Department of Education Declares NCAA Athlete NIL Payments Must Comply with Title IX: What You Need to Know

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Department of Education Declares NCAA Athlete NIL Payments Must Comply with Title IX: What You Need to Know

The Department of Education’s Office for Civil Rights (OCR) has new guidelines about college athletes’ name, image, and likeness (NIL) rights. These rules aim to ensure that both male and female athletes get equal opportunities and resources, whether the money comes from schools or outside sources.

According to a new fact sheet, NIL payments for college athletes must be treated like athletic scholarships under Title IX. This means that money from NIL deals counts as part of a school’s financial support for athletes, just like scholarships and other financial aid.

This guidance arrives just before a significant court case, House v. NCAA, where colleges are set to share billions in revenue with athletes—mostly going to male athletes in sports like football and basketball.

Last July, the OCR hinted that federal laws on gender equality would apply to NIL payments. However, this is the first formal announcement outlining how these payments should be handled.

While the NCAA prohibits schools from directly entering NIL agreements, state laws allow it. The OCR states that NIL deals will be viewed as “athletic financial assistance,” which will help determine if schools are providing equal opportunities for male and female athletes.

The OCR also clarified that even if funds are from third parties, like booster clubs, schools are still accountable for ensuring these funds don’t lead to gender disparities.

In the guidance, the OCR emphasized, “Schools remain responsible to treat all student-athletes fairly, even if funds come from private donations.”

This announcement comes amid a lawsuit from former female athletes at the University of Oregon. They claim the school violated Title IX by not providing equal NIL opportunities. Although the OCR stated that this guidance isn’t legally binding, the lead attorney for the plaintiffs, Arthur Bryant, believes the fact sheet supports their claims.

He remarked that it strengthens their position in the lawsuit and suggests that the proposed settlement in House v. NCAA should not go ahead.

As a final note, this fact sheet is one of the last actions by the OCR under President Biden, and it might change with the incoming administration under President-elect Donald Trump.



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NCAA legal issues,NIL,Oregon Ducks,Title IX