For more than a year, all of college sports have awaited the approval of the highly anticipated House Settlement. On Friday, June 6, 2025, Judge Claudia Wilken issued an order approving the House Settlement, thereby ushering in a new college sports world order. Approval of this settlement resolves three cases (House v. NCAA, Carter v. NCAA, and Hubbard v. NCAA) that was before the NCAA, and the Power 5 Conferences (SEC, ACC, Big 10, Big 12, and the Pac-12). The NCAA and Power 5 Conferences faced up to $4.3 billion in damages if the cases went to trial.
Accordingly, the parties moved to settle the cases reaching a settlement agreement last May. After the fairness hearing on April 7th, many began to wonder if the settlement would be approved after the presiding judge took issue with the fact that several current and incoming college athletes had lost their roster sport due to schools’ preparation in anticipation of the settlement. After the parties noted that those athletes would not be adversely affected by the implementation of roster limits, the judge has issued an order approving the settlement.
A New Day in College Sports
This settlement agreement certainly marks a seismic shift in college sports as the concept of amateurism, if it ever existed, appears to now be dead. College athletes will now be paid for the benefits that their athletic ability and notoriety brings to a school and their athletic programs through revenue sharing. Colleges can share up to $20.5 million per year with their athletes. This is expected to result in college athletes receiving an aggregate of approximately $1.6 billion per year with that amount expected to increase over next 10 years. Also as a result of the settlement, some current and former college athletes will receive their piece of $2.576 billion in damages that will be paid out over the next 10 years.
New Players in College Sports Post Settlement
Approval of the settlement comes less than a month before colleges are expected to begin paying their athletes on July 1, 2025. Also, with the settlement comes some new players into the college sports administration game. The first is the implementation of a new system called NIL Go. NIL Go is the new NIL deal clearinghouse that was created by Deloitte to assess the “fair-market value” of NIL deals. The settlement requires that NIL deal(s) that in aggregate have a value of $600.00 or more be reported to that athlete’s respective university. Once the deal is reported, it will then be assessed by NIL Go to ensure that it is a valid NIL deal not “pay-for-play”. The second is the College Sports Commission (CSC). The CSC is the new entity created to assist with implementing and enforcing the results of the House Settlement. The CSC will be tasked with enforcing rules regarding athletic department revenue sharing with players, NIL Go, and roster limit implementation. The CSC will be headed by Brian Seeley, former MLB executive.
The Effect of the Settlement Approval
As stated, the settlement has created a new world order for college sports that some are referring to as the revenue sharing era. This certainly marks an opportunity for college athletes to receive a bigger piece of the pie and to receive that piece directly from their university. While this settlement is leading to change, there is still much work to be done as it relates to college athletes’ rights. College athletes should have a more representative seat at the table whether that is through collective bargaining or some system of quasi-collective bargaining. The issue of the role of Title IX in the revenue sharing era needs to be addressed in a way that ensures equitable opportunities for both male and female athletes. The issue of whether college athletes should be considered employees remains as the Johnson v. NCAA case is still pending. There is a chance that points of the settlement agreement may be appealed as well. Accordingly, it is very unlikely that lawsuits regarding college sports will cease due to approval of the settlement and the college athletics will continue to evolve as we move closer to equity in college sports for athletes.
College and high school athletes have been granted the right to profit from their name, image, and likeness! Yayyyyyy!!! College and high school athletes can now enter NIL Deals. This is an exciting opportunity for college and high school athletes. However, there are certain topics that college and high school athletes and their parents need to know before entering any NIL Deal. Download by free NIL Contract Checklist for 5 contract terms to know! For more on college athletes' name, image, and likeness rights follow me on Twitter @esquire_coach and on Instagram and TikTok @the_esquirecoach. To receive updates from The Esquire Coach Blog directly to your email please subscribe below.