Overview
Steptoe partners Andrew C. Adams, Patrick F. Linehan, Ross Weingarten, and associates Samantha McCarthy and Britney Denley co-authored an article titled "NCAA Athletics in an Evolving Enforcement Landscape," published in the American Bar Association Entertainment & Sports Law Journal on October 22, 2025.
The article discusses the transformative impact of the June 2025 House settlement on NCAA Division I athletics, particularly regarding student-athlete compensation. Approved by Judge Claudia Wilken, the settlement allows direct payments to athletes and introduces a third-party compensation framework based on market value, though key terms remain undefined. It includes $2.8 billion in retroactive damages and forward-looking provisions that reshape scholarship structures, NIL (Name, Image, and Likeness) rights, and compliance mechanisms.
A central feature is the creation of a compensation "Pool" starting at 22% of NCAA Shared Revenue, with oversight by a Designated Reporting Entity. Enforcement is managed by the newly formed College Sports Commission (CSC), which uses the NIL Go clearinghouse to assess third-party deals. However, vague definitions like "valid business purpose" and "reasonable value" raise concerns about regulatory clarity and enforcement risks.
The article draws parallels to past federal prosecutions, such as the Gatto case, and highlights evolving wire fraud interpretations by the Supreme Court. It warns institutions, athletes, and businesses of legal exposure under Title IX, the False Claims Act, and fraud statutes. Ultimately, it urges stakeholders to prioritize transparency, due diligence, and ethical practices to navigate this complex and high-stakes environment.
To read the full article, visit the American Bar Association Sports Law Journal (subscription required).
