
JUST IN:How College Football Playoff Program Receives Massive NIL News today…….
The NCAA suffered another blow to its enforcement over NIL laws after reaching a settlement with Tennessee on Friday.
The U.S. Eastern District Court of Tennessee granted a preliminary injunction against the NCAA last year after an NIL-based lawsuit was filed by attorney generals of Tennessee and Virginia.
Tennessee’s filing was in response to the NCAA’s investigations into University of Tennessee sports and the football program’s recruitment of former five-star quarterback Nico Iamaleava.
The New York Times previously reported that Iamaleava was given the use of a private plane by boosters while he was still a recruit.
The NCAA, which previously had no rules outlining NIL negotiations, halted those investigations as a result of the injunction.
A settlement was agreed to on Friday by Tennessee and the NCAA, which included a request for a permanent injunction, according to the filing via On3’s Pete Nakos.
The settlement will be finalized along with a request for a permanent injunction by March 17, according to the filing,” Nakos wrote. “The settlement must be approved by U.S. District Judge Clifton Corker in Tennessee to go into effect.”
This news leaves Tennessee, along with college football programs around the country, the option to have NIL collectives and boosters negotiate with recruits and transfers before commitments are made.
The NCAA has lost its power over the NIL space until revenue sharing begins on July 1 after the House v. NCAA settlement comes into play. Beyond that point, third-party deals of more than $600 will have to be approved by a clearinghouse.
With Tennessee and Virginia leading the way, programs can maintain their current NIL tactics throughout the offseason before the revenue sharing goes into effect.
Iamaleava helped lead Tennessee and head coach Josh Heupel to their first College Football Playoff appearance in program history as a first-year starter last season.
He is the Vols’ third highest-rated recruit in program history, per 247Sports.
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