I just spent quite a bit of time with student athletes and social media influencers at Washington State University this month. They can profit on their name, image, and likeness (“NIL”) like never before. This is due in part to a 2023 Supreme Court ruling (NCAA v. Alston) and the NCAA’s acknowledgement it had violated antitrust laws by limiting educational benefits to student-athletes. That means every college athlete can now receive significant education-related benefits, including scholarships. As overnight entrepreneurs, student athletes need to consider these three things to stay in charge of their NIL rights.
- Know the rules of where you are: With no federal laws regarding NIL contracting in existence or on the horizon, athlete/influencers must get educated on the local game. Research the relevant school and state regulations on NIL contracting.
- Know who controls what and how much: It benefits everyone involved to specify the level of creative control between the contracting parties.
- Know FTC Rules: Sponsored social media content falls under the purview of the Federal Trade Commission. Most NIL contracts put the burden of complying with FTC rules on the athlete/influencer.
Your name and face are on the line
Look, knowledge is power and it’s literally your name and face on the line, so, make sure you clearly understand what your rights and responsibilities are and make savvy decisions. When I work with clients, it’s not enough that I understand NIL contracts, my clients must get it too. Don’t leave a room or a conversation without your questions being answered.
