Tag Archive for: NCAA Name Image & Likeness

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NCAA Name, Image and Likeness (NIL) Key Points and Rules

Last week, the NCAA approved an interim policy for “Name, Image and Likeness” (NIL) rules that became effective on July 1.  The new policy applies to both current NCAA student-athletes in all divisions as well as prospective student-athletes currently in high school, prep school or junior college.

This policy is an “interim” policy adopted by the NCAA due to the variety of state laws that have been proposed or signed into law and the lack of over-arching Federal legislation that the NCAA has not been able to achieve.

Here are a few of the key points regarding this interim policy:

  • This policy applies to all NCAA Divisions – I, II, and III
  • Individuals – both current NCAA student-athletes and prospects – “…can engage in NIL activities that are consistent with the law of the state where the student-athlete’s school is located.”
  • For prospective student-athletes in high school or junior college, they will need to also consider whether state NIL laws will impact their eligibility under their state high school federation rules or under the NJCAA or CCCAA rules.
  • Current NCAA student-athletes attending a college or university in a state that has not yet enacted an NIL law can participate in those activities without being concerned about violating NCAA rules regarding all NIL activities.
  • College and prospective student-athletes can use a professional services provider (such as an attorney or brand marketing agency) to assist with their participation in NIL activities.
  • Athletes will also need to consider any applicable rules regarding amateur status in their particular sport.  For example, golfers who accept compensation for NIL activities may be jeopardizing their amateur status under USGA rules.

The following NCAA rules will still apply to prospects and current student-athlete:

  • An individual may not accept payment for NIL activities that require the athlete to attend a particular university.
  • An athlete accepting “Pay for Play” will still jeopardize their NCAA eligibility.  While an athlete’s athletic ability or performance in an event or a season will impact their public and social media visibility, their athletic performance or contribution to a team’s success can’t be the factor that their compensation is based on.  Their compensation should instead depend upon their social media presence or their popularity with the public – how engaged they are to promote a product or service or in signing autographs.
  • An athlete can’t receive compensation for work that they don’t do.  While they may not actually be “doing anything” if they are receiving compensation for having their picture in a product advertisement, they are granting express permission for that product or service to use their picture.  So, in essence, they are “working” in exchange for their compensation.

The NCAA has prepared a list of “Interim Policy Resources” which can be found as you scroll down on the page that is linked below:

https://www.ncaa.org/about/taking-action

While we are not familiar with the various state laws that have been enacted across the country regarding NIL, we will do our best to answer your questions about NIL if you have questions that you’re not ready to pose to a college coach or compliance office.  Contact us at rick@informedathlete.com or by calling 913-766-1235.

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NCAA Name, Image and Likeness Legislation Update & Overview

Most of you are probably aware that in response to legislation being proposed in many states across the country, the NCAA has proposed their own set of rules regarding opportunities for athletes to be compensated for the use of their name, image, or likeness.

These proposals will be voted on at the upcoming NCAA Convention in January, and if approved, will take effect August 1, 2021.

The proposals differ between Division I, Division II and Division III, so we won’t describe the various proposals in great detail. However here is an overview of the proposed legislation for Division I student-athletes since those athletes receive the most media exposure and will be more likely to benefit from such opportunities.

Employment

Current or prospective student-athletes will be able to establish their own business and will be able to actively promote their own business.

Current student-athletes will be able to promote and offer fee-for-lesson instruction, or conduct their own camp or clinic. If they use their university facilities to provide instruction, they will need to rent the facilities in the same manner as the general public.

Autographs, Memorabilia, Crowdfunding

Current or prospective student-athletes will be able to receive compensation for their autograph.

Current student-athletes will not be able to sell items provided by their university until they are no longer eligible for collegiate competition.

Current and prospective student-athletes will be allowed to crowdfund for limited educational expenses or for charity.

Non-institutional Promotions

Current or prospective student-athletes will be able to receive compensation for promoting a commercial product or service. Universities will not be allowed to assist in arranging such opportunities.

Certain categories of products and services will be prohibited (such as promoting tobacco products or gambling).

A university will be allowed to prohibit current student-athletes from promoting certain products or services that conflict with university sponsorship arrangements. For example, a university that has a shoe contract with Nike will be allowed to prohibit their student-athletes from promoting Adidas or Under Armour.

Agents or Professional Service Providers

The term “agent” will be defined as an individual who is marketing an athlete to be drafted by a professional team or signed to a professional athlete contract.

Individuals or services who market athletes for their name, image, or likeness opportunities (separate from being a professional athlete) will be referred to as “Professional Service Providers” (PSP).

A PSP may not also act as an “Agent” for professional athletic participation.

A student-athlete using a PSP must pay the same fees as the industry standard and can’t receive a discount because of their athletic ability. A university employee or an independent contractor aligned with a university can’t act as a PSP.

A university can’t choose or recommend PSP’s for their student-athletes.

Disclosure to a Third-Party Administrator

The NCAA will establish an independent third-party administrator to manage name, image, and likeness information.

Current and prospective student-athletes will be required to disclose to the NCAA’s third-party administrator any types of promotional activities they are part of. This will include providing contact information and compensation arrangements for such activities.

Remember that these new rules won’t take effect until August, 2021. Contact us at 913-766-1235 or send an email to rick@informedathlete.com if you have any questions.

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