Hey All-Stars and Brand-Builders,

This week brought seismic developments that every athlete, parent, and coach needs to understand. From a landmark lawsuit that could reshape NIL contracts nationwide, to Congress fumbling what was supposed to be their final answer on NIL regulation, to schools building massive NIL war chests through corporate partnershipsβ€”the landscape is shifting beneath our feet.

Let's break down what it all means for you.

Georgia vs. Damon Wilson: The $390K Lawsuit That Changes Everything

The Situation: The University of Georgia Athletic Association has filed suit against former Bulldogs defensive end Damon Wilson II, seeking $390,000 in damages after he transferred to Missouri. This is one of the first times a school has publicly pursued NIL damages from a former player.

The Contract Details:

  • Wilson signed a 14-month deal with Georgia's Classic City Collective in December 2024, worth $500,000

  • The deal included $30,000 monthly payments plus two $40,000 retention bonuses

  • A "liquidated damages" clause required Wilson to pay back remaining contract value if he transferred

  • Wilson received ONE payment ($30,000) before entering the transfer portal in January 2025

  • Georgia is demanding the remaining $390,000 - 13x what Wilson actually received

⚠️ WARNING: The Pay-for-Play Problem: Here's the uncomfortable truth: these contracts are structured as NIL deals (paying for your name, image, and likeness) but function like employment agreements (paying you to stay on the team). This legal gray area is exactly what Congress and courts are wrestling with. If Georgia wins, it validates treating NIL as quasi-employment contracts. If Wilson wins, it undermines schools' ability to protect NIL investments.

🧭 Navigator Insight: What This Means for You: This case exposes a critical tension: Schools want to use NIL deals as roster guarantees while avoiding the legal implications of employment. Athletes are caught in the middle, signing contracts they may not fully understand with consequences that extend years beyond their college careers.

Action Items for Athletes and Families:

  1. Read the fine print. Look for "liquidated damages" or "buyout" clauses before signing ANY NIL agreement

  2. Understand the math. Wilson received $30,000 but owes $390,000. That's not a typo. Know your worst-case exposure.

  3. Negotiate exit terms. Push for reasonable buyout caps, not unlimited liability for the full contract value

  4. Get independent legal review. Before signing, have someone NOT affiliated with the school review your contract

🧠 Coach's Corner: Notice what Georgia said: "When we enter binding agreements, we honor our commitments and expect student-athletes to do the same." But here's the double standardβ€”coaches routinely leave for other jobs without paying back their contracts. Lane Kiffin just signed a $90+ million deal with LSU. Did Ole Miss demand he pay back his remaining contract value? Of course not. Schools negotiate coach buyouts as modest one-time fees. Athletes deserve the same treatment.

The SCORE Act Fumble: Congress Delays Vote Amid Bipartisan Chaos

The Situation: House Republican leadership planned to pass the SCORE Act this weekβ€”the NCAA's long-sought federal NIL legislation. Instead, the vote was canceled after a procedural vote nearly failed (210-209), with opposition coming from both parties.

What the SCORE Act Would Do

  1. Federal Preemption: Override all state NIL laws, creating uniform national rules

  2. Antitrust Protection: Shield the NCAA and conferences from lawsuits over their rules

  3. No Employee Status: Explicitly prevent college athletes from being classified as employees

  4. Revenue Sharing Cap: Codify the 22% cap from the House settlement

Why It Failed (For Now)

The "Lane Kiffin Protection Act": House Minority Leader Hakeem Jeffries publicly questioned why leadership pushed this bill the same week Lane Kiffin signed a $90+ million LSU contract, asking whether "big donors connected to LSU" directed the timing. He called it legislation that "would hurt college athletes" while protecting institutions.

Opposition from All Sides:

  • House Freedom Caucus conservatives questioned federal overreach into state matters

  • Democrats and labor unions called it "union-busting policy in action"

  • Title IX advocates warned it could undermine women's sports equity

  • Multiple state attorneys general opposed federal preemption of their state laws

🧭 Navigator Insight: What the Delay Means: The SCORE Act's failure to reach a vote, despite White House support, NCAA lobbying, and conference commissioner visits to Capitol Hill, signals that federal NIL legislation is unlikely to pass anytime soon. This means:

  • The current patchwork of state laws continues

  • Lawsuits will continue shaping the landscape

  • Regulatory uncertainty remains the norm for at least another year

For Athletes: This is both good and bad news. Good: athlete-friendly state laws remain in effect. Bad: the confusion and instability continue. Stay educated on your state's specific NIL rules, because they still matter more than any proposed federal law.

Nebraska's $10.25M NIL Power Move: The New Model for School-Funded NIL

The Deal: On December 5, Nebraska's Board of Regents unanimously approved an amended media rights deal with Playfly Sports Properties, injecting $10.25 million in NIL funding, with $8 million front-loaded before June 2025.

Why This Matters

This isn't a traditional donor-driven collective. Nebraska has embedded NIL funding directly into their corporate media rights agreement. It's a fundamental shift in how NIL money flows.

The Bigger Picture: The NIL Arms Race Accelerates

Nebraska's move follows Texas A&M's $515 million Playfly deal announced earlier this year. Schools are realizing that donor-driven collectives are volatile: they can dry up during losing seasons or donor fatigue. Corporate-backed NIL funding provides stability and predictability.

What to Expect:

  • More schools will embed NIL into their media rights deals

  • The gap between resource-rich and resource-poor programs will widen

  • Mid-major schools will need to get creative to compete

  • Athletes evaluating programs should ask about NIL funding sources and stability

🧭 Navigator Truth: The Nebraska deal shows that NIL is no longer an add-on to college athletics: it's being built into the core financial infrastructure. Before Congress figures out regulation, schools are building facts on the ground. The programs that structure sustainable, institutionally-backed NIL operations now will have significant advantages for years to come.

Connecting the Dots: What These Stories Mean Together

These three developments aren't isolated, they're interconnected pieces of a rapidly evolving puzzle:

Georgia v. Wilson shows schools are using NIL contracts as de facto employment agreements with punitive exit clauses, but calling them "endorsement deals" to avoid employment law implications.

The SCORE Act delay shows the NCAA and conferences desperately want federal protection to legitimize exactly these kinds of arrangements and to shield themselves from lawsuits challenging them.

Nebraska's Playfly deal shows that regardless of what Congress does, schools are embedding NIL into their institutional structures, creating facts on the ground that will be hard to unwind.

πŸ“‹ THE BOTTOM LINE FOR ATHLETES AND FAMILIES

  1. READ EVERY CONTRACT CAREFULLY β€” liquidated damages clauses can cost you hundreds of thousands of dollars

  2. GET INDEPENDENT LEGAL ADVICE β€” not from school-affiliated lawyers or compliance officers

  3. EVALUATE NIL INFRASTRUCTURE β€” ask how NIL is funded and whether it's stable

  4. STAY EDUCATED β€” the rules are still being written, both by courts and by schools' actions

  5. DOCUMENT EVERYTHING β€” keep copies of all contracts, communications, and services rendered

🚨 Partnership Alert: NIL Navigator x SquarePact 🚨

We have a special game-changing collaboration with Actualization.ai and their tool: SquarePact, the platform that makes contracts simple.

NIL contracts can be packed with confusing fine print, but with SquarePact, you can upload your deal and get NIL specific AI-powered insights in minutes. See key terms, obligations, and red flags in plain English so you can make smarter decisions before you sign.

This means that every NIL Navigator athlete and family now has access to fast, clear contract analysis, giving you the confidence to protect your future and maximize your opportunities.

Tap into this partnership and get your first contract analyzed by emailing [email protected]

The Final Whistle:

This week made one thing crystal clear: the NIL landscape is being shaped by lawsuits, corporate deals, and school policies far more than by Congress or the NCAA.

Athletes who understand this reality, who read their contracts carefully, evaluate their programs strategically, and protect themselves proactively, will thrive. Those who assume someone else is looking out for their interests may find themselves on the wrong end of a six-figure lawsuit.

NIL Navigator exists to make sure you're in the first group, not the second.

Got a specific state question or deal scenario? We're here to help you navigate:

nilnavigator@nilnavigator

πŸ’¬ Pay it forward: Share this newsletter with an athlete, coach, or parent who wants to level up their NIL game

The Helm Newsletter is published weekly for athletes, parents, and coaches navigating the modern student-athlete sports landscape. Have a topic suggestion or question? Reach out to us at [email protected]

Disclaimer: NIL Navigator provides general information and education, not legal advice. For legal matters, please consult a qualified attorney.

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