As of mid-2025, the regulatory and legal landscape surrounding Name, Image and Likeness (NIL) in collegiate athletics continues to evolve. What began as a patchwork of state laws and institutional policies has matured into a more structured—though still evolving—framework that is reshaping the collegiate sports ecosystem. Recent developments—including a landmark class-action settlement, shifting NCAA policies, the growing influence of NIL collectives and increased institutional involvement—continue to change how NIL is managed and implemented across collegiate athletics.
The House settlement: A billion-dollar turning point
In June 2025, Judge Claudia Wilken approved a class action settlement (i.e., the House settlement) that marked a historic shift in collegiate athletics and fundamentally changes how student athletes are compensated beginning this academic year.
The House settlement, involving the NCAA and the Power Five conferences (ACC, Big Ten, Big 12, Pac-12, and SEC), seeks to resolve claims related to past NIL restrictions and sets the stage for a new compensation model for collegiate athletics.
Unless amended on appeal, key components of the House settlement include:
- Revenue sharing – The member institutions of the Power Five conferences must share a portion of their athletic revenue with student athletes, subject to a revenue sharing cap estimated at $20.5 million per school for the upcoming academic year. Non-Power Five Division I institutions can choose to opt in to revenue sharing by notifying the NCAA by March 1st of each upcoming academic year. Once opted in, institutions must comply with settlement obligations, including the revenue sharing cap, roster limits and reporting requirements. Division II and Division III schools are not part of the settlement and are not eligible for revenue sharing under the House framework.
- Athletic scholarships and roster limits – For schools that opt-in, the NCAA is eliminating sport-specific scholarship limits but will impose new roster limit rules. Exemptions to the roster limit rules exist for current athletes with remaining eligibility.
