Hey All-Stars and Brand-Builders,

Welcome back to The Helm, your strategic compass for navigating the ever-evolving NIL landscape. This week delivers some major developments: Congress is gearing up for another legislative push, the College Sports Commission released eye-opening data on deal flows, and the transfer portal chaos has reached new heights with contract disputes making national headlines.

Let's break it all down and show you how to protect yourself in the midst of this rapid transformation.

Congressional NIL Showdown: What's Next for Federal Legislation

The Situation: After the dramatic December pullback of the SCORE Act, dubbed by some as the "Lane Kiffin Protection Act" following LSU-related controversies: Congressional leaders are regrouping for another legislative attempt in early 2026.

The battle lines are clearly drawn. Republicans argue federal standardization would bring order to the chaos of conflicting state laws. Democrats, backed by professional athletes unions and the NWSL Players Association, warn the bill could trigger a "Title IX backslide" and undermine athlete labor rights.

🧭 Navigator Insight: Regardless of which political party wins this legislative battle, the outcome will directly impact YOUR earning potential. Federal standardization might bring clarity, but it could also eliminate favorable provisions in athlete-friendly states. Stay engaged with advocacy groups and understand how proposed legislation would affect your specific situation.

CSC Releases January 2026 Report: $127M in Cleared Deals

The Numbers: The College Sports Commission's latest NIL Deal Flow Report reveals 17,321 deals have been cleared through NIL Go since June, totaling more than $127 million. Since November alone, 5,146 new deals worth nearly $40 million have been approved.

But here's the concerning gap: The $127 million in cleared deals represents just a fraction of the estimated $500 million third-party NIL market for basketball alone. Where's the missing money? Much of it was distributed before July 1, 2025, when CSC enforcement began… a strategic "money dump" by collectives avoiding scrutiny.

What This Means for Athletes:

  • All deals over $600 must flow through NIL Go for "fair market value" verification

  • The CSC rejected over 500 deals worth $15 million for lacking valid business justification

  • 44% of athletes with cleared deals compete outside football and men's basketball

  • Non-revenue sport athletes ARE landing deals. Don't let anyone tell you otherwise

Transfer Portal Chaos: Contract Disputes Reach Critical Mass

The transfer portal has become a legal battlefield. Here are the cases making headlines:

Demond Williams Jr. (Washington): The $4.7 Million Standoff That Shook College Football

The Setup: On January 2, 2026, Washington sophomore quarterback Demond Williams Jr. signed what was reported to be one of the most lucrative NIL deals in college footballβ€”a contract valued between $4 to $6 million for the 2026 season. Williams had just finished a stellar year, completing 69.5% of his passes for 3,065 yards with 25 touchdowns and eight interceptions, while also rushing for 611 yards and six scores. He was being positioned as a legitimate Heisman Trophy contender.

The Bombshell: Just four days later, on January 6, Williams posted on Instagram that he was entering the transfer portal, writing, "I have to do what is best for me and my future." The announcement sent shockwaves through college sports, not just because a star player was leaving, but because he had just signed a binding contract days earlier.

The timing made matters worse: Williams' announcement came on the same day as the memorial service for Washington women's soccer player Mia Hamant, who had died in November after battling kidney cancer. The optics were devastating.

The Fallout: Within hours, multiple sources confirmed that Washington had no intention of releasing Williams from his agreement. The university was prepared to pursue legal action to enforce the contract, and the Big Ten Conference was reportedly ready to support the fight. LSU emerged as the presumptive favorite to land Williams, but the legal implications made other schools hesitant.

Then came another blow: Williams' agent, Doug Hendrickson of Wasserman Football (who notably also represents Washington head coach Jedd Fisch), publicly dropped him as a client, citing "philosophical differences." The family then hired sports attorney Darren Heitner to try to find a way out of the contract.

The Reversal: After 48 hours of mounting pressure, public backlash, and the reality of potentially owing millions in damages, Williams announced on January 8 that he would remain at Washington. In his statement, he apologized for the timing of his original announcement and said he was "fully committed" to the Huskies.

Why This Matters: The Williams saga became an instant flashpoint for the enforceability of NIL contracts in the revenue-sharing era. Washington used a Big Ten-provided contract template, the same type Wisconsin used with Xavier Lucas designed to include provisions against entering the transfer portal and restricting NIL rights from being used by another school.

Sources close to the situation believe Williams simply made a "rash choice in the face of potentially life-changing money" and reversed course when he realized the consequences. As one insider put it: "I think it was the backlash and realizing you'd have to pay that money back potentially. Most people have a really hard time with people publicly criticizing them."

For athletes everywhere, the message is clear: A signed contract is a signed contract. NIL agreements may not prevent you from transferring, but they can absolutely trigger lawsuits for damages and in Williams' case, that could have meant owing back millions of dollars while simultaneously losing the deal he thought was waiting for him elsewhere.

Xavier Lucas (Wisconsin β†’ Miami): The Transfer Portal Loophole That Sparked College Football's First Tampering Lawsuit

The Background: Xavier Lucas was a four-star cornerback recruit from American Heritage High School in Pompano Beach, Florida, from one of the most prestigious high school football programs in the country. In the 2024 recruiting cycle, Miami badly wanted the 6'2", 198-pound corner to stay home and play for the Hurricanes. As a true freshman in 2024, Lucas immediately showcased why he was so highly coveted.

The Contract: On December 2, 2024, Lucas signed what Wisconsin describes as a "binding two-year NIL agreement" with the university and its NIL collective, VC Connect. The deal was structured to bridge the gap until the House v. NCAA settlement took effect on July 1, 2025, when schools could legally share revenue directly with athletes.

According to court documents, Lucas received a "substantial payment" from the collective on the same day he signed, described as one of the highest payments among Wisconsin football players. The contract reportedly granted Wisconsin "exclusive license" to Lucas' NIL rights for two years and prohibited him from playing for another school during that period.

By all accounts, Lucas appeared fully committed. He texted a Wisconsin coach on December 17 about the jersey number he wanted for the 2025 season.

The Shock: Later that same day, December 17, 2024, Lucas "shocked and surprised" the coaching staff by informing his position coach he intended to enter the transfer portal.

Lucas' attorney, Darren Heitner (the same lawyer who represents both Demond Williams Jr. and Damon Wilson II), said the decision was driven by personal circumstances: Lucas' father had suffered a "serious, life-threatening illness" while the player was home in Florida for the holidays. Lucas wanted to be closer to his family.

Wisconsin wasn't buying it. The school believed something else was happening behind the scenes.

Wisconsin Refuses the Portal: Here's where the case became unprecedented: Wisconsin refused to enter Lucas into the transfer portal.

NCAA bylaws require schools to submit a player's name to the portal within two business days of their request. But Wisconsin argued that Lucas had signed a binding two-year contract just two weeks earlier, making the portal request "inconsistent with the representations and mutual understanding of the agreement."

Heitner fired back, calling Wisconsin's refusal "disgusting, illegal, and crushing for recruiting." He accused the school of holding Lucas "hostage" and declared that "Lucas owes Wisconsin NOTHING."

The Loophole: Lucas and his representatives found a creative workaround: you don't need to be in the transfer portal to transfer. The portal is just a notification systemβ€”a database that alerts other schools a player is available.

In January 2025, Lucas simply withdrew from Wisconsin, unenrolled from classes, and enrolled directly at the University of Miami. He was initially registered for the fall 2025 semester but was reclassified to begin in the spring, allowing him to participate in spring football activities with the Hurricanes.

The transfer portal had been circumvented entirely.

The Tampering Allegations: Wisconsin believed this couldn't have happened without Miami's involvement. In June 2025, the university and its NIL collective filed a 23-page lawsuit against the University of Miami in Wisconsin's Circuit Court in Dane County, the first public legal challenge involving a player leaving a school while under a revenue-share agreement.

The lawsuit makes explosive allegations:

  • Home Visit: Wisconsin claims that in December 2024, a Miami coach and a "prominent" Hurricanes alumnus visited Lucas' family home in Florida and made a compensation commitment "including financial terms more lucrative than those included in the contracts" with Wisconsin.

  • Multiple Impermissible Contacts: The filing alleges "on multiple occasions after December 2, 2024, and continuing into January 2025, Miami had impermissible contacts with [Lucas] and his representatives."

  • Pattern of Behavior: Perhaps most damaging, Wisconsin claims Miami "tried to tamper with another athlete at a different Division I school in late 2024 despite the player's 'written commitment' and transfer portal decision", suggesting this wasn't an isolated incident.

Wisconsin is seeking unspecified monetary damages and "a declaration that Miami's conduct directed towards Student-Athlete A constituted tampering."

The Defense: Heitner has flatly denied the tampering allegations, calling them "false." He maintains that Lucas hasn't received any money from Wisconsin and therefore owes the school nothing. Lucas, he says, independently chose to enroll at Miami, there was no improper inducement.

As for the contract itself, Heitner argues Wisconsin violated NCAA bylaws by refusing to enter Lucas into the portal, effectively nullifying any obligation on Lucas' part.

The Big Ten Joins the Fight: This isn't just Wisconsin versus Miami. The Big Ten Conference issued a statement supporting the Badgers' lawsuit:

"The Big Ten Conference is aware of the litigation recently filed by the University of Wisconsin-Madison against the University of Miami and is in support of UW-Madison's position. As alleged, the University of Miami knowingly ignored contractual obligations and disregarded the principle of competitive equity that is fundamental to collegiate athletics."

Meanwhile, Lucas Plays On: While the lawsuit works its way through the courts, Lucas has been suiting up for Miami and thriving. He became exactly the lockdown corner Miami hoped he would be when they recruited him out of high school.

In the semifinal against Ole Miss, Lucas was called for a targeting penalty that resulted in a first-half suspension for the championship game.

Why This Case Matters: The Lucas lawsuit is being watched across college athletics because it tests fundamental questions that the House v. NCAA settlement left unanswered:

  • Are NIL/revenue-share contracts enforceable? If Miami is found liable, it establishes that schools can sue each other for tampering creating NFL-style consequences for poaching players under contract.

  • Can schools refuse portal entry? Wisconsin's decision to ignore NCAA bylaws and refuse Lucas' portal request is itself controversial. Did that breach justify Lucas finding another path out?

  • What constitutes tampering? In a world where players can transfer freely and NIL deals are negotiated openly, where is the line between recruiting and illegal inducement?

  • What are the penalties? In the NFL, the Miami Dolphins lost a first-round draft pick and were fined $1.5 million for tampering with Tom Brady. College sports has no equivalent enforcement mechanismβ€”yet. This case could establish one.

The Irony: Miami is now collecting former players entangled in NIL lawsuits. In addition to Lucas, the Hurricanes just signed Damon Wilson II, who is being sued by Georgia for $390,000 and has countersued.

If schools want to sue Miami for building their roster, they may need to get in line.

Current Status: The Wisconsin v. Miami lawsuit remains pending. No trial date has been set. Lucas continues to be enrolled at Miami and is expected to return for the 2026 season. The case could take months or years to resolve, but its outcome will shape how NIL contracts and tampering are handled across college sports.

Damon Wilson II (Georgia β†’ Missouri β†’ Miami): The $390,000 Lawsuit That Could Reshape NIL Forever

The Background: Damon Wilson II was a four-star recruit out of Venice High School in Florida who played two seasons at Georgia (2023-2024). While he showed promise as a young edge rusher, he was never a full-time starter for the Bulldogs, recording just three sacks in a part-time role during his sophomore year. But his potential was undeniable, and Georgia wanted to keep him.

The Deal: On December 21, 2024, Wilson signed what Georgia describes as a 13-14 month NIL agreement with the Classic City Collective (CCC), Georgia's primary NIL collective at the time. The deal was reportedly worth $500,000, to be paid in monthly $30,000 installments, plus two $40,000 retention bonuses at the end of transfer portal windows. Wilson received an initial $30,000 payment, which Georgia says activated the contract.

The Departure: On January 6, 2025, just weeks after signing the deal and days after playing in Georgia's College Football Playoff Sugar Bowl loss to Notre Dame, Wilson announced he was entering the transfer portal. He withdrew from Georgia and transferred to Missouri.

The Breakout: At Missouri, Wilson finally got his chance to shine as a full-time starter. He delivered a dominant 2025 season, recording a team-high nine sacks, 54 QB pressures, and an interception. He earned Second Team All-SEC honors and became the No. 3 overall prospect and top-ranked edge rusher in the 2025 transfer portal cycle. NFL scouts began projecting him as a potential first or second-round draft pick.

Georgia Strikes Back: In early December 2025, the University of Georgia Athletic Association (UGAA) filed a lawsuit against Wilson in Athens-Clarke County (Georgia) Superior Court. Georgia seeks $390,000 in liquidated damages, claiming Wilson breached his NIL contract by entering the transfer portal.

Georgia's position is straightforward: Wilson signed a binding agreement, accepted payment, and then broke the deal. Under the contract's liquidated damages clause, he owes the remaining value of what he would have received had he stayed through January 2026.

"When the University of Georgia Athletic Association enters binding agreements with student-athletes, we honor our commitments and expect student-athletes to do the same," Georgia spokesperson Steven Drummond said.

Wilson Fires Back: On December 23, 2025, Wilson's legal team filed a 42-page countersuit in Boone County (Missouri) Circuit Court, a potentially friendlier jurisdiction than Georgia courts. The countersuit makes explosive allegations:

  • No Binding Contract Exists: Wilson's attorneys argue he only signed a "term sheet"β€”a preliminary document meant to precede a full agreement that was never executed. "The term sheet itself makes clear that it is not an enforceable contract," the filing states. "CCC failed even to present Wilson what it promised a 'full License and Option Agreement.'"

  • Pressured Into Signing: Wilson claims he was "strong-armed" into signing the term sheet without legal counsel present while he was preparing for the College Football Playoff (hardly the conditions for informed consent on a half-million-dollar deal).

  • Sabotage Campaign: The most damaging allegation: Wilson claims Georgia employees "falsely told at least three programs" that if they signed Wilson, he would be subject to a $1.2 million buyout, three times the actual liquidated damages figure. Wilson says this was a deliberate attempt to harm his transfer prospects and punish him for leaving.

  • Defamation: Wilson's complaint argues that Georgia's public statements about the dispute, including Drummond's official comment were intended to damage his reputation.

The Legal Stakes: This case is being watched across college football because it tests fundamental questions about NIL contracts:

  • Are "term sheets" enforceable contracts? If Wilson wins, schools may need to formalize their NIL agreements more carefully.

  • Are liquidated damages clauses enforceable? Legal experts who reviewed the contract for ESPN said schools are "inappropriately attempting to use liquidated damages provisions as penalties" rather than reasonable estimates of actual harm.

  • Can schools interfere with transfers? If Wilson proves Georgia told other schools inflated buyout figures, it could expose the university to significant tortious interference liability.

Wilson's attorney Jeff Jensen put it bluntly: "Georgia appears intent on making an example of someone, they just picked the wrong person. Damon never had a contract with them. I don't see how Georgia thinks intimidation and litigation will help their recruitment efforts… maybe players could bring lawyers with them to practice."

The Latest Twist: Despite the unresolved lawsuits, Wilson entered the transfer portal again after the 2025 season. After taking visits to Texas Tech and LSU, he announced on January 22, 2026, that he's transferring to Miami, the same program currently being sued by Wisconsin over Xavier Lucas.

The Hurricanes, who lost to Indiana in the CFP Championship Game, are getting a proven pass rusher to replace NFL-bound Rueben Bain Jr. and Akheem Mesidor. But they're also inheriting a player entangled in litigation that could drag on for months or years.

Why This Matters: The Wilson case could become the landmark decision for NIL contract enforcement. As one prominent athletic director told ESPN about these disputes: "This is one of the big moments in college football… or really, college sports."

If Georgia wins, schools will have confirmation that liquidated damages clauses are enforceable, thus giving them powerful tools to discourage transfers. If Wilson wins, it could expose the weakness of hastily-drafted NIL agreements and embolden players to challenge buyout provisions they consider punitive.

Either way, one thing is clear: the era of handshake deals is over. Every NIL agreement is now potential courtroom evidence.

Lessons for Athletes: What These Cases Teach Us

These three disputes: involving a quarterback who reversed course, a cornerback who found a loophole, and an edge rusher fighting back in court - offer critical guidance for any athlete navigating NIL deals:

Before You Sign:

  • Never sign anything without independent legal counsel, especially during high-pressure moments like playoff preparation or recruiting visits

  • Understand the difference between a "term sheet" and a binding contractβ€”get clarity in writing

  • Know your liquidated damages exposure before you sign, not after you want to leave

  • Ask specifically: What happens if I want to transfer? What do I owe? What can't I do?

Understand the Stakes:

  • A signed contract is a signed contractβ€”NIL agreements may not physically prevent you from transferring, but they can trigger lawsuits for damages worth hundreds of thousands or millions of dollars

  • Geography doesn't guarantee escapeβ€”Lucas thought going home to Florida would be simple; instead, he became the center of a landmark lawsuit

  • The lawsuit doesn't stop you from playing (Lucas started every game for Miami's CFP run), but the legal and financial consequences can follow you for years

Protect Yourself:

  • Document everything, if a school misrepresents your buyout to other programs, you'll need proof

  • Having an experienced NIL attorney isn't optional anymore; it's essential

  • Be especially cautious about signing during emotionally charged moments (playoff prep, family visits, recruiting weekends)

The Bigger Picture: The era of handshake deals is over. Every NIL agreement is now potential courtroom evidence. Schools are using contract templates specifically designed to discourage transfers and enforce financial penalties. Whether you're a five-star recruit or a developmental player hoping to break out elsewhere, the contract you sign today could determine your optionsβ€”and your bank accountβ€”for years to come.

⚠️ Warning: NIL agreements cannot prevent you from transferring: schools acquire the right to use your NIL, not the right to your athletic services. However, breaching contract terms can result in lawsuits for damages. Read every contract carefully and understand your obligations BEFORE signing.

High School NIL: The Movement Continues

Mississippi State Rep. Jeffery Harness introduced HB 1400 this week, aiming to allow high school student-athletes to earn NIL compensation. Mississippi joins a growing wave of states recognizing that the NIL revolution can't be contained to college campuses.

The Current Landscape: Over 40 states now permit some form of high school NIL. Texas recently approved deals for seniors 17 and older (with payment deferred until college enrollment). Only Alabama, Indiana, Michigan, Ohio, and Hawaii continue to prohibit high school NIL entirely.

🧠 Coach's Corner: High school athletes in NIL-restricted states aren't powerless. Focus on building your personal brand NOW through social media, community engagement, and authentic storytelling. The moment you enroll in college, or your state changes its laws, you'll be ready to capitalize.

Revenue Sharing: The New Floor, Not the Ceiling

The House v. NCAA settlement allows Division I schools to distribute up to $20.5 million annually to athletes through revenue sharing. But here's what many miss: this is just the baseline.

Top college football rosters now cost $25+ million to assemble, with the gap filled by third-party NIL deals from collectives. Indiana's national championship run and Vanderbilt's surprising competitiveness both demonstrate that strategic NIL allocation, not just total spending, determines success.

The Parity Effect: Contrary to predictions that NIL would cement blue-blood dominance, it's actually creating more competitive balance. Mid-tier programs with smart strategies are competing for talent that was previously out of reach.

🧭 Navigator Truth: When evaluating schools, don't just ask about NIL budget size: ask about infrastructure, collective relationships, and track record for athletes in YOUR position and sport. A well-organized $15 million program may serve you better than a chaotic $25 million one.

Federal Enforcement Intensifies: FTC Launches University Inquiry

The Federal Trade Commission has launched a formal inquiry into 20 universities regarding sports agents' compliance with student-athlete protection laws. This marks the first major federal intervention since NIL began in 2021.

Meanwhile, the CSC continues targeting deals that "warehouse" athlete rights without legitimate activation. The LSU quarterback guarantee controversy, a reported $3.5 million deal through multimedia rights partner Playfly Sports, exemplifies the tension between legitimate NIL and what regulators view as disguised recruiting inducements.

The message is clear: the compliance environment is tightening, and athletes who document everything and work with professionals will be protected when others face consequences.

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Your Action Items This Week

βœ… Review your current deals for red flags, compliance risks, and contract terms you may have forgotten

βœ… Document everything every post, appearance, and service you provide in exchange for NIL compensation

βœ… Research legislative developments in your state and at the federal level

βœ… Diversify your NIL portfolio across multiple partners and revenue streams

βœ… Build your brand authentically it transcends institutional arrangements and survives regulatory changes

The Final Whistle

We're in year five of the NIL era, and one thing is certain: the landscape will keep evolving faster than most can adapt.

Contract disputes are heading to courtrooms. Federal regulators are circling. Congress is preparing another legislative attempt. High school NIL is expanding. Revenue sharing has raised the floor while third-party deals push through the ceiling.

But here's what hasn't changed:

Your value is real.

Your brand matters.

Your opportunities exist, if you know where to look and how to protect yourself.

The athletes who will thrive are those who stay informed, stay strategic, and stay authentic. NIL Navigator exists to be your compass through this complexity.

Stay sharp. Stay strategic. Stay ready.

Game on, The NIL Navigator Team

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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