The Future of NIL

Subscribe to The Future of NIL via RSS

On July 2, we reported on Magistrate Judge Nathanael M. Cousins’ ruling that multimedia rights companies (MMRs) and third-party brand sponsors are not categorically excluded from the definition of “associated entities” under the House settlement. On August 4, U.S. District Judge Claudia Wilken affirmed that ruling, upholding the College Sports Commission’s (CSC) authority to review NIL deals between NCAA athletes and MMRs or third-party brand sponsors.

On July 29, 2026, Nebraska’s athletic director announced that the College Sports Commission (CSC) had approved a restructured set of NIL deals for the same 18 Nebraska football players whose deals were arbitrated, totaling $7.5 million — the same dollar amount as the agreements the CSC previously denied. As discussed in our prior post, “The Great Divide Post-House: CSC Enforcement and the Power Four Conferences,” Arbitrator Andrew M. Strongin issued a binding May 11, 2026, ruling upholding the CSC’s denial of $7.5 million in NIL deals structured through Nebraska’s exclusive multimedia rights (MMR) partner.

On July 27, 2026, Stanford University football players took a notable step in the continuing transformation of college athletics. The team became the first college football program to form a current, player-led chapter of the College Football Players Association (CFBPA), an organization advocating for player representation, collective bargaining, and improved protections for college football players. Stanford’s announcement is significant not because a union is imminent, but because it suggests that NIL, revenue sharing, and collective bargaining may now be moving toward the same legal and commercial conversation.

On June 25, the U.S. District Court for the Northern District of California denied the House plaintiffs’ motion to exclude multimedia rights companies (MMRs) and third-party sponsors from the definition of associated entities under the House settlement enforcement.[1] Class counsel filed a motion seeking clarity on the definition of “associated entities or individuals,” arguing:

Following the district court’s approval of the House settlement in 2025, in which Division I schools that opted into the settlement were allowed to directly compensate student-athletes, schools began looking for ways to remain competitive in recruiting and retention. Some have turned to third-party multimedia rights companies (MMRs) to structure NIL opportunities outside the revenue-sharing amount. That strategy has now placed MMRs at the center of a larger enforcement dispute: whether these entities should be treated as “associated entities” subject to heightened review by the College Sports Commission (CSC).

Last week, the NCAA launched a forensic investigation into the University of Mississippi (Ole Miss) football program following public complaints alleging potential tampering involving linebacker Luke Ferrelli. Ferrelli, the ACC Defensive Rookie of the Year as a member of the University of California, Berkeley during the 2025 season, entered the transfer portal this offseason, signed a revenue-sharing contract with Clemson, then later reentered the portal and ultimately transferred to Ole Miss.

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.

This week, the College Sports Commission (CSC) released its first NIL Deal Flow Report, providing a snapshot of activity across its NIL Go platform, though the rollout of the data was not without issue. The report captures platform and deal activity from June 11, 2025 — the date the platform launched — through August 31, 2025. The CSC released its initial report on September 4. On September 5, the CSC issued a corrected report, indicating that the misreported results were attributable to errors made by its outside consulting firm.

Recently, the University of Kentucky took an interesting step in the context of collegiate athletics by converting its athletic department into a limited liability company (LLC), named Champions Blue LLC. This structure makes Kentucky the first university in the U.S. to restructure its athletic department in this manner. The move reflects a growing awareness among universities that the traditional model of collegiate sports may no longer be the most financially or legally sustainable model in the face of mounting pressures from name, image, and likeness (NIL) deals, antitrust litigation, and evolving NCAA regulations.