June 30th, 2021 at 6:53 PM ^

Interesting. Perhaps it’s time now for the state of Michigan to adopt a Right of Publicity statute. The uncertainties of common law protection (e.g. no post Mortem protection; scope of protection for non-celebrities) probably hurts Michigan residents in the long-run. 

uminks

June 30th, 2021 at 6:53 PM ^

MI congress needs to make the NIL legislation go in to effect immediately. At least the Michigan brand is still good despite the football team not doing too well. This will help with recruiting and also the 12 team playoff will also help recruiting after the 2025 season.

LKLIII

June 30th, 2021 at 7:07 PM ^

I have some questions in the execution of these NIL deals. Specifically, how aggressively can (WILL) certain programs & conferences wield this new power & whether the NCAA or any state/federal legislation stop the more egregious abuses. Examples:

 

  • I assume the rules don’t allow universities to directly pay for these NIL deals, but what are the limits (if any) on universities coordinate them? For example, can they create exchanges that facilitate match-making between their current roster/top recruiting targets & would-be sponsors? Can a football staff explicitly share their opinions with world-be sponsors about certain roster players/top recruit targets they want to see compensated, and/or even advice HOW they want them compensated? (e.g. up front flat fees, bonuses or deal extensions that are benchmarked in part by on field performance?)

 

  • Can would be sponsors explicitly make signing on with a specific school/staying on that school’s roster as being a requirement for compensation?

 

  • Can would be sponsors offer deals for NIL OPTION contracts, such that the athlete may not even be required to do any real appearances/endorsements if the option isn’t exercised?

 

  • Related to the option deal question, can would be boosters create multi tiered NIL deals (first tier is the option contract itself, second tiers spell out what additional  compensation is automatically earned upon satisfaction of certain conditions)? Example: first tier is automatic $1k payment for the option, then player gets more at each phase of recruitment—on campus visit, signing LOI, formal enrollment & participation on the team, etc)

 

  • Related, can NLI or NLI option deals be conditioned upon the player signing or not signing with specific teams other than the booster subject team? For example, say Michigan has no chance to land XYZ, who is a 5 star generational QB talent, and they know it. However, there’s a risk that kid signs with Ohio State or some other Big Ten school. Can a Michigan oriented booster/would-be sponsor offer the kid a $1M NIL option contract, subject to them NOT joining the roster of any non-Michigan Big Ten school or Notre Dame anytime in the next 5 years?

 

  • Can any of these NIL or NIL option deals be signed with players who are currently active members of another NCAA FBS roster? For example, could a super wealthy would-be booster/sponsor approach key players or position groups of a rival program, then offer them lucrative NIL option deals, subject only to their non-participation in upcoming games against that would be booster/sponsor’s preferred program? Examples: Lex Luthor is a passionate fan of Rutgers Football, and they have an upcoming game against Michigan. Can he spend $66 million & offer every player on the Michigan 3 deep $1m each to sit out just that game, so Michigan is forced to forfeit or play them with a bunch of scrubs?

 

  • Thinking more strategically, can a super wealthy booster/sponsor decide they’re going to consistently spend an obscene amount of money in a series of targeted NIL option contract deals in an extended & aggressive “denial of service” attack against a hated rival? For example, could Dan Gilbert just decide, “I don’t want the University of Michigan to sign a single QB recruit ranked higher than 0.85 in the 247 composite for the next decade, so I’m going to spend $100M per year offering generous NIL option contracts conditioned on NOT going to Michigan, to every QB recruit rated higher than that who even looks like they’re even considering going to Michigan”?

Squeezebox

June 30th, 2021 at 11:08 PM ^

At least the Bama boosters can take the loaner stickers off all those new cars in the team parking lot.  

Johnny Football was signing truckloads of footballs at the end of his first year, but the SEC/NCAA didn't do anything because they couldn't prove that he actually received the physical cash in exchange.

This is a Rabbit Hole that is still looking for a depth gauge that can accurately measure these uncharted waters where no man has gone before.

LabattsBleu

June 30th, 2021 at 11:26 PM ^

The NCAA is idiotic...

the reality was that after the O'Bannon ruling, that this was going to eventually end with some degree of freedom for the athletes.

Rather than be proactive, they dug in their heels and had a temper tantrum...I makes zero sense that a student can be on a full academic scholarship and still be allowed to benefit from that based on that particular acumen and athletes could not.

Michigan fans should be happy...with this, maybe the bagmen will slink into the shadows a little bit, and give Michigan a fighting chance on some targets.

Fezzik

July 1st, 2021 at 11:33 AM ^

I'm probably the only one who disagrees with this. Schools who are willing to buy players (Bama, osu, etc...) will continue to do so, now legally. For the other 90%+ of schools who don't have infinitely deep booster pockets and the schools that care more about academics than sports, they will continue to fall deeper behind athletically. Bagmen will say 'sign this football for 600k if you come to this school.' It will be a bidding war and only a handful of schools have a New York Yankees sized payroll while the rest of the NCAA teams will offer a recruit whatever they can make on their own NIL. All top portal transfers will also go to the highest bidder. The rich get richer and the poor get poorer.

dragonchild

July 1st, 2021 at 1:50 PM ^

It will be a bidding war and only a handful of schools have a New York Yankees sized payroll while the rest of the NCAA teams will offer a recruit whatever they can make on their own NIL.

Where have you been the last ten years? The status quo was precisely this, except the smaller schools had nothing to offer at all. How can there possibly be any less parity than now?