Sports Law and NIL Blog

More States are Allowing High School Athletes to Monetize their NIL

April 10, 2023

By: Richard Giller, Esq.

Unlike college athletics, there is no national governing body for high school sports. It’s been nearly 18-months since the National Collegiate Athletic Association adopted interim rules allowing college athletes to profit from their name, image, and likeness (NIL) without losing their eligibility, and as of April 1, 2023, 25 states allow some form of NIL monetization at the high school level. A chart of all of the states and their current position on NIL deals is set out below. As you can see, it is still unclear in Arizona, Hawaii, and Vermont if high school athletes are allowed to profit on their NIL. Interestingly, a number of traditional college football powerhouse states—like Alabama, Florida, Georgia, Michigan, Ohio and Texas—expressly prohibit NIL deals at the high school level.

The availability of NIL deals for premier high school athletes is beginning to impact the landscape of high school sports across the country, especially for those players who live and play in states that currently prohibit NIL deals. A prime example of this shift is Jada Williams, a social media influencer (with over 670,000 Instagram followers) and a star high school point guard who recently moved from her home state of Missouri (where high school NIL deals are prohibited) to California (where they are allowed) to play hoops for La Jolla Country Day high school in San Diego. She is now reportedly earning six figures from half a dozen NIL deals. There are, undoubtedly, a number of other premier high school athletes who have also moved from a state that prohibits NIL deals to a NIL friendly state in order to cash in on their name, imagine, and likeness.

In evaluating opportunities, high school athletes and their parents or guardians would be wise to beware of potential risks and consider obtaining good counsel.  Transferring in order to take advantage of NIL activity could endanger “amateurism” status at the high school level if an athlete runs afoul of state rules and regulations.  But parents should do their research. This past summer, T.A. Cunningham, a 16-year-old Georgia native and high school football star, moved to California and transferred to a high profile Southern California football powerhouse as a junior.  Enticed by an agency, he hoped to earn NIL money and eventually enter the NFL. Four games into the season, his high school, Los Alamitos, was informed by the California Interscholastic Federation (CIF) that Cunningham was deemed ineligible and would have to sit out one year. The CIF ultimately cleared his transfer following receipt of a petition for a preliminary injunction describing how the Cunningham’s got caught up in a NIL recruiting scheme. Had the CIF not ruled in Cunningham’s favor, he could have been kept off the field for an entire season, throwing a serious wrench in his college recruitment.

The college NIL world is ever changing, and ever evolving. The high school NIL world is following in those footsteps and the old Will Rogers saying that “even if you’re on the right track, you’ll get run over if you just sit there,” may reverberate loudly throughout the 22 states that currently prohibit high school athletes from profiting off of their name, image, and likeness, if they maintain their anti-competitive posture.

STATE NIL STATUS RULE
Alaska Permitted ASAA Article 8, Section 1 & 2 Article 9, Section 2
California Permitted CIF Article 20 Rule 212
Colorado Permitted CHSAA 2000.12; Amended in April 2022
Connecticut Permitted CIAC Article 12 Rule 4.5.A
District of Columbia Permitted DCSAA Part V Section H
Idaho Permitted IDHSAA Rule 8-4 & 8-5
Illinois Permitted IHSA Rule 3.083
Iowa Permitted NIL Guidance
Louisiana Permitted LHSAA Section 1.25
Maine Permitted MPA Handbook
Maryland Permitted MPSSAA Subtitle 06 Chapter 03 Section 10
Massachusetts Permitted MIAA Handbook Rule 47
Minnesota Permitted MSHSL 201.00
Nebraska Permitted NSAA Rule 3.7.1
New Hampshire Permitted NHIAA Article II Section 6
New Jersey Permitted NJSIAA
New York Permitted NYSPHSAA Rule 2.2(c)
North Dakota Permitted NDHSAA
Oregon Permitted OSAA Rule 8.4
Pennsylvania Permitted PIAA Article II Sections 1-3
Rhode Island Permitted RIIL Article I Section 19
Tennessee Permitted SCHSL Article III Section 14
Utah Permitted UHSAA Section 6

 

Kansas Limited

 

KSHSAA Rule 21
Nevada Limited NAC Rule 385B.374
Arizona Unclear ASAA Rule 15.11
Hawaii Unclear HHSAA Section 2(I)
Vermont Unclear VPA Section 2
Alabama NOT Permitted AHSAA Rule 1, Section 8
Arkansas NOT Permitted AAA Article III Eligibility Rule 10. Amateurism
Delaware NOT Permitted Del.Admin. Code Title 14 Section 2.5.1.7
Florida NOT Permitted FHSAA Rule 9.9
Georgia NOT Permitted GHSA Rule 1.90
Indiana NOT Permitted IHSAA Part II Rule 5-2
Kentucky NOT Permitted KHSAA Bylaw 10
Michigan NOT Permitted MHSAA Section VIII Part B & C
Mississippi NOT Permitted MHSAA Rule 2.39
Missouri NOT Permitted MHSAA 3.6.1 and 3.6.2
Montana NOT Permitted MHSA Article II Section 15.1, 16
New Mexico NOT Permitted NMAA Section VI Subsection 6.18
North Carolina NOT Permitted NCHSAA Rule 1.2.15(a) and (b)
Ohio NOT Permitted OHSAA Bylaws, 4-10 and 5
Oklahoma NOT Permitted OSSAA Rule 5
South Carolina NOT Permitted SCHSL Article III Section 14
South Dakota NOT Permitted SDHSAA Chapter 2 Section 6
Texas NOT Permitted State law SB 1385 Section (j) – (1) & (2)
Virginia NOT Permitted VHSL 28B-2-3
Washington NOT Permitted WIAA 18.24.0-18.24.5
West Virginia NOT Permitted WVSSAC Title 127 Section 127-2-11
Wisconsin NOT Permitted WIAA Section III.C
Wyoming NOT Permitted WHSAA Rule 5.7.1

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