NCHSAA passed policy to allow Name, Image, and Likeness compensation for high school athletes

High School Athlete NIL can start after July 1st
Published: May. 3, 2023 at 11:58 AM EDT
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RALEIGH, N.C. (WITN) - The NCHSAA voted on Wednesday to pass a policy allowing students to profit from their Name, Image and likeness. 27 other states had already passed legislation to allow NIL profits for high school athletes. There are about 10 other states working on legislation. The policy passed 15-3.

The policy allows NC high school athletes to start making NIL profits after July 1st.

There are concerns of course about losing amateur status, becoming NCAA ineligible, and the business expectation side of paying for performance and status.

The National Federation of State High School Associations has a video and documents students and their families must go through before they can sign on with a company. There is a course required for parents, coaches, athletic directors and principals from the NFHS to be taken as well.

Students are required to disclose NIL agreements with the member school coach or athletic director. The athletic director must submit NIL agreements to the NCHSAA.

The types of NIL agreements students can monetize their name, image, and likeness are “through appearances, athlete-owned brands, autographs, camps and clinics, group licensing, in-kind deals, instruction, non-fungible tokens, product endorsements, promotional activities and social media.”

Schools and coaches can’t facilitate NIL deals. They aren’t allowed to use NIL for recruiting athletes, encouraging enrollment. School employees and coaches cannot act as the student’s agent or marketing representative.

The punishment for the adult school employees or coaches for violating the policy falls under the Undue Influence regulations in the NCHSAA handbook.

The punishment for students is a 60-day suspension if they are making NIL money outside the policy guidelines and they would have to stop the arrangement.

One of the NCHSAA’s main concerns was representing illegal products. The suspension listed above would apply to students with NIL deals of products or companies in “adult entertainment, alcohol, cannabis, controlled substances, firearms and ammunition, gambling, prescription drugs, as well as tobacco, vaping, and other Nicotine-related products. Athletes cannot affiliate themselves with a specific school, conference, school district, the NCHSAA, or the NFHS through a NIL deal.”