Can Schools take a cut of NIL money?

[Gamecock Lifer]

New Georgia law legalizing college athlete endorsements also allows schools to take athletes' money

As Georgia athletes can soon make endorsement money, their schools can also take up to 75% of that money to redistribute to other athletes.

sports.yahoo.com

In Ga’s proposal- up to 75% can the taken by the school and put into a pool to benefit all athletes. Is that how it was implemented?

These types of differing rules between states could have as big of an impact on recruiting as other factors pertaining to local economy or the wealth of a fan base IMO. Again- who knows- I am not even sure this is still accurate after the NCAA changed their ruling on the matter, but this is the LAW Ga Signed in May!

All I know is if I am a star athlete with a potential to sign big NIL endorsements and UGA can take 75% of my money, but another school in a different state might take less/none? Well I think the potential impact is obvious.

Beyond that- this additional “taxation” leads to tons of additional questions.. Like how much does the school get to keep? Also- wouldn’t this incentivise players who are making these deals to try to do them “behind the back” of the schools to avoid sharing the revenu? What would the punishment be if caught? Would it not then be a crime because they would also have to hide it from the IRS..? Would the school have to set a flat amount that goes into the pool for all players, or could they say their “base rate” is 75%, “but for you Mr 5* QB who we REALLY WANT, we will only charge you 5%”??
So many questions…

 

[Silver_Coconut]

Let's see how the communist driven college students take to this one.

 

[Gamecock Lifer]

Let's see how the communist driven college students take to this one.

I was going to make a communism remark in my post but decided that was too political… 🤷‍♂️

I am just curious if this held up and if so- does anyone know how 75% compares to other states like, sayyy SC? This is an opportunity to try to manipulate things in our favor- leads to another question though.. Would it benefit recruiting more to have low/no revenue share (probably yes for blue chip guys right?) or would it be a better strategy to tax the rich sports/athletes to help boost other programs like baseball or.. soccer or something where they are probably less likely to get big endorsements? Most of us would likely lean towards what helps us win in FB right? What about school admin and politicians?

 

[Jon Snow]

I was actually thinking about the “pooled NIL $” idea today. I think that would be a system that really supports the current, top-heavy landscape in football and men’s basketball.

If I’m a 5 star WR and I really care about the NIL money I receive, and if all schools are pooling, then the smart move it to go to an established school with players who have a broader regional, even national appeal. That way, my cut off the pool at Alabama/Ohio St, etc, is much bigger than it would be at, say, Missouri.

If NIL$ belongs strictly to the individual, then all the athlete has to think about is what kind of deals can he make for himself.

 

[Silver_Coconut]

I was actually thinking about the “pooled NIL $” idea today. I think that would be a system that really supports the current, top-heavy landscape in football and men’s basketball.

If I’m a 5 star WR and I really care about the NIL money I receive, and if all schools are pooling, then the smart move it to go to an established school with players who have a broader regional, even national appeal. That way, my cut off the pool at Alabama/Ohio St, etc, is much bigger than it would be at, say, Missouri.

If NIL$ belongs strictly to the individual, then all the athlete has to think about is what kind of deals can he make for himself.

If the player is the principal in the endorsement, like a spokesperson for a company, they are entitled to all the income. If the endeavor pertains to, say using their likeness in a football video game, then the college should be entitled to a portion. I think there has be a lot of nuance here.

 

[pepsicock]

How if somebody flunks out or gets arrested ?

 

[ToddFlanders]

Georgia is really overthinking it and it's going to cost UGA recruits. I also heard there was a part of the law which puts their money in escrow until they leave school. What kid is going to want to go to UGA and wait for their money when they could get it now?

This NIL stuff is being way overblown. Soon the market forces are going to dictate everything and they'll be a few big earners across the whole industry (basically the top half of the first round guys like Lawrence), some guys that make some decent dough (up to $100,000 over three to four years), and then a bunch of guys making scraps (a couple hundred here and there for minor endorsements/autograph signings/etc). Nothing will be life changing for these guys (heck, even NFL money doesn't end up life changing for most athletes as its gone in a couple of years anyway). But, at least they can take advantage of their short-lived "fame" and feel like they're getting something out of it.

 

[TAV31]

Well considering most schools are writing policies that says the students can't use anything school related for their benefit in this new NIL program, the schools technically don't have a leg to stand on. So what Ga is doing will either benefit their state or severely hamper their state depending on how this is used. It kind of depends on how the people who will pay the kids perceive this law. Kids in our state can't show any relation to the school while promoting their selves. Kids in Ga will be able to wear their school colors and uniforms most likely while promoting.
So do the people with the car lot want a "Gamecock QB" to come sign autographs, or is "Luke Doty the person" good enough. The car lot nor Luke can mention anything about Carolina during the process. If we don't have a universal law for everyone involved, it will be completely corrupt just like now.

 

[FORKCOCK]

We have never been out front on anything like this. Let's hope we don't get left in the dust again.

 

[GoCocksFight2021]

No, if it were legal for the school to take some of the money, the NCAA would have already figured out a way to do that. The schools will lose in court if they try.

The only way schools could do this is if they had a contract with the player stating they are entitled to part of the revenue. But the schools don't even care about the money, just like they don't care about a cut of the money given under the table today. They just want the players. The big money comes with success on the field.

 

[king ward]

Let's see how the communist driven college students take to this one.

Bravo!

 

[Bubbaglide]

Like others, i wonder if the school will license its trademarks to the athletes NIL in exchange for a piece of that pie. ? If so, the top schools will continue to get richer as more of their star athletes will generate more income for the school through that trademark licensing. If you are going to use our Logo, you got to pay the Piper

 

[Gamecock Lifer]

Well considering most schools are writing policies that says the students can't use anything school related for their benefit in this new NIL program, the schools technically don't have a leg to stand on. So what Ga is doing will either benefit their state or severely hamper their state depending on how this is used. It kind of depends on how the people who will pay the kids perceive this law. Kids in our state can't show any relation to the school while promoting their selves. Kids in Ga will be able to wear their school colors and uniforms most likely while promoting.
So do the people with the car lot want a "Gamecock QB" to come sign autographs, or is "Luke Doty the person" good enough. The car lot nor Luke can mention anything about Carolina during the process. If we don't have a universal law for everyone involved, it will be completely corrupt just like now.

Here is to hoping their law severely hampers UGA!

 

[Gamecock Lifer]

Like others, i wonder if the school will license its trademarks to the athletes NIL in exchange for a piece of that pie. ? If so, the top schools will continue to get richer as more of their star athletes will generate more income for the school through that trademark licensing. If you are going to use our Logo, you got to pay the Piper

Our rules on this expressly prohibit the use of the school’s brand and facilities in NIL deals. I have heard most schools have similar rules in place.

 

[Gamecock Lifer]

Justin Ross at clemsun signed an apparel deal already- the problem? Cu, like USC says clearly in their rules you cannot use their logo in these deals. You can clearly see he is wearing a clemsun uniform in the picture on these t-shirts! Who enforces this? What is his punishment? Who knows! 🤷‍♂️

 

[uscg1984]

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Justin Ross at clemsun signed an apparel deal already- the problem? Cu, like USC says clearly in their rules you cannot use their logo in these deals. You can clearly see he is wearing a clemsun uniform in the picture on these t-shirts! Who enforces this? What is his punishment? Who knows! 🤷‍♂️

Well, I can clearly see it's an orange and white uniform, but I don't see a tiger paw on the helmet or anything that says "Clemson" or "Tigers" on the uniform in the picture.

 

[Gamecock Lifer]

Well, I can clearly see it's an orange and white uniform, but I don't see a tiger paw on the helmet or anything that says "Clemson" or "Tigers" on the uniform in the picture.

True- so the nuance of this is complicated obviously… If a Bama player wears houndstooth in a photo shoot, will they go after him? They have shut that down in other venues in the past because of the Bear Bryant correlation. I just don’t know how/who polices any of this.. If it is up to the schools, then it is an internal matter and can be completely subjective.

 

[uscg1984]

True- so the nuance of this is complicated obviously… If a Bama player wears houndstooth in a photo shoot, will they go after him? They have shut that down in other venues in the past because of the Bear Bryant correlation. I just don’t know how/who polices any of this.. If it is up to the schools, then it is an internal matter and can be completely subjective.

I don't think we have any idea how this will all play out.

 

[Gamecock Lifer]

I don't think we have any idea how this will all play out.

Oh certainly not- I have said that a fee times in these threads- obviously we are all just thinking out loud at this point. It is truly the wild west rn- I find it exciting personally!

 

[king ward]

Oh certainly not- I have said that a fee times in these threads- obviously we are all just thinking out loud at this point. It is truly the wild west rn- I find it exciting personally!

I love mayhem when it doesn't involve me. I will say, however, that I am concerned about the intercollegiate athletic template going forward. But as I have stated before, I really consider that what I have to lose now is a lot less than it used to be.

 

[FORKCOCK]

I love mayhem when it doesn't involve me. I will say, however, that I am concerned about the intercollegiate athletic template going forward. But as I have stated before, I really consider that what I have to lose now is a lot less than it used to be.

The pageantry of college football will go away.

 

[polo-loco]

New Georgia law legalizing college athlete endorsements also allows schools to take athletes' money

As Georgia athletes can soon make endorsement money, their schools can also take up to 75% of that money to redistribute to other athletes.

sports.yahoo.com

In Ga’s proposal- up to 75% can the taken by the school and put into a pool to benefit all athletes. Is that how it was implemented?

These types of differing rules between states could have as big of an impact on recruiting as other factors pertaining to local economy or the wealth of a fan base IMO. Again- who knows- I am not even sure this is still accurate after the NCAA changed their ruling on the matter, but this is the LAW Ga Signed in May!

All I know is if I am a star athlete with a potential to sign big NIL endorsements and UGA can take 75% of my money, but another school in a different state might take less/none? Well I think the potential impact is obvious.

Beyond that- this additional “taxation” leads to tons of additional questions.. Like how much does the school get to keep? Also- wouldn’t this incentivise players who are making these deals to try to do them “behind the back” of the schools to avoid sharing the revenu? What would the punishment be if caught? Would it not then be a crime because they would also have to hide it from the IRS..? Would the school have to set a flat amount that goes into the pool for all players, or could they say their “base rate” is 75%, “but for you Mr 5* QB who we REALLY WANT, we will only charge you 5%”??
So many questions…

Seems unlikely to survive a challenge in the courts.

 

[Carolina Doc]

True- so the nuance of this is complicated obviously… If a Bama player wears houndstooth in a photo shoot, will they go after him? They have shut that down in other venues in the past because of the Bear Bryant correlation. I just don’t know how/who polices any of this.. If it is up to the schools, then it is an internal matter and can be completely subjective.

I would think that the schools would also like to be compensated for THEIR name, image, or likeness, as well. Going to be some interesting back and forth in the future.

 

[king ward]

Seems unlikely to survive a challenge in the courts.

I don't think it will fly, either.

 

[Boom4life]

I would think that the schools would also like to be compensated for THEIR name, image, or likeness, as well. Going to be some interesting back and forth in the future.

They are compensated for their name image and likeness are you kidding me. How about that under armor contract, all the sponsors, and tv contracts.

The school getting any of a players money is total bs. Also in my opinion keeping it til graduation or what have you is also bs.
If an academic scholarship student gets a job working for x the while in school no one takes that money. What kind of communist bs is this.

 

[Carolina Doc]

They are compensated for their name image and likeness are you kidding me. How about that under armor contract, all the sponsors, and tv contracts.

The school getting any of a players money is total bs. Also in my opinion keeping it til graduation or what have you is also bs.
If an academic scholarship student gets a job working for x the while in school no one takes that money. What kind of communist bs is this.

True. I'm was just suggesting that schools might try to claim even more if a player is wearing school gear while earning NIL income. I would hope the school would not do that, but I wouldn't put it past them.

And don't compare the athletes to the ordinary students. The athletes have it way better than they do.

 

[GoCocksFight2021]

Schools can make rules all they want. Other schools will loosen their rules to get a recruiting advantage. In the end, there will be no rules. And even if there are rules that survive legal challenges, they will be unenforceable. Nobody will be able to investigate the finances of any of these players, and the eyeball test won't be valid anymore. Right now, if some kid from an average family shows up with a Lambo, it will be questioned. Going forward, nobody will be able to say anything about anything.

College football just became pro football. The only difference is who is paying.

 

[GreatestCock]

Schools and the NCAA already get all the money and the discussion is how to give them more money from a new revenue stream that exists in part to remedy the problem of the school getting all the money. Lol.

 

[GoCocksFight2021]

If it weren't for the school, there would be little to no money.. The value is in the association with the school.

 

[polo-loco]

If it weren't for the school, there would be little to no money.. The value is in the association with the school.

Without athletes, they're would be no sports at the colleges. It goes both ways.

Maybe we should abandon this charade and have developmental leagues for football.

 

[Boom4life]

Schools can make rules all they want. Other schools will loosen their rules to get a recruiting advantage. In the end, there will be no rules. And even if there are rules that survive legal challenges, they will be unenforceable. Nobody will be able to investigate the finances of any of these players, and the eyeball test won't be valid anymore. Right now, if some kid from an average family shows up with a Lambo, it will be questioned. Going forward, nobody will be able to say anything about anything.

College football just became pro football. The only difference is who is paying.

Not even close back away from the ledge man.

 

[Lakecock1]

Our rules on this expressly prohibit the use of the school’s brand and facilities in NIL deals. I have heard most schools have similar rules in place.

Umm....not so fast! That is NOT what I interpret from the NIL guidelines released by our AD and published in The State. When you state that 'our rules expressly prohibit the use of the school's brand and facilities in NIL deals', you are only partially correct. It is NOT as cut and dried as you make it appear. I agree with you on the use of our facilities, but not on the use of our school's brand.

• Student-athletes may use University of South Carolina intellectual property with the prior written approval of the University of South Carolina Athletics Department. Student-athletes may autograph and sell officially licensed memorabilia that includes University marks that is purchased by the student-athletes.
• South Carolina State Law prohibits the use of University of South Carolina facilities for NIL activities.

Further research indicates that 'intellectual property' includes specific categories:
1. Copyrights
2. Patents
3. Trademarks
4. Trade Secrets

The use of our 'brand' would fall under Trademarks.
A Trademark is a “word, phrase, symbol, or design, or a combination thereof, that
identifies and distinguishes the source of the goods of one party from those of others. ” For instance, if your company name, a logo, or your company tagline can me trademarked. The trademark serves as a brand identifier for your business or your products. Images, slogans, and colors can all be trademarked.

So, to be clear, our athletes MAY use our logo provided they have prior written approval from our Athletic Dept. And, they MAY sell officially licensed memorabilia that they themselves have purchased.

Our university should ENCOURAGE those seeking to profit from the new NIL rules to use our logo since that simply keeps our 'brand' in the public eye. The more our brand appears nationally, the better things will be for our university - especially regarding recruiting.

 

[Gamecock Lifer]

Umm....not so fast! That is NOT what I interpret from the NIL guidelines released by our AD and published in The State. When you state that 'our rules expressly prohibit the use of the school's brand and facilities in NIL deals', you are only partially correct. It is NOT as cut and dried as you make it appear. I agree with you on the use of our facilities, but not on the use of our school's brand.

• Student-athletes may use University of South Carolina intellectual property with the prior written approval of the University of South Carolina Athletics Department. Student-athletes may autograph and sell officially licensed memorabilia that includes University marks that is purchased by the student-athletes.
• South Carolina State Law prohibits the use of University of South Carolina facilities for NIL activities.

Further research indicates that 'intellectual property' includes specific categories:
1. Copyrights
2. Patents
3. Trademarks
4. Trade Secrets

The use of our 'brand' would fall under Trademarks.
A Trademark is a “word, phrase, symbol, or design, or a combination thereof, that
identifies and distinguishes the source of the goods of one party from those of others. ” For instance, if your company name, a logo, or your company tagline can me trademarked. The trademark serves as a brand identifier for your business or your products. Images, slogans, and colors can all be trademarked.

So, to be clear, our athletes MAY use our logo provided they have prior written approval from our Athletic Dept. And, they MAY sell officially licensed memorabilia that they themselves have purchased.

Our university should ENCOURAGE those seeking to profit from the new NIL rules to use our logo since that simply keeps our 'brand' in the public eye. The more our brand appears nationally, the better things will be for our university - especially regarding recruiting.

You are right, I re-read it since I posted this. It is prohibited unless they get permission..

 

[king ward]

Without athletes, they're would be no sports at the colleges. It goes both ways.

Maybe we should abandon this charade and have developmental leagues for football.

Both statements are true, but the NFL has no incentive at all to establish developmental leagues. What just happened only solidifies that.

 

[GreatestCock]

If it weren't for the school, there would be little to no money.. The value is in the association with the school.

So after the student athlete purchases the memorabilia for NIL activities, you want them to also get a significant percentage of the NIL money even though they were already paid upfront for the use of the products? Lol

 

[king ward]

So after the student athlete purchases the memorabilia for NIL activities, you want them to also get a significant percentage of the NIL money even though they were already paid upfront for the use of the products? Lol

You've posed a question I'm not sure I understand. I foresee a scenario not involving an up-front purchase of merchandise by the athlete for resale unless he/she wants to do it the hard way. Most of these people will be paid for the use of their names, images, or likenesses on products manufactured and sold by third parties.

 

[GoCocksFight2021]

Without athletes, they're would be no sports at the colleges. It goes both ways.

Maybe we should abandon this charade and have developmental leagues for football.

Absolutely. But send all the current athletes to farm league and replace them with a completely new set of athletes. The current athletes would be broke and the replacement athletes would be the ones making deals..

The value is in the association with the school. Of course, you are right about the charade. Many of these athletes wouldn't have a chance to attend these schools if they had to meet the academic requirements regular students have to meet.

If anybody is being cheated, it's the real student athletes that have no chance to really represent their school because people having no business being there to start with are taking their opportunity. Put them on the field, and the money for the schools would still be there. The level of competition would be lower, but the schools would still sell out stadiums. People would still watch on tv. People would still buy the merchandise. And it would be true student athletes. True representatives of the school.

 

[GoCocksFight2021]

You've posed a question I'm not sure I understand. I foresee a scenario not involving an up-front purchase of merchandise by the athlete for resale unless he/she wants to do it the hard way. Most of these people will be paid for the use of their names, images, or likenesses on products manufactured and sold by third parties.

Yep. And if they use the school logo, the school should get a cut. Just because they play for the school doesn't mean they get to use the school's name/image/likeness for free. That cut will be one of many negotiation points with recruits.

 

[Lakecock1]

Yep. And if they use the school logo, the school should get a cut. Just because they play for the school doesn't mean they get to use the school's name/image/likeness for free. That cut will be one of many negotiation points with recruits.

It's already addressed in the NIL issue by our Athletic Dept.

Student-athletes may autograph and sell officially licensed memorabilia that includes University marks that is purchased by the student-athletes.

In other words, the school benefits when the student/athlete purchases the 'officially licensed memorabilia'.

 

[GoCocksFight2021]

Not even close back away from the ledge man.

5 years max. You will see.