The NCAA has lost the legal ability to enforce its ban on the use of NIL in recruiting, at least temporarily.
A federal judge granted a preliminary injunction on Friday to the states of Tennessee and Virginia in their lawsuit against the NCAA, which is challenging the governing body’s ability to restrict the use of NIL as a recruiting inducement.
As a result of the injunction, the NCAA is now legally prohibited from enforcing its ban on the use of NIL in recruiting until the completion of the trial.
"Defendant NCAA; its servants, agents, and employees; and all persons in active concert or participation with the NCAA, are restrained and enjoined from enforcing the NCAA Interim NIL Policy, the NCAA Bylaws, or any other authority to the extent such authority prohibits https://t.co/Q9qvx5zF7h
— Pete Thamel (@PeteThamel) February 23, 2024
“The NCAA’s prohibition likely violates federal antitrust law and harms student-athletes,” U.S. district judge Clifton Corker wrote in his official ruling. “Accordingly, Plaintiffs State of Tennessee and Commonwealth of Virginia, who initiated this action as parens patriae on behalf of their student-athletes, are entitled to a preliminary injunction enjoining enforcement of the NCAA’s ‘NIL-recruiting ban.’”
The states of Tennessee and Virginia brought the lawsuit against the NCAA on Jan. 31, just one day after reports surfaced that the University of Tennessee was under investigation by the NCAA for alleged NIL violations in multiple sports.
In response to the preliminary injunction, the NCAA said in a statement Friday afternoon that “turning upside down rules overwhelmingly supported by member schools will aggravate an already chaotic collegiate environment, further diminishing protections for student-athletes from exploitation.”
NCAA statement on today's federal injunction says the ability to put NIL offers in writing further "diminishes protections for student-athletes from employees." https://t.co/2iJ0RuwI16 pic.twitter.com/FvOIYRMN0m
— Dan Murphy (@DanMurphyESPN) February 23, 2024