Tennessee and Virginia have sued the National Collegiate Athletic Association over its rules restricting compensation for student athletes, marking the first U.S. states to enter a long-running legal fight over players' compensation rights.
The NCAA is already facing similar lawsuits from current and former athletes seeking billions of dollars in damages over curbs on compensation for their participation in competitive collegiate sports. The new case is focused on an alleged NCAA restriction against using name, image and likeness compensation opportunities as a recruiting tool.
“Student athletes should have more freedom over negotiating and earning money for their skills and ability,” Virginia Attorney General Jason Miyares, a Republican, said in a statement.
Tennessee Attorney General Jonathan Skrmetti, also a Republican, in a statement said “students shouldn’t be left behind while everybody else involved prospers.”
A spokesperson for the NCAA said the organization "remains firmly committed to protecting and expanding student-athletes’ NIL rights and opportunities." The NCAA said the states' lawsuit would diminish "protections for student-athletes from potential exploitation."
NCAA members have "steadfastly supported the prohibition on impermissible recruiting contacts, booster involvement in recruiting prospects and the use of NIL offers as recruiting inducements," the statement said.
The states have asked the court to issue a temporary restraining order by Feb. 6, the day before the signing period begins for football in the NCAA’s Division I, the highest level of college athletics.
Following a 2021 U.S. Supreme Court ruling, the NCAA began to allow current student athletes to make deals with third-party vendors that use their name, image and likeness.
The new lawsuit accused the NCAA of “trying to stop [the name, image and likeness] market from functioning,” including in the recruitment process for new students.
The legal team representing Tennessee and Virginia includes attorneys from the conservative-leaning law firm Consovoy McCarthy. The firm has represented some Republican-led states in lawsuits over regulatory and other matters.
A group of states and the U.S. Justice Department have separately sued the NCAA over restrictions it imposes on some transfer students’ eligibility to play for a team at their new school. A judge has issued an injunction temporarily pausing the curbs.
The case is State of Tennessee and Commonwealth of Virginia v. National Collegiate Athletic Association, U.S. District Court, Eastern District of Tennessee, No. 3:24-cv-00033-DCLC-JEM.
For plaintiffs: Adam Mortara of Lawfair; and Cameron Norris of Consovoy McCarthy
For NCAA: No appearance yet
Read more:
US Justice Dept, more states join lawsuit over NCAA athlete transfers
NCAA scores early win in athletes’ lawsuit over amateurism rules
NCAA faces new lawsuit over athletes' drive for compensation
US judge says NCAA athletes can pursue class actions seeking over $1.3 bln
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