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California signs into law bill that allows college athletes to profit from endorsements

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https://www.latimes.com/california/story/2019-09-30/college-athlete-endorsement-deals-ncaa-california-law

California will allow college athletes to profit from endorsements under bill signed by Newsom

By Melody Gutierrez, Nathan Fenno
Sep. 30, 2019 5 PM SACRAMENTO —

California became the first state to require major financial reforms in college athletics on Monday after Gov. Gavin Newsom signed into law a measure that allows players to receive endorsement deals, despite the National Collegiate Athletic Assn. calling the move unconstitutional.

Other states have proposed similar measures to pressure the NCAA, but so far only California is on a collision course with the governing body of college athletics, a billion-dollar organization that has repeatedly opposed efforts to allow players to profit off their sports.

Senate Bill 206 by Sen. Nancy Skinner (D-Berkeley) prohibits the NCAA from barring a university from competition if its athletes are compensated for the use of their name, image or likeness beginning Jan. 1, 2023. The University of California system, California State University schools, Stanford and USC all opposed the bill, saying they feared it would increase costs to ensure compliance with the law and lead to fines or even expulsion from the NCAA.

There are similar laws in various stages of passage in other states like New York, Florida, etc.

If college athletes are allowed to earn endorsement money, that would give big school programs near the biggest markets an advantage, at least early on.  Playing for a school in the midwest with little to no chance at endorsement money would be a poor choice compared to playing in a huge market where endorsement deals could be easier to acquire and bigger.  Any college team in the Los Angeles or New York markets could see a bumper crop of top recruits looking to cash in.  That could mean future dominance for UCLA, USC, or some schools near NYC.  Maybe as the new system ages and gets refined, agents will streamline the process and make it easier for students in smaller metro areas to make big cash, but likely not early on.

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I heard about this, not sure if its a good idea or note, but love the thought of the NCAA getting focked in any way

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NCAA could suspend the players from playing still since it’s still against their rules. 

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Excellent idea. They probably hate in podunks like Alabama and Clemson. Too bad goobers. 

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31 minutes ago, Djgb13 said:

NCAA could suspend the players from playing still since it’s still against their rules. 

Yup. Just like the states that have decriminalized weed. It's still a federal crime if you get right down to it.

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2 minutes ago, edjr said:

Yup. Just like the states that have decriminalized weed. It's still a federal crime if you get right down to it.

While that analogy immediately comes to mind, the NCAA is a private organization and could disappear tomorrow.  That said, Stanford, UCLA and the like are caught in the middle.  They have agreed to abide by NCAA rules, and now the state is saying they can't.  It's going to be a lawsuit.  And the state will lose.

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2 minutes ago, TimmySmith said:

While that analogy immediately comes to mind, the NCAA is a private organization and could disappear tomorrow.  That said, Stanford, UCLA and the like are caught in the middle.  They have agreed to abide by NCAA rules, and now the state is saying they can't.  It's going to be a lawsuit.  And the state will lose.

It's hard to imagine the NCAA beating the government here, they might want to watch how they respond.  The government, in the end, has all the cards.....

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I would assume this could only apply to state schools? Can't the privates do as they wish? 

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1 minute ago, RLLD said:

It's hard to imagine the NCAA beating the government here, they might want to watch how they respond.  The government, in the end, has all the cards.....

In the long run, the NCAA is doomed on this issue.  But they have agreements in place with schools that have to be honored.  It's going to court, book it.

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2 minutes ago, RLLD said:

It's hard to imagine the NCAA beating the government here, they might want to watch how they respond.  The government, in the end, has all the cards.....

They are a private organization. I don’t see how California can force them to do anything when it’s just California. I just see California schools getting hit with fines, bans, or not allowed to play other teams 

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8 minutes ago, Djgb13 said:

They are a private organization. I don’t see how California can force them to do anything when it’s just California. I just see California schools getting hit with fines, bans, or not allowed to play other teams 

I think the argument the NCAA can make here is that college athletes are perfectly free to skip college and create their own sports leagues for profit if they wish to get paid for playing. 

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13 minutes ago, Djgb13 said:

They are a private organization. I don’t see how California can force them to do anything when it’s just California. I just see California schools getting hit with fines, bans, or not allowed to play other teams 

California wants the tax money that these athletes would be paying.  That is what this is about.

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If anything they do results in EA Sports making the NCAA Football franchise again then I'm in. 

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8 minutes ago, EternalShinyAndChrome said:

I don't think they can do this if it's a state or federal law.

I dunno. It’s their organization. Their rules. If California schools pay athletes then I could see the NCAA saying those athletes are disqualified from play. 

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1 minute ago, Djgb13 said:

I dunno. It’s their organization. Their rules. If California schools pay athletes then I could see the NCAA saying those athletes are disqualified from play. 

I supposed.  Probably going to take a lawsuit to find out.

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5 minutes ago, EternalShinyAndChrome said:

I supposed.  Probably going to take a lawsuit to find out.

Oh you KNOW there’s going to be lawsuits galore. NCAA is fighting a losing battle. There was seriously so much we couldn’t in college as well as the coaches that it was WAY over the top. One thing was proving we were at practice to the NCAA by having to sign a roster for that day stating we were there and only practiced for a certain amount of hours. 

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There was one post I saw on Twitter about this that made sense to me.  I believe this doesn't go into affect in California until 2023 so that gives 3 full years for other states and the NCAA to figure something out.  If other states follow suit then the NCAA will most likely be forced to come up with their own plan for student endorsements.  As much as some don't like it, it's going to happen eventually.

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4 hours ago, riversco said:

I think the argument the NCAA can make here is that college athletes are perfectly free to skip college and create their own sports leagues for profit if they wish to get paid for playing. 

Will Kane had a real good take on this today. 

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3 hours ago, EternalShinyAndChrome said:

I don't think they can do this if it's a state or federal law.

Weed is legal in WA and CO, but the NFL will still suspend players in those states for testing positive for marijuana.  How is this any different? 

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7 minutes ago, DonS said:

Weed is legal in WA and CO, but the NFL will still suspend players in those states for testing positive for marijuana.  How is this any different? 

Good point.

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Should be a good court battle.

I see both sides but think sports that make money should be allowed to pay athletes. Of course what will happen is all the other sports that are a drain on resources will demand equal pay (especially the women sports) and kill sports for everyone.

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4 hours ago, Cdub100 said:

Should be a good court battle.

I see both sides but think sports that make money should be allowed to pay athletes. Of course what will happen is all the other sports that are a drain on resources will demand equal pay (especially the women sports) and kill sports for everyone.

If college athletes are allowed to get paid, and then other sports demand and get equal pay, then colleges might not pay anyone at all and we actually might wind up with for-profit college-level pro leagues.

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I'm glad for all the athletes who help bring in millions to each school and sometimes end up with nothing, not even a college degree 

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3 minutes ago, peenie said:

I'm glad for all the athletes who help bring in millions to each school and sometimes end up with nothing, not even a college degree 

A college degree is no small thing. Worth millions over a lifetime. And athletes not only get it for free they are given extra years to earn it. If they don't get it, it is 100% on them. 

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11 minutes ago, peenie said:

I'm glad for all the athletes who help bring in millions to each school and sometimes end up with nothing, not even a college degree 

How do they not end up with a college degree? The ones that are bringing in millions.

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According to NCAA.org, out of all the students who play high school sports (roughly 7.4 million athletes), 2 percent will earn a college scholarship. Out of those (about 460,000 in the NCAA), fewer than 2 percent will go pro.

The other 98 percent are left to their own devices to figure out what is next, which can be a daunting reality for athletes who have spent their entire lives operating within a very regimented schedule dedicated to their sport.

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6 minutes ago, peenie said:

According to NCAA.org, out of all the students who play high school sports (roughly 7.4 million athletes), 2 percent will earn a college scholarship. Out of those (about 460,000 in the NCAA), fewer than 2 percent will go pro.

The other 98 percent are left to their own devices to figure out what is next, which can be a daunting reality for athletes who have spent their entire lives operating within a very regimented schedule dedicated to their sport.

Isn't it a daunting reality for any high school or college kid to build a career? Isn't that why they go to school? To help get marketable skills and figure out how to get a job? I was in a field that very few people are able to make a living at, and I had back up plans the whole time in case I was not able to actualize it.  :dunno:

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2 hours ago, sderk said:

Isn't it a daunting reality for any high school or college kid to build a career? Isn't that why they go to school? To help get marketable skills and figure out how to get a job? I was in a field that very few people are able to make a living at, and I had back up plans the whole time in case I was not able to actualize it.  :dunno:

What the average college student goes through to what a student athlete goes through is not all that comparable.  The average student is able to work through college to make money and gain experience.  The student-athlete rarely has the time to have a job.

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10 minutes ago, Hawkeye21 said:

What the average college student goes through to what a student athlete goes through is not all that comparable.  The average student is able to work through college to make money and gain experience.  The student-athlete rarely has the time to have a job.

What does that have to do with them not getting a degree? If they do not have a degree once their athletic eligibility comes to an end that is their fault. 

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2 hours ago, peenie said:

According to NCAA.org, out of all the students who play high school sports (roughly 7.4 million athletes), 2 percent will earn a college scholarship. Out of those (about 460,000 in the NCAA), fewer than 2 percent will go pro.

The other 98 percent are left to their own devices to figure out what is next, which can be a daunting reality for athletes who have spent their entire lives operating within a very regimented schedule dedicated to their sport.

All true.  Probably safe to say that these are a vast majority of high risk kids, with no chance at college outside athletics.  If 10% get anything at all out of college, it's a win for all of us.  

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4 minutes ago, bostonlager said:

What does that have to do with them not getting a degree? If they do not have a degree once their athletic eligibility comes to an end that is their fault. 

I agree.

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11 minutes ago, bostonlager said:

What does that have to do with them not getting a degree? If they do not have a degree once their athletic eligibility comes to an end that is their fault. 

A vast majority of colleges do not limit the time it takes.  They honor the scholarship indefinitely.  It helps the graduation rates.

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7 hours ago, Hawkeye21 said:

What the average college student goes through to what a student athlete goes through is not all that comparable.  The average student is able to work through college to make money and gain experience.  The student-athlete rarely has the time to have a job.

It's a lifestyle choice. If you choose to want to play sports instead of working, that's you choice. If you get your tuition paid for playing sports, that's being given more dollars than any student who doesn't play sports can make in a part time job.

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Just to confirm this is not schools paying them right. This is just stating that athletes can accept endorsements 

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2 minutes ago, bandrus1 said:

Just to confirm this is not schools paying them right. This is just stating that athletes can accept endorsements 

Yep

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21 minutes ago, sderk said:

It's a lifestyle choice. If you choose to want to play sports instead of working, that's you choice. If you get your tuition paid for playing sports, that's being given more dollars than any student who doesn't play sports can make in a part time job.

I get all that but you don’t care about how the schools can make millions off of their names but the athletes can’t?

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So title IX equal pay yadda yadda has nothing to do with any of this. All this law is saying is that a student athlete marketing themselves must be allowed. NCAA will have to choose to either change or exclude CA

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3 minutes ago, Hawkeye21 said:

I get all that but you don’t care about how the schools can make millions off of their names but the athletes can’t?

I don't really. I am not an expert on the subject but don't those dollars help support other sports that bring in little to no money?

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Just now, sderk said:

I don't really. I am not an expert on the subject but don't those dollars help support other sports that bring in little to no money?

I believe football and basketball do help support the other sports but I’m pretty sure that’s just a drop in the bucket. 

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