NCAA Denied Appeal in Athlete Employment Case, Oklahoma Partners With Former Eagles VP of Football Administration, and More | Newsletter #253
Welcome to the NIL Newsletter by Optimum Sports Consulting - providing valuable, actionable NIL resources for athletes, administrators, agencies and other sport professionals.
Today’s newsletter includes updates to the Johnson v. NCAA case, Oklahoma’s new partnership, many NIL updates and much more.
Keep up to date on all of our newsletters and content by checking out past Optimum Sports Consulting Newsletters, and following us on Twitter!
This Monday Newsletter includes:
1. College Athletes One Step Closer to Employment Status
2. Oklahoma’s New Football Partnership
4. What’s coming up in the world of NIL
5. Legal Updates: ACC Forced to Share Documents With Florida State and Clemson Appeals
6. News/tips for administrators, student athletes and agencies
Major News
NCAA Denied Appeal in Johnson v. NCAA
The U.S. Court of Appeals for the Third Circuit dismissed the NCAA’s motion to dismiss Johnson v. NCAA, and rejected the NCAA’s longstanding position that college athletes cannot be employees and athletes at the same time.
Led by former Villanova football player Ralph “Trey” Johnson and other current and former athletes representing more than a dozen Division I schools, the plaintiffs argue that they are employees of their schools and the NCAA within the meaning of the Fair Labor Standards Act (FLSA) and state laws.
IF the players are deemed to be FLSA employees, they would be owed at least minimum wage for their labor. In addition, the case could lead to the NCAA and colleges being ordered to pay millions of dollars in backpay to former athletes.
The case now returns to U.S. District Judge John Padova who must apply an economic realities analysis to see deem if the plaintiffs were in fact employees. Padova should find that the plaintiffs are employees if they (a) perform services for another party, (b) necessarily and primarily for the college’s benefit, (c) under the college’s control or right of control and (d) in return for “express” or “implied” compensation or “in-kind benefits.”
CLICK HERE to learn more.
Oklahoma Announces New Football Recruiting Structure and Partnership with The Athlete Group
Oklahoma’s Athletics Department announced a new structure for OU Football's recruiting operations, including naming Curtis Lofton as the program's first-ever general manager and a partnership with former Philadelphia Eagles Vice President of Football Administration Jake Rosenberg.
Lofton shifts to general manager following a two-year director stint with OU Football's SOUL Mission player development program. As General Manager, Lofton will play a key advisory role to coach Venables in identifying high school and transfer portal talent and building out the roster.
The department also announced additional hires as part of the overall structure, including the roles of assistant general manager, director of recruiting strategy, coordinator of on-campus recruiting and coordinator of recruiting operations.
Jake Rosenberg, the head of The Athlete Group’s collegiate sports initiatives, spent 12 years with the Eagles with responsibilities such as player signings and acquisitions, salary cap management, contract negotiations, compliance with the NFL's Collective Bargaining Agreement, roster building, strategic planning and more. Mr. Rosenberg will provide counsel and support to OU as it implements the new structure.
CLICK HERE to learn more.
Other Notable Stories to Follow
NCAA, college leaders close to finalizing settlement with plaintiff's attorneys in House v. NCAA case - LINK
Houston Christian University submits brief opposing the House settlement - LINK
TAF Services Corporation, a newly created subsidiary of Tiger Athletic Foundation, has entered into a paid services agreement with Bayou Traditions, the Official Collective of LSU Athletics, to provide fundraising services on behalf of the collective - LINK
What’s Coming Up Next For NIL
Mid July, 2024 | Florida State Board of Education vote to ratify NIL bylaw change
July 19th, 2024 | EA College Football 2025 release
This Week | NCAA leaders set to finalize terms in House v. NCAA settlement
Legal Updates
ACC Must Share ESPN Contracts With Florida State
After Leon County Judge, John C. Cooper, denied the ACC’s motion to dismiss Florida State’s lawsuit last month, the ACC was ordered to give Florida State copies of its ESPN contracts and related documents within seven days.
The order calls for the ACC’s 2010 multimedia rights agreement, a 2012 amendment and extension, a second amendment from 2014, a 2016 restated and amended deal, the ACC Network contract from 2016, and an August 2021 letter amendment to the 2016 deal.
Clemson also submitted a notice of appeal to North Carolina Business Court’s denial of Clemson’s motions to stay and dismiss a suit filed by the ACC in Charlotte in March.
CLICK HERE to learn more.
Alabama Files an Opposition to LIV’s “4 Aces” Trademark Application
Alabama argues that the LIV design contains the “same literal element”, and the style of the letter “is visually similar to and creates a commercial impression similar to” the Alabama design.
LIV has faced other trademark challenges from Adidas and Fallen Footwear.
CLICK HERE to learn more.
Optimum Sports Consulting is here to help.
For athletes looking for NIL insight and advisement, administrators and collectives looking for resources and facilitating a best-in class process, or agents looking to navigate the changing landscape, we’re here to help!
Message us now for a free consultation.
FOR ATHLETES
Notes for the Week
FSU golf phenom, Luke Clanton, reaches deal with The Battle's End - LINK
2027 quarterback recruit Trae Taylor inks NIL deal with Leaf Trading Cards - LINK
Florida State quarterback DJ Uiagalelei stars in NIL deal with Circle K - LINK
Tip of the Week: Pay Close Attention to the Contractual Language in NIL Deals
Some brands use NIL deals to try and lock their collegiate athletes into professional deals through terms such as “Right of First Refusal” clauses which would allow them to match offers from other brands. This was the case with Parker Valby’s Nike deal. As a result, make sure you are fully aware of all the terms included in any deal you sign.
FOR ADMINS
Notes for the Week
The University of Hawaii mens basketball practice jerseys will feature sponsored patches from Rainbow Collective. This program marks the first instance of a sponsored patch being placed on an NCAA jersey in the NIL era. - LINK
Arkansas Edge partners with Sigma Supply to support NIL opportunities through a revenue-share agreement - LINK
Tip of the Week: Consult Executives With Professional Sports Experience
With the introduction of revenue sharing and the potential for student athletes to gain employment status, college programs will need to operate more like professional teams with general managers and salary experts. As a result, schools should look to professional experts for guidance. Oklahoma football recently announced a partnership with the Athlete Group and long-time Eagles executive Jake Rosenberg. Other programs should follow in their footsteps.
Thanks for Reading!
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