NASHVILLE, Tenn.—In a significant move, the NCAA will discard a regulation that hindered athletes from securing potentially profitable name, image, and likeness (NIL) deals before committing to a specific college. This development emerges as a result of a settlement in a legal case against the policy, as announced by Tennessee Attorney General Jonathan Skrmetti on Monday.
Skrmetti, along with several other attorneys general, had initiated legal action against the NCAA over its restrictions on NIL recruiting, contending that the rule breached antitrust legislation. The proposed settlement awaits endorsement from a federal judge.
In his statement, Skrmetti emphasized, “With a multi-billion-dollar entertainment industry stemming from college sports, the young athletes driving it should not be the only ones deprived of the chance to benefit financially.”
An NCAA representative highlighted that the anticipated settlement “affirms our endorsement of student-athletes benefiting from their NIL. It demonstrates our dedication to elevating student-athlete benefits throughout their collegiate journey, establishing a sustainable direction for the future of college athletics.”
If the settlement gains judicial approval, college athletes will be permitted to engage in negotiations for NIL agreements prior to choosing a particular school. Additionally, third parties will have the capability to negotiate NIL contracts during recruitment periods.
The NCAA will also be obligated to announce any potential NIL modifications over the next five years and engage with states before implementing any changes. This initiative is backed by attorneys general from New York, Virginia, Florida, and the District of Columbia, who were participants in the lawsuit.
Previously, the overseeing judge had ordered a temporary halt to the existing NCAA policy as the legal proceedings unfolded.
