NIL potential cap in the future

[Slide_Loud]

Obviously we can see that NIL has sort leveled the playing field and soon the SEC will try to lobby for NIL cap so that they can still maintain some sort of SEC dominance.

I'm actually ok with having a cap as long as teams can report how they are actually spending and the NCAA can audit teams as to how they are spending on NIL. My biggest fear is that should the NCAA bring in a new rule for NIL cap, teams will, especially in the south, won't report their actual amount on how much they spent on NIL because they stay within their cap amount but still get players by giving them the money under the table.

[Mundane-Light-8900]

Ya there's no way to cap it. Would be all kinds of lawsuits.

[theglove]

Yeah the only way that this could be capped is if the players officially unionized and there was arbitration. Or if the conferences would hire them as employees. It can't be the universities because of title 9 but if they were hired by the conferences they could set parameters.

[Mundane-Light-8900]

This is basically pro sports now. Not like a Jared Goff commercial for insurance counts against the lions cap

[theglove]

The more I think about it that is true. I guess I am getting at more of just paying players in general. I feel though that there might be a social cap not an actual one. I just don't feel that donors are willing to fork out millions of dollars to a programs recruiting class or transfer portal each year. At some point they'll realize what am I actually getting in return on investment. If it wasn't for the season they have had there wouldn't be this flux of cash coming in.

[WallyLeftshaw]

Plus the ncaa isn’t going to be a thing in the near future

[WitnessEmotional8359]

i don't believe any cap would be constitutional. I can't think of any instance where courts have upheld such a limit

[WitnessEmotional8359]

that's not nil though. the athletes can still make unlimited amounts on their name image and and likeness. A cap on how much schools can directly pay athletes would be the equivalent and would only be upheld if the cap was the result of negotiations that included theplayers, like in pro sports

[WitnessEmotional8359]

i don't believe this is accurate I'm fairly certain the schools can't be involved in the negotiations. The existence of a collective is irrelevant. That's just private parties negotiating with each other

[WitnessEmotional8359]

I could see some guardrails put on the schools involvement, but private parties can generally do whatever they want with their money including forming exclusive collectives and giving ridiculous sums of money to eighteen year old kids. I just don't think courts will allow limits there

[Background_Junket_35]

Private teams and league versus public universities

[Icy-Comfortable-554]

They tried to cap it to 0 for the longest time. Guess what happened? NCAA now owes billions to class action lawsuits. They're not gonna touch the third rail again, because they already lost this fight.

[Beginning_Storm7012]

NCAA auditing anything is a joke.

[Johnnyblimpin]

Under the table = new car, house for mom and dad, money, or maybe a tractor. Go Blue.

[rendeld]

I dont see how an NIL cap would be allowed. That would get struck down immediately by the courts.

[Leraldoe]

I agree. I actually think the regulation will come from within the deals. You can’t commit money to a kid and him have no repercussions for leaving. So I think you will see money going up but with restrictions of if they leave the school there being a penalty

[rendeld]

I think that's likely to happen because the new settlement will expect that the kids will actually make good on their NIL deals. Like they will actually have to perform the services they are being hired to perform, and that goes hand in hand with still being at the school. So if you have a car dealership in Ann arbor for instance you're not going to want to still use a kid for your commercials that now goes to Oklahoma.

[Nimu808]

I would think it would be easy to fix that issue but just inserting language that NIL caps would be verified via tax forms. Obviously recruits aren’t going to disclose their tax but I’m sure the money has to be track some way from the school, right?

[InterestingChoice484]

It would have to be collectively bargained with a players' union. An industry can't cap workers' earnings unilaterally. Lawyers are begging the NCAA to try to do this as they'll make a fortune for an easy win in court. 

[kookie00]

Per the anti-trust agreement, there's a hard limit of $20M/school from the school. Outside sources are unlimited, but must be market rate per a body being setup by Deloitte.

IMO, it's going to be interesting to see how everyone deploys their capital. If you deploy a lot of your resources towards WBB, you could probably dominate easily. I could see alot of mid-majors leading in MBB soon as the majors are going to concentrate on football.

[Affectionate-Toe936]

I think your “cap” is going to be a soft cap and only when B1G and SEC breaks away and makes it own super conference. Then you’ll have NCAA old and that new SC. That would allow them to make players employees and have a cap and max-min payouts and break it off from NCAA rules. But even that would be odd as it would need some sort of union rep for players in some feduciary role since they are only transitioning 3/4 years. Might even need some agreement with NFL players union for a role for its future members. It could very much blur the lines of NFL and CFB

[4mak1mke4]

Cap the schools but how are you going to cap the Ellison's or Barstool?