re: Lunch News

quote:

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There is No law to limit any privately owned business to pay any amount of wages to employees

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Actually, little clarification on this - a lot of states' NIL legislation limits NIL compensation to "market value". What this means (theoretically...more to come) is that the payment has to at least somewhat line up with the actual advertising value to the entity. In other words, you can't pay a kid with 750 IG followers a million bucks for a post. There are online advertising metrics that sort of line up follower count with advertising value, and payments (theoretically) are required to be at least reasonably in line with those metrics.



Now, there are several issues with these purported restrictions: First, it's damn near impossible to enforce unless you have an absolutely egregious example like the one i listed above. Basically, because all these value charts are just one manner of estimating the value of the NIL post or advertisement, the businesses have quite a bit of wiggle room in terms of paying more than the "true market value". Second, even if you could enforce these rules, there's really nobody that wants to enforce them. Louisiana officials aren't about to crack down on effective recruiting measures employed by LSU. And finally: Even though these restrictions are written into many states' NIL legislation, they'd almost certainly be struck down in court if somebody brought suit seeking to do so. Kavanaugh practically begged people to bring them more NCAA-related challenges, and telegraphed that he (and the rest of the Court) were NOT on the NCAA's side.


So, bottom line: Technically there ARE laws that restrict wages in this context. However, for a number of reasons they're unlikely to be enforced and would probably be struck down in court even if they were enforced.