As a follow-up to NIL Revolution’s November 25, 2025, coverage, this post updates where things stand with the College Sports Commission’s (CSC) participation agreement more than a month after the original December 3, 2025, signing deadline.
This Is SPARTA: The FTC’s Formal Inquiry and a Sea Change in Federal Oversight of College Sports Agents
Key Takeaway:
After decades of minimal federal activity, the Sports Agent Responsibility and Trust Act (SPARTA) is drawing renewed attention. A January 2026 Federal Trade Commission (FTC) inquiry into sports agent practices may signal a meaningful shift in enforcement — particularly in the NIL era.
Enforcement on the Horizon: CSC Issues NIL Guidance
On January 8, the College Sports Commission (CSC) issued guidance in direct response to a recent news report from Yahoo Sports that examined college football student-athletes being offered third-party NIL deals that violate the terms of the House settlement — making promises of third-party NIL money that does not yet exist — designed to induce transfers or retain players.
The Issue in Enforcing Student Athlete Revenue Sharing Contracts Resurfaces Amid Demond Williams Attempted Transfer
On January 6, 2025, University of Washington standout quarterback Demond Williams announced that he plans to enter the NCAA transfer portal just four days after reportedly signing a contract with Washington football for the 2026-27 season.[i] Williams’ deal with Washington has been reported to be for approximately $4 million, which is considered near the top of the market in terms of revenue sharing and NIL compensation for a student-athlete.[ii] It has been reported that Washington has no intention of releasing Williams from his contract and plans to pursue legal action against Williams. Washington officials have described the contract as a “legally binding revenue-sharing contract with the school.”[iii] Under the recent House settlement, schools are entitled to compensate student-athletes through a revenue-sharing pool that is capped at approximately $20.5 million.
Pruitt v. NCAA: A Bellwether Case on Due Process in NCAA and CSC Enforcement Models?
The preliminary injunction issued by the Circuit Court of DeKalb County, Alabama blocking enforcement of the NCAA’s six-year show-cause penalty against former University of Tennessee head football coach Jeremy Pruitt represents more than another legal challenge to college sports governance. The ruling rests on due process grounds that carry implications extending beyond this individual case, reaching directly into both the NCAA’s existing enforcement apparatus and the College Sports Commission’s emerging investigative framework.
The Five-Year Rule Under Fire — Again: Ortega v. NCAA and the Latest Antitrust Challenge to Eligibility Limits
The NCAA’s five-year eligibility rule continues to face sustained antitrust scrutiny. The most recent challenge has been raised in the Southern District of Iowa by Cuban-born Division I wrestler Reineri Andreu Ortega in the case Ortega v. NCAA, No. 25-CV-00496. As with similar challenges, Ortega challenges the NCAA’s practice of starting an athlete’s eligibility clock before the athlete ever enrolls at an NCAA institution, arguing that the rule unlawfully restrains athlete labor markets in violation of Section 1 of the Sherman Act.
Utah Starts the Private Equity NIL Race
On December 9, 2025, the University of Utah, in what appears to be the first such deal of its kind, announced plans to partner with Otro Capital in a private equity arrangement. The deal is projected to generate approximately $500 million in capital for the university’s athletic programs.[i] Otro Capital is a New York-based firm that invests in sports teams and leagues.[ii]
UPDATE: CSC Moves to Close Post-House Settlement Loopholes and Bolster Enforcement Powers Through Membership Agreement
The College Sports Commission (CSC) has circulated a 10-page University Participation Agreement that would dramatically reshape NIL and direct-payment enforcement. The biggest shift: schools would waive their right to challenge CSC rulings in court and funnel all disputes into the arbitration system created by the House settlement. The agreement only takes effect if every school signs.
CSC Moves to Close Post-House Settlement Loopholes and Bolster Enforcement Powers Through Membership Agreement
The College Sports Commission (CSC) has circulated a 10-page University Participation Agreement that would dramatically reshape NIL and direct-payment enforcement. The biggest shift: schools would waive their right to challenge CSC rulings in court and funnel all disputes into the arbitration system created by the House settlement. The agreement only takes effect if every school signs.
From Holdout to Headline: Ohio’s Step into the High School NIL Era
Background
The movement to allow student-athletes to profit from their name, image, and likeness (NIL) continues to sweep across the nation, reshaping amateur athletics from coast to coast. What began as a collegiate phenomenon has steadily made its way into high school athletics, with nearly every state now allowing young athletes to benefit from their NIL in some form.[1]