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NCAA Clarifies Athletic Departments Involvement in NIL Deals

It has been over a year since the NCAA adopted the Interim Name, Image, and Likeness (“NIL”) Policy. Since then, student-athletes (“SA”) all over the nation have been closing deals and cashing checks. Yet, confusion and uncertainty surround the NIL landscape, leaving SAs and athletic departments to seek answers.

On Wednesday, October 26, 2022, the NCAA released guidelines to help athletic departments navigate the NIL space. The NCAA Board of Directors created these guidelines to clarify how “schools, coaches, and staffers can be involved with student-athletes endorsement and sponsorship deals.” For instance, schools are permitted to hold educational sessions for SAs to learn about financial literacy, taxes, and entrepreneurship. However, schools cannot provide “services to support NIL activity, such as graphic designers, accountants, or attorneys, unless the same benefits are made available to all students at the institution.”

Moreover, schools are allowed to inform student-athletes of NIL opportunities. In addition, schools may “arrange space for NIL entity and SA to meet on campus.” Although schools can promote or facilitate opportunities, these guidelines are to ensure schools are kept at an arm’s length during negotiations. For example, schools cannot “communicate with NIL entity regarding specific student-athlete requests or demand for compensation."

As the NIL space continues to evolve, one thing is certain... NIL is here to stay.

See the link below for details:

Our firm has extensive experience representing both schools and athletes with respect to NCAA rules and by-laws, state and federal statutory/regulatory compliance, contract review and litigation, education laws, and employment matters. If you have any questions related to this Legal Briefing, please contact any member of our Firm at 585-730-4773. Please note that any embedded links may expire in the future.

NCAA Clarifies Athletic Departments Involvement in NIL Deals
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This Legal Briefing is intended for general informational and educational purposes only and should not be considered legal advice or counsel. The substance of this Legal Briefing is not intended to cover all legal issues or developments regarding the matter. Please consult with an attorney to ascertain how these new developments may relate to you or your business. © 2022 Law Offices of Pullano & Farrow PLLC


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