NCAA Faces a New NIL Lawsuit, NIL Platform NILLY Announces New Partnership,+ ICYMI | Newsletter #270

Sep 12, 2024

Today’s Thursday newsletter includes highlights from this week, important news from last week, and what to watch for.

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Recapping Major News This Week:

Four former Michigan football players have filed a class action lawsuit against the NCAA and Big Ten Network seeking more than $50 million for being "wrongfully and unlawfully denied" the opportunity to earn money off their name, image and likeness.
The plaintiffs also seek certification of their case as a class action on behalf of NCAA players who played before June 15, 2016, and whose image or likeness was used by the NCAA, Big Ten Network or its business partners. The four plaintiffs played throughout the early 2000s, years before the settlement classes for the House, Carter and Hubbard antitrust litigations began.
The complaint has many similarities to the one filed in the O’Bannon case against the NCAA and EA in 2009.
The Big Ten Network is accused of using Michigan players’ NIL in live games, replays, highlight reels, documentaries and promotional content and failing to compensate them. In addition to monetary damages, the plaintiffs seek an injunction that would force the NCAA and Big Ten to stop their allegedly illegal practices.
CLICK HERE to learn more.

NILLY is a financial tech platform co-founded by NBA champion Kendrick Perkins, and its purpose is to enable, empower, and enrich student-athletes in the NIL era. NILLY’s partnership with Harlan Capital Partners, a leader in specialized private credit investments, allocates up to $200 million to help student-athletes unlock their earning potential.
"NILLY attempts to solve a critical challenge for student-athletes, providing them with a clear path to tap into their true NIL earnings potential and the resources needed to maximize their success," said Chris Ricciardi, CEO and Co-Founder of NILLY. "We are thrilled to have Harlan Capital as a partner in this journey, bringing their unique expertise and strategic vision for enhancing the value of intellectual property to help expand our platform and reach more athletes."
In exchange for licensing their NIL rights, NILLY provides athletes with upfront license payments, access to financial education resources and advisors, additional NIL earning opportunities, and optimization of those NIL rights.
This investment will enable NILLY to sign new athletes and continue building out the platform's features, ensuring that student-athletes have the tools and support they need to succeed in the NIL space.
CLICK HERE to learn more.

Brothers Adam and Robert Hinton signed a first-of-its-kind international NIL deal that will see them appear in Nike brand campaigns throughout Asia - LINK
UNC Wilmington launched their NIL Store, providing officially licensed merchandising opportunities to UNCW student-athletes - LINK
Former Alabama coach Nick Saban is set to talk NIL at the Congressional Black Caucus Foundation - LINK
UCLA quarterback Chase Griffin launches 919 Players NIL Fund - LINK
Jordan Chiles is set to make NIL history by returning to college gymnastics at UCLA - LINK
The NIL collectives for Michigan and Texas partnered to launch a t-shirt sold at their game on Saturday to benefit athletes at both schools - LINK

John Ruiz, once hailed as the 'NIL king' of University of Miami sports, is now involved in a financial crisis, potentially putting many Miami NIL deals at risk.
Recent allegations about the financial stability of his company, LifeWallet, have raised serious concerns about his ability to sustain his support of Miami’s athletics.
LifeWallet is a large-scale medical claim company. The company only posted $7.7 million in revenues last year, far below its projected $963 million per a recent SEC filing. The company also posted a net loss of $211 million. Ruiz has expressed concerns that LifeWallet would not be able to continue operating beyond the next twelve months unless additional funding can be secured.
It is reported that Ruiz has spent over $10 million on NIL deals for Miami’s athletes. With his company in financial jeopardy as well as the NCAA’s sanctions on Miami over Ruiz’s actions involved in recruiting the Cavinder twins, the future of Miami’s recruiting appears to be hanging in the balance of whether Ruiz can solve his financial woes.
CLICK HERE to learn more.

All six episodes of the “Money Game” series launched on Tuesday on Prime Video. The show is an all access pass to LSU’s athletic program for the 2023-24 season, showcasing the impact of NIL during that time.
According to Amazon, the docuseries covers "a historic turning point in the NCAA upon policy changes on NIL rights — guaranteed to shape the trajectory of college sports forever — highlighted by the surreal experiences of LSU's top players, coaches and administrators."
Featured athletes on the show include Livvy Dunne, Angel Reese, Flau'jae Johnson, and Jayden Daniels. Each athlete has not only seen success in their respective sport at LSU, but they are also top-earning NIL athletes.
The show gives viewers a behind-the-scenes look at key moments of the LSU season, including Daniels’ concussion, Reese's decision to leave LSU and Dunne's decision to stay. It also touches on the negative impacts of NIL and the whirlwind of decisions athletes are now faced with in the college athletics space.

Keep up to date on all of our newsletters and content by checking out past Optimum Sports Consulting Newsletters, and following us on Twitter!