Sign on the Dotted Line: NCAA Student Athletes Officially Allowed to Profit from their Name, Image, and Likeness
Imagine a world where a car dealership was able to hire Myles Brennan, the starting quarterback for LSU, to come to the dealership for an autograph session and photo opportunity. This world has become a reality and as of July 1, 2021, NCAA college athletes are officially allowed to profit from their Name, Image, and Likeness (“NIL”). On June 30, 2021, the NCAA governing bodies adopted a uniform interim policy to suspend the current rules prohibiting student-athletes from profiting from their NIL. This means that all college athletes will have the opportunity to enter into endorsement deals, make appearances, and be compensated for other business endeavors that they previously were prohibited from profiting from. The NCAA interim policy provides the following:
Student-athletes can engage in NIL activities that are consistent with the law of the state where the school is located.
Student-athletes who attend a school in a state without an NIL law can engage in NIL activities without violating NCAA rules related to name, image and likeness.
Student athletes can use a professional services provider for NIL activities, such as a lawyer or agent, to assist with NIL deals.
Student-athletes should report NIL activities consistent with state law or school and conference requirements to their school.
The interim policy will remain in place while the NCAA members work with Congress to adopt uniform federal legislation.
This means that a car dealership can now hire student-athletes to make appearances at car dealerships, appear in marketing campaigns and advertisements, make posts on social media, and participate in other advertising and endorsement deals for the car dealership.
It is important to note that while student athletes can be compensated for NIL activities, that student athletes cannot accept pay-for-play offers or other improper inducements. The current NCAA rules that prohibit pay-for-play remain in effect.
Car Dealerships in the state of Louisiana should pay attention to the details of the Louisiana NIL Bill, Senate Bill 60, which was signed into law in July. The bill allows student-athletes to profit from their NIL but also places limitations on the types of deals student-athletes can enter into, such as a prohibition on deals involving alcohol and gambling.
Allowing student athletes to profit from their NIL endeavors has been a long-awaited change and is monumental for student athletes, universities, and businesses seeking to utilize student-athletes for marketing and endorsement deals. Car dealerships should take advantage of these NIL rule changes enter into marketing and endorsement deals with student-athletes. The attorneys at BSW have been following the development of the NIL rule changes and are able to assist with any matters relating to NIL.
 Louisiana Senate Bill 60, Allowing Student Athletes to Profit from their Name, Image, and Likeness Heads to Governor's Desk: https://www.bswllp.com/louisiana-senate-bill-60-allowing-student-athletes-to-profit-from-their-name-image-and-likeness-heads-to-governors-desk.