The NIL landscape has been called the “Wild, Wild West” of college sports, and for good reason. Until about a year ago, it was not possible for college athletes to make any money from influencer opportunities, sponsorships, or even training camps. Adding to the complexity, NIL laws are not only brand new to college athletics but are not uniform across the US. Today 28 states have passed NIL laws that apply to every university in their state. In states that have not passed laws, the NIL rules are up to individual universities.
Related: Stay up to date with state NIL laws here.
The following rankings are based on state-by-state NIL ratings from The Washington Post.
New Mexico – 1
New Mexico's NIL law became effective on July 1st, 2021 and it affects 5 NCAA universities. The law prevents colleges from revoking scholarships due to NIL deals or from prohibiting athletes from making NIL deals. They further prevent athletic conferences from prohibiting NIL deals, or from prohibiting athletes who have previously had NIL deals from competing. They also protect the athletes right to the use of an agent to manage deals.
New Mexico's NIL law does an incredible job of protecting the rights of college athletes. It prevents both individual universities and athletic conferences from punishing students for accepting NIL deals during their time playing college sports or from any deals made before they begin playing in the NCAA.
More on New Mexico's NIL Laws.
Related: Get Rich Quick: Who are the Top NIL Earners in College Sports?
Maryland – 2
Maryland's joint health and NIL policy was signed in early 2021. The health policies are already in effect and the NIL policies will go into effect July 1st, 2023. This law prohibits state universities from preventing student-athletes from earning money off of NIL deals. Like New Mexico, Maryland also prohibits athletic conferences from preventing NIL deals. One unique feature of Maryland's NIL law is the health provisions that require universities to implement guidelines to better treat and assess brain injury, heat related illness, and other sports-related medical issues.
Maryland's law does have some downsides. While in-state colleges cannot interfere with NIL deals, private institutions are not named in the law. Athletes also cannot sign contracts that conflict with school sponsorships or that interfere with mandatory team activities.
More on Maryland's NIL Laws.
Missouri – 3
Missouri's NIL law was passed on July 13th, 2021, and became active on August 28, 2021. This bill affects 23 NCAA universities. Under this law, universities cannot have any rules or limitations that prohibit students from earning money under an NIL deal. NIL deals also cannot affect an athlete's scholarships, and athletes are protected when they choose to hire agents and lawyers. Universities are also required to host a financial development program once a year for student-athletes.
However, athletes cannot sign any NIL deal that requires them to wear a certain brand logo during official team activities unless the university approves it. Student-athletes must also disclose NIL deals to their university and deals cannot interfere with team activities.
More on Maryland's NIL Laws.
Oregon – 4
Oregon's NIL law was passed on June 29th, 2021, and became effective on the same day. This law affects 9 NCAA universities. The law prevents universities and athletic conferences from prohibiting or penalizing a student from signing NIL deals. They also cannot change the students' scholarships because of an NIL deal.
Like other states, Oregon does not allow athletes to enter into deals that interfere with the team rules and contract between the athlete and university. Student-athletes must also disclose deals to their university. Universities are also allowed to adjust their code of conduct to cover how athletes act in their NIL deals, which could hold athletes back in terms of which brands they are allowed to partner with. For example, students who attend a university that is considered a “dry campus” or prohibits the use of alcohol on campus cannot promote alcohol companies as a student-athlete at that university.
More on Oregon's NIL Laws.
California – 5
California passed its NIL law on September 1, 2021 and affects 57 NCAA universities. This law prevents universities and athletic conferences from prohibiting or limiting student-athletes' NIL deals and prevents universities from changing a student's scholarship based on NIL deals. This law also protects the students' right to representation from both agents and lawyers while preventing universities from using scholarships as payment for an NIL from athletes or from paying athletes extra for an NIL deal.
More on California's NIL Laws.
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* Originally published on April 22, 2022, by Daley Craft
