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01/21/2026

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01/21/2026
LAWIN.news

$2.8 billion settlement transforms college sports compensation

by LAWIN.news June 7, 2025
written by LAWIN.news June 7, 2025
Photo credit: Las Vegas Review Journal
179

 

A federal judge has approved a landmark $2.8 billion settlement in the House v. NCAA case — dramatically changing how student-athletes are compensated in college sports.

The ruling allows colleges to directly pay athletes for the commercial use of their name, image, and likeness, breaking away from the long-standing amateurism model.

The settlement will cover past players for lost NIL opportunities and sets the stage for revenue-sharing with current athletes over the next decade.

Colleges are expected to begin payments by the start of the academic year. NCAA President Charlie Baker says the organization will work with schools to ensure a smooth rollout while preserving the integrity of college athletics.

Schools will now develop compensation guidelines, raising new questions about fairness, recruitment, and the future structure of college sports.

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