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The new College Sports Commission said it has rejected more than $90 million in NIL deals.
The agreements were submitted through the NIL Go clearinghouse since it launched following the House settlement. Duties of the clearinghouse include reviewing third-party NIL bargains to determine whether they represent a valid business purpose and fair market value.
Around 1,500 deals have reportedly been approved by the commission. Agreements that remain under review or that have been rejected number nearly 200, with the vast majority of submitted contracts passing the evaluation. Booster-backed collectives are tied to these nixed agreements, as many failed to demonstrate a valid commercial purpose or fair-market compensation.
"In May, the CSC won an arbitration case after denying millions of dollars in NIL deals that 18 Nebraska football players had arranged with Playfly Sports, a sponsorship and marketing firm that works with schools and athletes across the country," explains ESPN college basketball writer Myron Medcalf.
The NIL Go clearinghouse was created as part of the House settlement to subdue pay-for-play deals disguised as NIL deals; it was also expected to be a more standardized enforcement process. Programs continue to adjust to this new reality while testing the boundaries of the new system.
"In recent months, schools have sought ways to pay players through revenue share rules — outside the scope of the CSC — and separate NIL deals. Kentucky, Ohio State, Utah and other major institutions have reorganized their athletic departments or created separate entities to facilitate school-related NIL opportunities," Medcalf goes on to state.
What does this mean for Florida? The collective that funds the Gators' NIL deals, Florida Victorious, will have to structure future agreements that satisfy the new standards. The Florida collective has publicly committed over $50 million to football and men's basketball roster-building efforts.
Programs that have the ability to adapt swiftly will gain a competitive edge. Teams with experienced legal teams, organized collectives, and strong compliance departments will thrive.
Follow us @GatorsWire on X, formerly known as Twitter, as well as Bluesky, and like our page on Facebook to follow ongoing coverage of Florida Gators news, notes and opinions.
This article originally appeared on Gators Wire: New NIL clearinghouse rejects over $90 million in deals
Continue reading...
The agreements were submitted through the NIL Go clearinghouse since it launched following the House settlement. Duties of the clearinghouse include reviewing third-party NIL bargains to determine whether they represent a valid business purpose and fair market value.
Around 1,500 deals have reportedly been approved by the commission. Agreements that remain under review or that have been rejected number nearly 200, with the vast majority of submitted contracts passing the evaluation. Booster-backed collectives are tied to these nixed agreements, as many failed to demonstrate a valid commercial purpose or fair-market compensation.
"In May, the CSC won an arbitration case after denying millions of dollars in NIL deals that 18 Nebraska football players had arranged with Playfly Sports, a sponsorship and marketing firm that works with schools and athletes across the country," explains ESPN college basketball writer Myron Medcalf.
The NIL Go clearinghouse was created as part of the House settlement to subdue pay-for-play deals disguised as NIL deals; it was also expected to be a more standardized enforcement process. Programs continue to adjust to this new reality while testing the boundaries of the new system.
"In recent months, schools have sought ways to pay players through revenue share rules — outside the scope of the CSC — and separate NIL deals. Kentucky, Ohio State, Utah and other major institutions have reorganized their athletic departments or created separate entities to facilitate school-related NIL opportunities," Medcalf goes on to state.
What does this mean for Florida? The collective that funds the Gators' NIL deals, Florida Victorious, will have to structure future agreements that satisfy the new standards. The Florida collective has publicly committed over $50 million to football and men's basketball roster-building efforts.
Programs that have the ability to adapt swiftly will gain a competitive edge. Teams with experienced legal teams, organized collectives, and strong compliance departments will thrive.
Follow us @GatorsWire on X, formerly known as Twitter, as well as Bluesky, and like our page on Facebook to follow ongoing coverage of Florida Gators news, notes and opinions.
This article originally appeared on Gators Wire: New NIL clearinghouse rejects over $90 million in deals
Continue reading...
