Collegiate student-athletes entering into Name, Image and Likeness (NIL) endorsement deals should be certain that their NIL deals are in compliance with all applicable rules and laws. Maintaining your NCAA eligibility must be a top priority in order to maximize the value of your NIL. The NCAA has adopted an Interim NIL Policy, instructing student-athletes to follow applicable school and conference policy, or state law. Here is a checklist for college athletes to utilize when considering an NIL deal:
✓ Check your University’s NIL Policy to See What is and is not Permissible
As an example, Indiana University’s NIL policy prohibits student-athletes from utilizing IU’s intellectual property, including its trademarks, logos, or symbols, without prior written permission. Additionally, IU prohibits student-athletes from promoting gambling, alcohol products, tobacco products, adult entertainment, substances banned by the NCAA, or products or services that are illegal.
✓ Check your Conference’s NIL Policy (if your Conference has a Policy)
Not all NCAA conferences have an official NIL policy. Many have delegated the authority to individual schools to enact a policy. As an example of a conference that does have an NIL policy, the Colonial Athletic Association prohibits student-athletes from receiving compensation in exchange for athletics performance, athletic achievement, or as an inducement to enroll or continue attendance at a CAA member institution. Additionally, CAA student-athletes cannot accept compensation for work not actually performed.
✓ Check your State’s NIL Law (if your State has one)
Much like conference NIL policies, not all states have an NIL law in place. The following states have passed an NIL law (as of November 2021): Alabama, Arizona, Arkansas, California, Colorado, Connecticut, Florida, Georgia, Illinois, Kentucky, Louisiana, Maryland, Michigan, Mississippi, Missouri, Montana, Nebraska, Nevada, New Jersey, New Mexico, North Carolina, Ohio, Oklahoma, Oregon, South Carolina, Tennessee, and Texas. Additionally, not all state NIL laws are effective yet—be sure to check the effective date of your state’s law. Some state laws have extensive lists of prohibited NIL deals. For example, New Jersey’s law prohibits student-athletes from signing NIL deals connected to adult entertainment, alcohol, casinos and gambling, tobacco products, prescription drugs, controlled substances, and weapons.
✓ Check with your Compliance Staff
On-campus athletics compliance staff are a valuable resource and should be able to provide guidance if you are unsure of the permissibility of an NIL deal. Your compliance staff has (almost) as strong of an interest in your continuing eligibility as you do!
By Joshua Frieser
Joshua M. Frieser, Esq. is a college sports lawyer and Principal Attorney at Frieser Legal. His practice is focused on the representation of college athletes and working to solve their unique legal needs. Josh represents college athletes in formal NCAA regulatory proceedings and NIL licensing agreements, as well as in related intellectual property and business planning matters.