Judge approves NCAA House settlement, changing the landscape of collegiate athletics

Yahoo

6 hours ago

Very late on Friday afternoon, we got a massive end-of-the week news dump when a judge officially approved a settlement in the NCAA v. House case. With the ruling, the landscape of college athletics will soon look very different than it has prior. The goal of the settlement is to provide structure to the NIL landscape in college football, which is currently effectively a free-for-all. Following the ruling, On3 discussed some of the ramifications of the ruling.
'Since the NCAA was founded in 1906, institutions have never directly paid athletes, On3's Pete Nakos wrote. 'That will now change with the settlement ushering in the revenue-sharing era of college sports. Beginning July 1, schools will be able to share $20.5 million with athletes, with football expected to receive 75%, followed by men's basketball (15%), women's basketball (5%) and the remainder of sports (5%). The amount shared in revenue will increase annually.
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'Power Four football programs will have roughly $13 to $16 million to spend on rosters for the 2025 season. Many schools have front-loaded contracts ahead of the settlement's approval, taking advantage of contracts not being vetted by the newly formed NIL clearinghouse . . .
' . . . The settlement also imposes new restrictions on college sports. An NIL clearinghouse will be established, titled 'NIL Go' and run through Deloitte. All third-party NIL deals of $600 or more must be approved by the clearinghouse. If not approved, the settlement says a new third-party arbiter could deem athletes ineligible or result in a school being fined. In a gathering at the ACC spring meetings last week, Deloitte officials reportedly shared that 70% of past deals from NIL collectives would have been denied, while 90% of past deals from public companies would have been approved.'
It remains to be seen exactly how the new rules will affect USC specifically. Given the Trojans' recent hire of Chad Bowden and the subsequent revamping of their recruiting operation, USC seemingly has the right people in place to bring the program into college football's new era.
This article originally appeared on Trojans Wire: NCAA House settlement approved, as college sports braces for impact