Contract negotiations and free agency…in collegiate athletics?

In 2021, following a crushing supreme court decision, the NCAA adopted a new Name/Image/Likeness (NIL) rule that allowed collegiate athletes to profit “in accordance with the laws in their states,” and if no state law, according to their college or university guidelines. State law, college guidelines, and rules have proved to have very little teeth, meaning those athletes, coaches, and universities willing to go out on an NIL limb have faced little to no oversight of their activities.

This month, that lack of oversight seems to have come to a head with two major developments shaking up the very nature of what it means to be a college athlete playing at a university in this country.

On April 28, Isaiah Wong, a guard with the University of Miami Hurricanes basketball team, claimed his NIL deal did not meet his expectations and he was planning on “entering the transfer portal.” Wong backtracked just 24 hours later. The notion that a college player could leave a team over what his projected NIL deal was and is uncharted waters. Players, schools, coaches, media outlets, agents, companies, and even boosters may have been more than surprised.

Just days later, the University of Southern California once again made NIL headlines when Jordan Addison, the Biletnikoff Award winner from the University of Pittsburgh, was rumored to be leaving his school for USC. In addition to the young receiver wanting to play with his friend, newly-transferred USC quarterback Caleb Williams, there were rumors that Jordan was being offered a $2-$3 million deal in NIL money. While all of that information is based on rumor, the idea that a college player could enter the transfer portal and NIL arena and change teams, potential rankings, championship or Bowl bids is our new reality.

The NCAA has cowered and now is paralyzed with analysis paralysis, afraid to rule, nervous to guide, and silent on future policy while the lines on “pay to come” and “compensation for performance” wear a different costume. Some say it’s a lot of noise about a very small percentage of the 450,000 college athletes, with less than 10 seven-figure earning players; 100 six-figure earners; 1000 or so five-figure earners, and the average college athlete is earning $1,300 of NIL income.

States that prohibited universities from brokering NIL deals have spawned collectives, nonprofit NIL funds, with dollars supplied by boosters, donors, fans, and influencers. Some sell athletes’ personal appearances, autographed memorabilia, interviews, and even birthday visits. Talk about a future litigation highway. Rumors suggest the NCAA will soon address concerns regarding “pay to come and play” and booster distancing from potential recruits and transfer-portal athletes.

Of the 28 states with current NIL laws, many are scrambling to undo their over-restrictive legislation to stay competitive with the rest of the “no law” wild west states. Watch for the NCAA to try to stop or slow down booster-backed collectives from enticing HS recruits and transfer portal athletes.

Some purists may have been disgusted by both of these recent developments, but few were willing to acknowledge that these things were really happening because the NCAA has simply turned a blind eye to the issue. Another major development to show just how disconnected the NCAA has become is President Mark Emmert announcing he is stepping down in the middle of 2023. In the midst of organized chaos, the leader of the NCAA is bailing out early on his contract.

Today’s decision to stay for current NIL dollars or go with a hope certificate and a ticket to the transport portal is the new face of college sports. If you aren’t doing it, offering it, or creating a rich NIL opportunity it’s dust and tail lights for colleges who can’t compete.

For those tossing tomatoes from the cheap seats arguing paying college athletes was going to destroy college sports…locker rooms haven’t been fractured and stadium attendance is rising. What we may see is three-month seasonal contracts instead of the former one or three-year early NIL deals to players.

Whatever shakeup, rule changes, or Federal legislation comes, our college athletes can now prepare for their financial future and know their years of hard work is paying off with a great education and much-needed financial remuneration. It took over 100 years, but now they can earn, and more importantly, properly prepare and protect themselves financially.

I have been a longtime zealous advocate of college athletes in all sports being allowed to monetize their own NIL to insure and protect their financial future. With NIL now in place, a career-ending sickness or accident permanent disability policy with a Drop-in Draft Protection Rider is potentially within reach and their future professional player careers can be insured against. Dreams and a lifetime of hard work can be dashed in an instant, so earning NIL dollars, having an opportunity to earn, save, and insure their own financial future while playing and getting educated is key.

NIL bidding wars are now kitchen table conversations and with the NCAA losing control, Federal comprehensive legislation may be the only solution to tame the current wild west of college sports.