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Clearinghouse Denial of NIL Deals to Be Limited by Arbitration

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Clearinghouse Denial of NIL Deals to Be Limited by Arbitration

One of the more controversial features of the approved House settlement is a clearinghouse review of NIL deals that exceed $600 to ensure they are legitimately about use of an athlete’s right of publicity and not veiled payments to convince an athlete to attend and remain at a school. 

Some have speculated that the denial of proposed NIL deals will motivate athletes and the businesses with whom they seek to partner to sue the clearinghouse, and perhaps other defendants. Possible claims could include alleged violations of state NIL statutes, tortious interference with prospective NIL contracts and suppression of economic opportunities as protected by state and federal antitrust laws.

There’s an important factor being overlooked: The role of arbitration, which will make it far more difficult for an athlete or a company with which the athlete seeks to sign an NIL deal to wage a successful lawsuit. 

The narrow means of challenging arbitration awards will likely deter attorneys who would otherwise jump at the chance to bring a lawsuit that would attract media attention. The prospect of overcoming judicial deference to an arbitration award is an important and often overlooked factor.

Deloitte, in partnership with the new College Sports Commission, will oversee NIL Go. The clearinghouse will use a fair market algorithm to assess if an NIL deal has a plausible relationship to the value of the athlete’s right of publicity in the context of a proposed deal. Hypothetically, an athlete being offered $1 million to sign with a local car dealership that typically pays endorsers less than $10,000 would need to explain the logic of the $1 million amount.  

While NIL is a relatively new term, it reflects a longstanding legal principle–the right of publicity–that is protected by states’ laws. This right has played an instrumental role in protecting actors, musicians and pro athletes from misappropriation of their unique and marketable personal qualities. College athletes have always had the right of publicity, but until the NCAA’s hand was forced by Ed O’Bannon’s case over the unlicensed use of athletes’ likenesses in video games and states enacting NIL statutes, NCAA rules had conditioned eligibility on (among other things) athletes not profiting from their identity.

Since 2021, NIL has sometimes morphed into a vehicle to pay athletes to attend and remain at a school. Even if those arrangements are called “NIL deals,” they’re substantively not about NIL. They are pay-for-play arrangements, which remain prohibited by NCAA rules.

NIL Go will be charged with clearing or not clearing NIL deals. In instances where more review is needed, the College Sports Commission will conduct its own screening. Athletes whose deals are rejected will have the chance to revise those deals and submit revisions for review. They can also file an appeal to neutral arbitration.

Arbitration is a private dispute resolution forum that parties contractually assent to use in lieu of litigation. Although arbitration and litigation are sometimes discussed interchangeably, they are quite different. Arbitration is conducted behind closed doors, meaning that–unlike in litigation– writing filings, evidence, testimony and transcripts are shielded from public review. There is no judge or jury in an arbitration. Instead, the arbitrator is typically a subject matter expert, who is usually an attorney with relevant expertise and is sometimes a law professor or retired judge.  The arbitrator issues a decision, known as an “award,” and it is an order that the parties have contractually agreed to follow.

As repeatedly seen in sports law in recent years, whether it’s when NFL coaches sue the NFL over employment disputes, when NFL agents sue one another over client recruitment or when NBA teamssuing each other over trade secrets, judges who are asked to vacate arbitration awards are very reluctant to do so.

The Federal Arbitration Act and the Labor Management Relations Act instruct that judges are generally expected to sustain arbitration awards when the loser challenges them in court. There are only exceptional circumstances, such as when the award was procured by fraud or when the arbitrator refused to consider relevant evidence or follow basic legal principles, that warrant vacating an award. Some estimates find that judges vacate awards only around 10% of the time. Even when a judge vacates an arbitration award, the “winner” of that court ruling doesn’t necessarily “win” the dispute. Instead, they ordinarily get another shot at arbitration—where they might lose again.

To be sure, there are variables with arbitration review of clearinghouse decisions regarding NIL deals. Arbitration ordinarily arises in circumstances where the parties are in an employment or consumer relationship. When an NFL coach signs an employment contract, the contract will contain an arbitration provision. When a consumer buys a new computer, the fine print usually details an arbitration provision. 

Under current applications of law, a college athlete is not an employee. The athlete is also not acting as a consumer when signing an NIL deal. The athlete is instead a student who wishes to sign an NIL deal with a third party wherein they would be an independent contractor. That NIL deal is not what gives rise to arbitration—it is instead the approved House settlement’s procedure for injunctive relief. The settlement governs the athlete like other class members and, as a contract, the settlement has a nexus to the athlete. But it is a different relationship from employment or consumer contexts and different from, say, an NBA team owner contractually agreeing to the league commissioner having authority to review team-to-team disputes.

Whether distinctions in the college sports context prove to be distinctions without making a legal difference remains to be seen. But those predicting an avalanche of college athletes suing over denied NIL deals should be a factor in the role of arbitration as a major deterrent to litigation.

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Ohio State standout pauses College Football Playoff prep to use NIL for good: ‘I want people to feel loved’

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COLUMBUS, Ohio — They wore red aprons, waited their turn in a line of volunteers and carried bags filled with toys through the Lausche Building at the Ohio Expo Center & State Fairgrounds.

In their actions, they were unassuming, helping bring holiday joy to families in central Ohio. But these volunteers were far from unrecognizable in Columbus.

They were safety Jaylen McClain, defensive tackle Eddrick Houston, safety Caleb Downs and running back James Peoples — a collection of some of Ohio State football’s top contributors this season.

And they were there to fulfill a vision of McClain’s.

The McClain family recently launched Everyday Legends — a foundation created to, “honor and uplift individuals who demonstrate excellence in scholarship, service, and sportsmanship.”

One of its first initiatives came via a partnership with the Salvation Army in Central Ohio. Courtesy of opportunities presented through college football’s name, image and likeness rules, McClain started a virtual toy drive in which donors could purchase toys through an Amazon wish list put together by the foundation with gifts going directly toward Wednesday’s event.

With his teammates working alongside him, McClain — who went to Target the day after Ohio State’s loss in the Big Ten Championship Game to ensure enough toys were purchased — helped those in a community far from his home state of New Jersey.

“I didn’t have everything, but my parents provided so much support for me and made sacrifices for my life,” McClain told cleveland.com. “Now that I have a bigger platform for myself as a college football player and NIL, I’m able to give my blessings off to other people, other foundations and be able to recognize other people that also have the blessings.”



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Everyone caught up to Oregon’s business model. Can Ducks win it all in a world they pioneered?

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After decades of milestone wins on its climb to college football powerhouse status, Oregon found itself on the other side of a signature victory this season.

As Indiana celebrated on the Ducks’ home field on Oct. 11, an Oregon staffer shook the hand of a Hoosiers assistant coach and congratulated him on a 30-20 win that helped validate IU as a national championship contender.

“We’re hard to beat,” the Oregon staffer said.

No doubt. Since joining the Big Ten last year, the Ducks are 17-1 in conference play and 24-2 overall, with a league title in their debut season. Since 2010, Oregon is tied for fifth in the nation in victories with Oklahoma at 161. Only Alabama, Ohio State, Clemson and Georgia have more.

“We’ve been building to a standard of what winning football looks like, regardless of conference,” head coach Dan Lanning said this week.

After the Ducks spent years breaking through barriers that previously required something akin to birthright status for entry, college football has met them where they are. Adaptability and innovation are cornerstones of the Oregon brand, so of course, no school was better prepared to succeed when NCAA amateurism crumbled and the ability to effectively pay players became a necessity for programs that aspire to win national championships.

Oregon football has never been better, but the Ducks are no longer college football’s gate-crashers.

“There’s been some great stories in college football, but it’s even harder to stay there, and (the Ducks) have found a way to stay there,” said Craig Pintens, who was a high-ranking administrator at Oregon from 2011 through ’18 before becoming athletic director at Loyola Marymount.

In this year’s College Football Playoff, Indiana, Texas Tech and Ole Miss are the new-money climbers, no longer constrained by their histories.

The Ducks? Heading into a first-round home game against 12th-seeded James Madison on Saturday, they are just another team trying to win a championship.

Well, maybe not just another team.

You see, Oregon is not quite a member of the establishment class, either. It has a lot more in common with Ohio State, Georgia, Oklahoma, Alabama and Miami these days than with the Hoosiers, Red Raiders and Rebels — with one notable exception.

That first group has combined for 13 national titles since 2000 and 34 in college football’s poll era, dating to 1936.

The Ducks are still seeking their first.

“They’ve built the entire sundae at this point,” Pintens said. “It’s just a matter of putting that cherry on the top. And it is inevitable. It’s going to happen.”


College football has never cultivated upward mobility. Past success is the best predictor of future success. Lineage and tradition are prized commodities.

The schools at the top of the food chain tend to stay there — or have an easier time getting back when they slip. Those toward the bottom generally get stuck.

There are outliers. Nebraska looks as if it may never recreate the glory days of the 1970s, ’80s and ’90s. Clemson went from good to elite under Dabo Swinney, but that era of dominance is increasingly looking like a moment in time rather than a permanent change.

And then there’s Oregon, the most obvious exception that proves the rule.

The Ducks didn’t have USC’s Heritage Hall, a shrine to a program that claims 11 national titles and eight Heisman winners. They didn’t have Touchdown Jesus, Notre Dame’s iconic monument to the program’s essential place in the history of college football.

“We didn’t have the kinds of things that Ohio State and Texas and all these legacy programs had, but we did feel like we had a chance,” former Oregon athletic director Pat Kilkenny said.

The first baby step toward Oregon shedding its history came in Shreveport, La., of all places, with quarterback Bill Musgrave leading coach Rich Brooks’ Ducks to a victory in the program’s first postseason game in 26 years, the 1989 Independence Bowl against Tulsa.

The mid-1990s featured trips to the Rose and Cotton bowls that signaled progress but also showed the Ducks still had a long way to go: Oregon lost those games to Penn State and Colorado by a combined score of 76-26.

Nike co-founder and Oregon alum Phil Knight’s involvement and investment in the program brought a grander vision in the early 2000s. Why not put up a billboard in Times Square to promote quarterback Joey Harrington as a Heisman Trophy contender in 2001?

“I think our optimism was more about Holiday Bowl and Top 25,” said Kilkenny, an Oregon native. “But somebody like Phil Knight gets involved, that doesn’t work for him. He doesn’t want to do anything unless he can be the best.”

Oregon football had no distinguishing characteristics, so Knight helped create them.

With Nike’s help, Oregon made uniforms a differentiator in recruiting, unveiling a fresh look almost weekly.

“Being fashion-progressive isn’t exactly indicative of a strong football program, but (Knight) saw it as brand-building,” Kilkenny said.

The Ducks were on the front end of the spread offense revolution under coach Mike Bellotti, then promoted Chip Kelly to head coach and changed the way the game was played by optimizing fast-paced football.

When the facilities arms race was escalating, Oregon built its so-called Death Star, a tinted-glass fortress with a barber shop, sleep pods and tech-integrated lockers. The $68 million Hatfield-Dowlin Complex, funded largely by Knight, opened in 2013.

The Ducks reached the national championship game in 2010 and 2014, losing each time.

They haven’t been back since, which suggests the ascent has stalled. That’s not the case. Through a whirlwind of coaching changes from Kelly’s successor, Mark Helfrich, to Willie Taggart to Mario Cristobal to Lanning in the span of only seven years, Oregon was still progressing.

“I think they’ve built a tremendous culture, and that culture has turned over through multiple coaches,” said Pintens, who credits his former boss, athletic director Rob Mullens, with overseeing the continued growth at Oregon.

Even with Knight’s backing, Oregon is not among the top revenue-generating programs in college football.

“Oregon is not as resourced as some of the other top powers in college football,” Pintens said. “They lack a population base. They don’t play in a huge stadium.”

Autzen Stadium’s gameday experience is one of the best in the country, but the place seats about 56,000, about half the capacity of the largest stadiums in the Big Ten and SEC.

When Oregon spends, it spends on what matters most.

“If you want to be a top-10 team in college football, you better be invested in winning,” Oregon’s Dan Lanning said earlier this season in response to then-Oklahoma State coach Mike Gundy’s comments about how much the Ducks’ roster costs. “We spend to win.”


In 2020, the NCAA lifted its ban on paying college athletes for their name, image and likeness. Quickly, those deals became a proxy for paying players, and Oregon was again an early adopter. Founded by Knight and other prominent donors, Division Street quickly became one of college football’s most well-run NIL collectives, groups that pool funds from boosters to license players’ rights.

Taggart and then Cristobal had already changed the nature of Oregon recruiting, turning the school into a destination for blue-chippers, despite the school’s limited number of those prospects within its geographic footprint.

Lanning was hired away from Georgia to keep that going in 2021. His ability to embrace a more transactional form of recruiting while still establishing a winning culture has allowed Oregon to narrow the gap between itself and the likes of Ohio State and Georgia.

NIL has been “an equalizing force,” Pintens said.

“You could have better facilities, you could have better coaching, better everything, but at the end of the day, if you don’t have any dollars to support that, it’s going to be really difficult to put together a team,” he said.

The transformation that took Oregon decades is happening much faster elsewhere, as paying players spreads talent around and gives the traditional have-nots a chance to become haves.

“The historical programs that weren’t able to compete, it did give them a chance to put a little jet propulsion into their football program, if that’s where they chose to invest,” Kilkenny said.

Fourth-seeded Big 12 champion Texas Tech, with a roster backed by billionaire booster Cody Campbell that reportedly cost more than $28 million, this season won its first outright conference title since 1955.

In the SEC, sixth-ranked Ole Miss has effectively mobilized its resources with the Grove Collective and ripped off three straight double-digit victory campaigns while LSU and Florida (with a combined six national titles) fired their head coaches this season.

In the Big Ten, Indiana, which started the year having lost more games than any other major college football program, has turned unprecedented investment into an unfathomable turnaround under coach Curt Cignetti. The Hoosiers kept rolling after the win in Eugene, knocked off Ohio State in the conference title game, and enter the Playoff as the No. 1 team in the country, boasting the program’s first Heisman Trophy winner in quarterback Fernando Mendoza. The Ducks are no longer the disruptors.

“The willingness and the belief in taking what had been done and saying, OK, we can be No. 1,” Kilkenny said. “We can win it all, and we can be a national brand, that has all happened.”

Oregon’s challenge now is not just to check the last box on the resume and join the blue bloods once and for all but to keep the new wave of gate-crashers from jumping ahead of them in line on the way to the top of the mountain.



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Kirk Herbstreit issues an apology for misunderstood post following Army-Navy game

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Kirk Herbstreit drew the ire of the college football world earlier this week. Now, he’s moving quickly to clear the air after a social media post sparked backlash following the ArmyNavy game.

Herbstreit, who’s become the face of ESPN’s college football coverage, addressed the situation in a lengthy post on X (formerly Twitter). He apologized for what he described as a misleading caption attached to a video clip promoting his Nonstop podcast with colleague Joey Galloway.

“Just wanted to address a mistake that we made on my socials earlier this week related to last weekend’s CFB Saturday,” Herbstreit wrote. “We posted a video where Joey Galloway and I were talking about how strange it was to be home and not traveling on a CFB weekend since the end of August and how we felt like we didn’t know what to do with ourselves. We posted the video with a caption that was very misleading about ‘Weird not having any CFB this weekend.’”

Herbstreit acknowledges that the wording created a bit of confusion, appearing dismissive of games that were played, most notably the Army–Navy Game: “Some took that out of context and ran with it. That’s on me,” he wrote. “My apologies for any disrespect (albeit unintentional) to the teams that played last weekend, especially [Army] and [Navy].”

The original post, which has since been deleted, included a clip from the podcast with the caption, “Saturday not having college football threw us for a loop,” accompanied by a laughing emoji. That message quickly drew a response from Navy Athletics, which quote-tweeted the post with a photo from Saturday’s game.

More on Kirk Herbstreit, Army-Navy controversy 

Alas, Navy went on to defeat Army 17–16 in one of college football’s most iconic rivalry games, a matchup that has occupied a standalone window on the Saturday following conference championship weekend for years. While it has no impact on the College Football Playoff, the game remains one of the sport’s most-watched events, averaging 7.84 million viewers on CBS.

In his apology, Herbstreit emphasized that the Army–Navy Game remains one of his favorite events on the college football calendar: “Not sure there is a game I personally look forward to more EVERY year than Army and Navy,” Herbstreit added. 

“They play for the love for each other and love for the game. Anybody who has ever watched me for the last 30 years on TV knows how I feel about that game.”

Beyond Army–Navy, last weekend still featured a full slate of college football action. Bowl season opened with Washington facing Boise State, the FCS playoffs held quarterfinal games, and South Carolina State defeated Prairie View A&M in the Celebration Bowl.

Listening back to the deleted clip itself, Herbstreit and Galloway never actually stated there was no football being played. Instead, they reflected on the unfamiliar feeling of being home for the first time since August without their usual travel routine.

Still, the initial caption struck a nerve. It highlighted how easily attention can drift toward the Playoff and power conference landscape at the expense of the broader sport.

Herbstreit closed his statement by reiterating that the controversy stemmed from miscommunication, not disrespect. At the least, he felt it necessary to publicly address the situation, and let the college football world know he meant no ill-will towards Army-Navy.



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$87 million coach reportedly offered ‘blank check’ by Michigan to replace Sherrone Moore

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Kalen DeBoer has done his part to deny any interest in the Michigan head coaching vacancy, but that hasn’t stopped an army of vocal college football analysts from speculating that he could jump ship from Alabama and become the next head man of the Wolverines.

DeBoer signed an $87 million contract over eight years with Alabama early in 2024 as the man to replace Nick Saban, and so far the results have been up and down, but mostly positive.

However connected DeBoer may be to the Crimson Tide at this point in time, there are reportedly some serious power brokers linked to Michigan who are extending quite an invitation, according to ESPN analyst Greg McElroy.

What Michigan is offering Kalen DeBoer

“Michigan has been applying the full court press from the very beginning. Michigan has offered what I’ve been told is a blank check to try to get Kalen DeBoer out of Tuscaloosa and to Ann Arbor,” McElroy said on the Always College Football podcast.

That talk comes right as DeBoer has Alabama in the College Football Playoff, where he will seek to improve on his 0-2 record against Oklahoma in the first-round game on Friday.

“Now, the timing is unique here, because Kalen DeBoer is in the midst of preparing his team for [the playoff]. Frankly, I don’t think that Kalen DeBoer is ultimately going to take the job,” McElroy said. 

“I don’t think Kalen DeBoer wants to take the job. I think Kalen DeBoer is happy at Alabama. I think the narrative that he’s unhappy, or he’s this or that or his family doesn’t like this or his family doesn’t like that, I think it’s untrue.”

Current insider reporting suggests that DeBoer’s representatives are seeking a contract extension from the school for the coach, but that remains a very fluid situation right now with no set conclusion.

But if DeBoer should lose to the Sooners again and get the Tide bounced from the playoff early?

Sure, it would raise the temperature around his tenure, but to suggest that it would be enough for him to abandon ship and try again at Michigan is unlikely.

Michigan will still pursue, however unlikely

“I think people are just grasping at straws, but it doesn’t mean that Michigan won’t continue to try to woo him,” McElroy said. 

“It doesn’t mean they’re going to stop trying to go get him. They’re gonna try. Whatever they have to do, they’re gonna try, because there’s a lot of people that believe that Kalen DeBoer is one of the top coaches in America. So you go all in for that coach. And I think Michigan will continue to try to go all in on Kalen DeBoer.” 

It stands to reason that Michigan, which finds itself in a coaching decision it didn’t expect to be in at this point in time, will do whatever they can to attract a big name.

But what if that big name already has a big job?

The feeling between Michigan and DeBoer is not mutual

“They can be interested. Is the interest actually reciprocated? I don’t know the answer to that, frankly. I frankly don’t think it is,” McElroy said.

“I think Kalen DeBoer, like I said, will be the head coach [at Alabama] moving forward, but he’s going to likely turn down more money at Michigan if he does end up staying in Tuscaloosa. 

“At least, that’s what it sounds like right now. Because when I hear ‘blank check,’ you can interpret that how you want to interpret that. 

“It sounds like, to me, Kalen DeBoer is going to be very wealthy on either side. But I do know that Kalen DeBoer is, right now, not interested in having a conversation with Michigan, and I do know this: that Michigan is not interested, yet, in accepting, the answer no.”

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Bankruptcy trustee presses case against Deion Sanders’ son Shilo

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Dec. 17, 2025, 10:04 p.m. ET



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$45 million college football head coach reportedly offers Lane Kiffin unexpected role

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The College Football Playoff travels to Oxford on Saturday with an unusual subplot: an 11-win Ole Miss team entering the postseason without the coach who compiled that record, Lane Kiffin.

Meanwhile, Tulane, which Ole Miss faces Saturday at 3:30 p.m. ET at Vaught-Hemingway Stadium, also has an outgoing coach, as Jon Sumrall has opted to finish the season in New Orleans before taking over at Florida.

Kiffin’s 2025 Rebels closed the regular season at 11–1, securing a CFP berth behind a high-powered offense that averaged 498.1 total yards per game, the third-most in college football.

Within days of the Egg Bowl, Kiffin accepted LSU’s offer, a reported seven-year contract worth roughly $91 million, and announced he would not coach Ole Miss in the playoff. 

Ole Miss promptly elevated defensive coordinator Pete Golding to lead the program into the bracket.

On Wednesday, Sumrall broke down the matchup and joked that he had offered Kiffin a spot in Tulane’s coaches’ box.

“They’ve got a lot more stability for the game than people realize. They’re going to be who they’ve been; they’re just not going to have Lane on the sideline,” Sumrall said. “I’ve reached out to Lane to see if he wants to sit in our coaches’ box for the game, but he hasn’t given me an answer yet.”

Florida Gators head coach Jon Sumrall.

Gainesville, FL, USA; Florida Gators head coach Jon Sumrall smiles during the press conference at the Heavener Football Training Center at the University of Florida. | Matt Pendleton-Imagn Images

Tulane arrives after winning the American Athletic Conference and finishing 11–2. 

The Green Wave boasts one of the nation’s best turnover margins (+10) and a defense that has tightened steadily since an early setback in Oxford on Sept. 20, a 45–10 loss.

Adding to the narrative, Sumrall, who signed a reported six-year, roughly $45 million deal to become Florida’s next head coach, has said he will remain with Tulane through the postseason before joining the Gators full-time.

Tulane has already designated passing-game coordinator Will Hall as Sumrall’s successor once the playoff run concludes.

This moment reflects a new normal in college football’s accelerated coaching market, with major hires unfolding as teams prepare for postseason play.

Read More at College Football HQ

  • $3.7 million college football head coach named clear candidate for Michigan vacancy

  • College football program signs $1.2 million deal with NFL legend

  • College Football Playoff team losing all-conference player to transfer portal

  • $2.1 million college football QB announces return to Big Ten program



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