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NCAA house settlement has been approved. Schools can now directly pay athletes

Posted on 6/6/25 at 8:30 pm
Posted by RLDSC FAN
Rancho Cucamonga, CA
Member since Nov 2008
56339 posts
Posted on 6/6/25 at 8:30 pm
quote:

College athletics is officially entering a new world.

A California judge on Friday night a little bit past 9 p.m. ET granted approval to the NCAA’s landmark settlement of three antitrust cases, often referred to as the “House settlement,” ushering in an era where schools are permitted to share revenue with athletes within a new enforcement structure led by the SEC, Big Ten, Big 12 and ACC.

Claudia Wilken, the 75-year-old presiding judge in California’s Northern District, granted approval of an agreement between the named defendants (the NCAA and power conferences) and the plaintiffs (dozens of suing athletes) to settle three consolidated cases, all of them seeking more compensation for athletes.

Unsuccessful in so many legal battles recently — most notably a 9-0 loss in a 2021 Supreme Court decision — the NCAA and its richest, most influential conferences decided last spring to strike a revolutionary agreement by settling these cases instead of risking a court defeat that might cost them as much as $10 billion.

The House settlement will pay thousands of former athletes — playing from 2016-2024 — a whopping $2.8 billion in backpay from lost name, image and likeness (NIL) compensation. Even more groundbreaking, the settlement paves the way for schools, for the first time ever, to directly compensate athletes in a system that features an annual cap and a new enforcement entity that is expected to more heavily scrutinize booster-backed payments.

While paychecks can begin to be distributed from schools to athletes on July 1 — the official start date of settlement implementation — the new enforcement entity, the College Sports Commission, an LLC operated mostly by the power leagues, immediately takes effect with Wilken’s approval of the agreement.

It means that any new contract struck between an athlete and a third-party entity, such a business, brand, booster or collective, is now subject to the new Deloitte-run NIL clearinghouse. The clearinghouse, dubbed "NIL Go," is charged with evaluating NIL deals between athletes and third parties to determine their legitimacy.



This post was edited on 6/6/25 at 8:43 pm
Posted by Jcorye1
Tom Brady = GoAT
Member since Dec 2007
75179 posts
Posted on 6/6/25 at 8:32 pm to
On one hand, good for the athletes. On the other hand, the sport is going to slowly die under the weight of itself.
Posted by RLDSC FAN
Rancho Cucamonga, CA
Member since Nov 2008
56339 posts
Posted on 6/6/25 at 8:34 pm to
Posted by SlayTime
Member since Jan 2025
1753 posts
Posted on 6/6/25 at 8:49 pm to
What’s the NCAA salary cap and league minimum salary?
Posted by evil cockroach
27.98N // 86.92E
Member since Nov 2007
8448 posts
Posted on 6/6/25 at 8:49 pm to
NCAA is now European Football. Hope a billionaire falls in love with your team. Or, hope your school has some billionaires that want to increase the size of their dongs
Posted by O
Mandeville
Member since Oct 2011
6660 posts
Posted on 6/6/25 at 8:51 pm to
quote:

NCAA is now European Football.


Have a middle eastern country bankroll your college team to buy championships?
Posted by udtiger
Over your left shoulder
Member since Nov 2006
108520 posts
Posted on 6/6/25 at 8:55 pm to
quote:

On one hand, good for the athletes. On the other hand, the sport is going to slowly die under the weight of itself.


Ain't gonna be slowly.

If even half of colleges and universities still have anything other than intramural sports in 5 years, I'll be shocked.
Posted by Froman
Baton Rouge
Member since Jun 2007
37728 posts
Posted on 6/6/25 at 8:55 pm to
They were like, How can we make this even worse? But good for the kids, I guess.
Posted by RLDSC FAN
Rancho Cucamonga, CA
Member since Nov 2008
56339 posts
Posted on 6/6/25 at 8:56 pm to
More from Dellenger

quote:

$20B+ in rev-share over 10 years:
- schools must stay under an annual cap determined thru avg of P4 revenue data 
- 1st-year cap $20.5M per school with escalators to as high as $33M by 2035 
- schools are not *required* to share revenue 
- rev-share to start July 1

quote:

More on future rev-share: 
- schools can distribute revenue at own discretion 
- most plan to use back-pay formula for distribution: 75-85% FB, 10-15% MBB, 10-15% others 
- Title IX is not exempt, resulting in certain lawsuits 
- revenue mostly shared by buying player NIL rights

quote:

Roster structure:
- schools permitted to scholarship full rosters under new limits
- roster limits changed dramatically: in FB, roster is 105 (from 85); MBB is 15 (13); BSB is 34 (11.7) 
- walk-ons still exist. Most schools will not scholarship full rosters
This post was edited on 6/6/25 at 8:57 pm
Posted by Indiangensing
Member since Nov 2017
1747 posts
Posted on 6/6/25 at 9:07 pm to
Is this good or bad? Seems like nothing is changing to what is already happening except now schools can pay on their own...
Posted by evil cockroach
27.98N // 86.92E
Member since Nov 2007
8448 posts
Posted on 6/6/25 at 9:08 pm to
quote:

Have a middle eastern country bankroll your college team to buy championships?
buddy, given the current landscape; I wish the House of Saud were LSU fans. We’d go buy every top player Limp Dick Larry’s hot Asian wife wants to pick off our QB, we got frick you money now!
This post was edited on 6/6/25 at 9:09 pm
Posted by Hawgnsincebirth55
Gods country
Member since Sep 2016
17262 posts
Posted on 6/6/25 at 9:09 pm to
quote:

in FB, roster is 105 (from 85)
didn’t we already have this and moved it to 85 because it was causing an uneven playing field with certain teams stacking talent?
Posted by Lawyered
The Sip
Member since Oct 2016
35072 posts
Posted on 6/6/25 at 9:10 pm to
I just glaze over at all the numbers

20 million here and blah blah blah

It’s like I’m back in high school geometry
Posted by nicholastiger
Member since Jan 2004
51201 posts
Posted on 6/6/25 at 9:16 pm to
Will ncaa review the Texas tech pitchers deal
Posted by johno71
Member since Jul 2024
188 posts
Posted on 6/6/25 at 9:19 pm to
effective 7/1....maybe they can get it under contract before and beat the effective date
Posted by Purple Spoon
Hoth
Member since Feb 2005
19391 posts
Posted on 6/6/25 at 9:27 pm to
quote:

Is this good or bad? Seems like nothing is changing to what is already happening except now schools can pay on their own...


I skimmed through it.

The NIL clearinghouse deal seems like the next lawsuit to drop. If a student wants 20k for a commercial and a Personal Injury attorney is willing to pay it, how is this guy going to tell him it’s only worth 10?

I also suspect we will soon have a players union and/or some type of collective bargaining.

I personally would love for the whole thing to fall apart.

It’s just so disappointing that it’s minor league football now with college jerseys. It’s a system that cannot sustain itself. When and how it falls apart I have no idea.
Posted by Zap Rowsdower
MissLou, La
Member since Sep 2010
14653 posts
Posted on 6/6/25 at 9:31 pm to
So is what the schools can pay them on top of NIL deals the players get or does this nullify NIL? Because as long as unregulated NIL and unlimited transfers are a thing this is just another poker table in a Wild West boomtown saloon.
Posted by Ssubba
Member since Oct 2014
7167 posts
Posted on 6/6/25 at 9:32 pm to
Gotta have that anti trust exemption to make this work . P4 commission is your new rules enforcer.
Posted by dallastigers
Member since Dec 2003
8370 posts
Posted on 6/6/25 at 9:34 pm to
This is too much to have been done by one district court judge in California.

This should have been by congress and/or the states or status quo without any action.

They keep quoting that 9-0 Supreme Court which was about NCAA restrictions on scholarships’ education benefits given by schools. The decision stated that the NCAA can make rules and this isn’t about anything other than what it specifically states and left restricting compensation rules in place.

From a CNN article right after that 9-0 2021 Supreme Court decision.
quote:

Justice Neil Gorsuch delivered the opinion of a unanimous court targeting the education-related benefits at issue in the case.

…While today’s decision preserves the lower court ruling, it also reaffirms the NCAA’s authority to adopt reasonable rules and repeatedly notes that the NCAA remains free to articulate what are and are not truly educational benefits, consistent with the NCAA’s mission to support student-athletes.

For starters, lawsuits originally challenged the NCAA’s right to restrict all forms of athletes’ compensation – including those unrelated to education, said Hextrum, a former NCAA national champion rower and author of an upcoming book.

This week’s ruling removes the NCAA’s right to limit what constitutes an athletic scholarship, allowing college athletes to receive money for school and educational supplies, such as computers.

“Whether schools in general will offer such rewards, and which ones will have the funding to do so, remain open questions,” Hextrum said.

But the Supreme Court only weighed in on education-related benefits, which leaves intact a lot of restrictions against compensating student athletes, Hextrum said.


Any time judges get involved in something this over reaching with arbitrary rules & limits on back pay, on caps, on current pay, and later affecting future athletes still in high school and middle school with nothing to do with this case a judge is going to have to approve every fix or update or clarification that’s required when this gets implemented in real world scenarios across 100s of universities.
This post was edited on 6/6/25 at 9:44 pm
Posted by BilJ
Member since Sep 2003
160538 posts
Posted on 6/6/25 at 9:40 pm to
It falls apart once dumb arse fans quit falling over themselves to foot the bill while the universities and talent get rich.

It was a nice run for college athletics…
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