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a Unanimous 2021 Supreme Court Decision Doors were opened to student-athletes earning money in “name, image, and likeness” (often referred to as NIL) while participating in college sports.
At its most basic level, the NIL Deal allows brands and companies to pay student-athletes to advertise, perform at events, and promote their products on social media.
The NCAA and federal government leave it up to legislators in each state to create NIL guidelines for exercise programs or choose not to impose guardrails at all.
Spotlight PA spoke with several experts at Penn State University to explain how the NIL works.
Pennsylvania NIL Law It is prohibited for student-athletes to earn money from pornography, alcohol, gambling, tobacco or electronic smoking devices, prescription drugs, or other controlled substances.
The 2021 law requires student-athletes to disclose to colleges seven days before their NIL contracts take effect.
A school can block a student-athlete’s NIL contract if it conflicts with the sponsorship between the university and the company, or if the contract conflicts with the school’s “institutional values.”
The law prohibits universities from arranging compensation for athletes or tying compensation to students attending a particular school.
Schools and states police themselves.
Christina Diaz, assistant athletic director for development and enrichment at Penn State University, said the university does not report student NIL deals to outside groups such as the Big Ten Conference and the NCAA. Penn State University does not discipline students for NIL violations, she said.
“Our student-athletes have made amazing disclosures,” Diaz said.
Dan Last, who teaches sports law at New York Law School and works as a sports and entertainment attorney at Geragos & Geragos, told Spotlight PA that schools and states have little incentive to punish students for breaking rules.
If a university or state cracks down on student-athletes, the school or state will cease to be a top destination for recruits and transfers, he said.
NCAA sought help from the university to investigate potential violationsbut did not announce penalties.
The landscape is great for people who want little regulation, says Lust.
“But if you want a fair, level playing field in a conference championship or even a national championship, we’re still playing the game,” he said. The rules aren’t always enforced.”
In the first few months after the Supreme Court ruling, a lot of attention was focused on contracts between individual companies and athletes. A group called the “Collective” now dominates the conversation. Collectives often pool funds from alumni and other supporters to arrange contracts with athletes from specific schools.
Pennsylvania promote the collective Posted We Are and Success With Honor on web page.
we are Describes itself as the ‘Football First Collective’ It works “by providing fan incentives and business relationships to student-athletes.” The group did not respond to requests for comment.
Success With Honor told Spotlight PA that it has worked with more than 70 student-athletes to facilitate more than 50 NIL deals across 18 Penn State sports. According to Jason Belzer, CEO of Student Athlete NIL, which runs Success With Honor, in his first five months since its launch in March, the group has put his Raised nearly $2 million.
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Aside from individual news stories about high-profile deals, there’s limited transparency into how much money is flowing, or how that money is distributed across the sport.
Penn State University, like many universities, does not disclose the monetary value of student contracts, but Diaz describes them as “broad.”
The limited data available is obtained from NIL processing platforms such as Opendorse and INFLCR and is based on user input.
Nationwide, between July 2021 and August 2022, nearly half of NIL’s funding was donated to college football players. according to open doseNearly three-quarters of the money that goes into Division I sports went to male student athletes. According to the website, the average salary for Division I student-athletes was $3,063, Division II student-athletes $709, and Division III student-athletes $868.
However, Opendorse only reports data from contracts submitted through its platform, so these numbers do not represent the full picture of NIL. Michelle Meyer, his NIL coordinator at San Diego State University and founder of the NIL Network, says some well-paid student-athletes can be below average.
At the same time, the Opendorse CEO told Yahoo that he believes. 80% of NIL transactions go unreported to school. Not reporting transactions allows athletes and college supporters to circumvent basic her NIL rules, such as paying athletes to attend certain schools.
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https://www.mcall.com/news/pennsylvania/mc-nws-nil-deals-oversight-20221002-okd4r4fz3vd47a3fhn5ynyjwp4-story.html#ed=rss_www.mcall.com/arcio/rss/category/news/pennsylvania/ Schools like Penn State are vigilant about student and athlete endorsement deals – The Morning Call