The Basics
Here are the basics of NIL as of now. This page will be updated as it continues to develop, but this page will stick to only containing the necessary information needed for people to grasp the concept.
What does NIL mean?
NIL stands for name, image and likeness.
Important Court Cases (Simplified)
O’Bannon v NCAA: Ed O’Bannon, a former UCLA basketball player was depicted in video games produced by EA sports. Bannon never gave EA sports permission to use his likeness in the game and was not compensated for it. Essentially, O’Bannon challenged whether or not the NCAA could profit off of video games and other merchandising that used the likeness of real players like himself. The question at hand was whether or not the NCAA’s compensation rules were subject to antitrust laws and if so were they an unlawful restraint of trade. Ultimately, the court ruled that the NCAA rules barring compensation to student athletes for the use of the name, image and likeness were subject to antitrust laws.
NCAA v Alston: Shawne Alston, a former Arizona State football player alongside other student athletes filed a series of antitrust complaints against the NCAA over compensation rules. A district court ruled in favor of Alston and required that the NCAA make its compensation rules less restrictive and that their current rules were unlawful under antitrust laws. The NCAA appealed all the way up to the Supreme Court, where the court affirmed the lower court's decision.
What’s the history of NIL (simple timeline)?
What Does All of This Mean? (big concepts to understand)
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Because of the Supreme Court Ruling, the NCAA is no longer enforcing its rules regarding student athlete compensation because they could be found guilty of violating antitrust laws.
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There are no overarching NIL rules! The Supreme Court just affirmed a ruling that said the NCAA’s rules regarding student athlete NIL compensation violates antitrust laws, so the NCAA has stopped enforcing their old rules and adopted a new, temporary stance that asks individual schools to set their own rules and regulations. Basically, the NCAA has completely stepped out of the conversation regarding NIL. As of now, individual schools and individual states have their own rules regarding NIL compensation.
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Here is something to keep in mind: the more restrictive the rules at the school or in the state, the less money an athlete can potentially make. Athletes, logically, will drift towards schools and states with lax rules and regulations.
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All of this is considered temporary! The NCAA as well as congressional members are still working on where to go next. They are attempting to create a federal NIL law, but one has not been passed yet.
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Athletes are already making money! Hercy Miller, a Tennessee State basketball player signed a $2 million dollar deal with Web Apps America. Here’s an updated list of all the current, publicly available deals: https://247sports.com/LongFormArticle/Name-Image-and-Likeness-NIL-deals-endorsements-tracker-list-college-football-basketball-gymnastics-167253980/#167253980_12