NCAA Responds to Antitrust Lawsuit Over NIL Rules
The NCAA has responded to a lawsuit brought forth by the State of Tennessee and the Commonwealth of Virginia, arguing against a temporary restraining order. The lawsuit, filed by the attorneys general of both states, challenges the rules surrounding Name, Image, and Likeness (NIL) in college athletics. The NCAA’s response claims that granting the restraining order would create chaos in an already chaotic situation.
The lawsuit focuses on how NIL can be legally used in the recruitment of student-athletes. Currently, NIL cannot be used to entice recruits to attend a particular school or to discuss potential NIL payments. The NCAA argues that this constitutes ‘pay-for-play’ and is concerned about the potential for inducements to sign.
The lawsuit argues that athletes should be allowed to profit from NIL and that the NCAA is preventing them from doing so. It also highlights the issue of the transfer portal, stating that the NCAA’s current policy restricts athletes’ ability to profit in a market that includes the transfer portal.
In response, the NCAA lawyers assert that granting the restraining order would cause chaos and transform college sports into an environment where players and schools are primarily motivated by financial gain. They argue that the current rules are the status quo and that the plaintiffs have not adequately explained the harms they assert.
Another point of contention is the potential for NIL contracts to create ’employment-like relationships’ between schools and student-athletes. The NCAA lawyers argue that this could have negative impacts on student-athletes and lead to recruiting inducements.
Both sides now have until Sunday night to respond further, after which a judge will determine whether to rule on the temporary restraining order or insert a preliminary injunction. A hearing has been scheduled for February 13th in Tennessee, indicating that this case may continue for some time.
