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Thread: OT: California Legislature Proposes Law Allowing Athletes to Make Endorsement Deals

  1. #1
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    Default OT: California Legislature Proposes Law Allowing Athletes to Make Endorsement Deals

    https://www.nytimes.com/2019/09/09/s...alifornia.html

    Skinner, who was elected to the State Senate three years ago, produced a bill that would allow college athletes in California to be paid for the use of their name, image and likeness — be they basketball stars signing their own marketing deals or water polo players advertising offers of swim lessons.

    The Fair Pay to Play Act, which Skinner wrote with Steven Bradford, a fellow Democrat in the State Senate, cleared the State Assembly on Monday by a vote of 72-0, with support from civil rights advocates and free-market proponents, including some Republicans. A version of the bill had already cleared the Senate.
    “We’re firmly against anything that would lead to a pay-for-play system,” said Larry Scott, the commissioner of the Pac-12 Conference, which has four universities in California and eight outside the state.

    Scott and other leaders in college sports — including the N.C.A.A. president, Mark Emmert, in a letter to California legislators this summer — paint a doomsday scenario for the state’s athletic teams if the bill becomes law. They say that colleges in California could be prohibited from competing for N.C.A.A. championships because they would have an unfair recruiting advantage — being able to lure athletes with the possibility of cashing in on anything from jersey sales to sponsorship deals.

    “It’s like you and I sit down to play Monopoly and I pull out a different rule book and every time I pass Go, I’m going to give myself $400 instead of $200,” said Andy Fee, the athletic director at Long Beach State. “I don’t imagine too many people are going to be willing to allow California schools to compete for N.C.A.A. championships.”
    S.B. 206 is the designation for the bill. Additional coverage of the story can be found at:

    USAToday: https://usatodayhss.com/2019/califor...ir-pay-to-play

    National Law Review: https://www.natlawreview.com/article...-moves-forward

    (Will move to Sports Talk forum in a day or two )
    Last edited by RenoZag; 09-09-2019 at 09:29 PM.

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    Right now LaVar Ball is trying to get LiAngelo re-signed with UCLA.
    Parlez-vous français?

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    Living in the Bay Area, it's been fascinating to follow this.
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    I wonder what the NCAA has to say on this...
    I also wonder if a focused kid has the time...…...

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    Quote Originally Posted by RenoZag View Post
    https://www.nytimes.com/2019/09/09/s...alifornia.html





    S.B. 206 is the designation for the bill. Additional coverage of the story can be found at:

    USAToday: https://usatodayhss.com/2019/califor...ir-pay-to-play

    National Law Review: https://www.natlawreview.com/article...-moves-forward

    (Will move to Sports Talk forum in a day or two )


    If successful, could this be the "beginning of the end"? Would other state legislators consider passing such a law?

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    I hope to see this pass everywhere.

    At the very least, kids should control their own persona. The schools are already making money off jersy sales and such, this would only allow the student to do the same.
    Whenever you find yourself on the side of the majority, it is time to pause and reflect.
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    Are there actually state laws prohibiting teenagers from signing endorsement deals? I thought this prohibition was purely an NCAA rules of membership thing.

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    Quote Originally Posted by DixieZag View Post
    I hope to see this pass everywhere.

    At the very least, kids should control their own persona. The schools are already making money off jersy sales and such, this would only allow the student to do the same.
    Every kid/recruit, high or low ranked, would be clamoring for "big city markets", just as NBA free agents often do.

    No matter your ranking, majority of recruits will be seeking exposure for these endorsement deals. The companies connecting with these kids are often located in LA, NYC, Chicago, etc.

    Easiest pathway to making $.

    Dangerous water they are treading, slippery slope on the horizon? Will be interesting how the NCAA handles this

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    Quote Originally Posted by DixieZag View Post
    I hope to see this pass everywhere.

    At the very least, kids should control their own persona. The schools are already making money off jersy sales and such, this would only allow the student to do the same.
    Quote Originally Posted by Goshzagit View Post
    Every kid/recruit, high or low ranked, would be clamoring for "big city markets", just as NBA free agents often do.

    No matter your ranking, majority of recruits will be seeking exposure for these endorsement deals. The companies connecting with these kids are often located in LA, NYC, Chicago, etc.

    Easiest pathway to making $.

    Dangerous water they are treading, slippery slope on the horizon? Will be interesting how the NCAA handles this
    How well would the front runner for the Heisman do if his O-line didn't block for him?

    What if NO-ONE ever passed the ball to Zion?

    Only sports that are not team sports would this make any sense, to me.

    I agree that no current athlete should have his image used for profit by another, and yet, they are getting an all expenses paid education AND an extreme boost up in the world post college. Even non stars have a better shot at a better job in the community after graduation.

    For team sports, and they are essentially the ones we are talking about, I am opposed. It separates the stars from the rest of the team and they are only stars because of the rest of the team.
    Hoping you have a sense of humor too!

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    I remember reading that the NCAA was concerned it would lead to California schools exclusion from participating in the NCAA

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    Quote Originally Posted by FlyZag View Post
    I remember reading that the NCAA was concerned it would lead to California schools exclusion from participating in the NCAA
    That would sure be a can of worms! LOL
    Hoping you have a sense of humor too!

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    Perhaps a compromise can be worked out, along the lines of an annual limit to which an athlete could make. Amounts over that would go into a trust account, available to the athlete upon the expiration of his/her eligibility.

    OTOH, I think it will decimate mid-majors in collegiate basketball. Just my opinion.

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    This one seems simple enough...if someone else is profiting on your persona/image then you should get paid, regardless of who you are. Doesn't matter how much scholarship you get, what sport you play, what the NCAA fallout might be...you should be the one profiting.

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    The NCAA's entire business model is based on using the entertainment and the "brand" these kids produce to make billions. Laws like this cut them out of this revenue stream and open up the possibility for negotiating a cut of revenue from media or at events where the player's name, image and likeness are used. They will fight like crazy to fight these laws.

    Can you imagine if Zion could of negotiated a cut of ad buys or merchandise sales when he played? He would of been a rich man before even being drafted.

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    Quote Originally Posted by TexasZagFan View Post
    Perhaps a compromise can be worked out, along the lines of an annual limit to which an athlete could make. Amounts over that would go into a trust account, available to the athlete upon the expiration of his/her eligibility.

    OTOH, I think it will decimate mid-majors in collegiate basketball. Just my opinion.
    JMHO... if the school uses the likeness of a student or sells his/her jersey... they should get a cut of the action. I am opposed to full-on endorsements because it would destroy all sports completely. As was stated earlier... all the good players will go to big schools in big markets to cash in on major endorsements... it would be worse than the current college football setup which is already grossly unfair. Let's be realistic... there are about 6 teams that vie for the title year after year. Michigan, ND, Alabama, Ohio State, Auburn, and LSU... all others make a sporting shot at it but most major players are going to one of those 6.

    This bill is basically will kill college sports for most students. They may THINK it is going to help the students... but the reality is... most smaller schools will see it is a net loss to even have sports. Sports will only exist on campuses with major financial resources.
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    Quote Originally Posted by Gonzdb8 View Post
    This one seems simple enough...if someone else is profiting on your persona/image then you should get paid, regardless of who you are. Doesn't matter how much scholarship you get, what sport you play, what the NCAA fallout might be...you should be the one profiting.
    seems simple, but it's not. Pandoras box. This would POTENTIALLY threaten to eliminate the "amateurism" rule. I like the idea of the trust fund, but somehow I think that violates the CA law, because it requires special mandates that other students/people don't have to go through. I see super shady things in the future if/when this happens. Remember SMU football in the 80s? Think of the "recruiting" ... Billionaire alumni (Oregon, Oklahoma state, Arkansas) paying recruits $$$$ for PR work. Come sign autographs at my car dealer son.. here's $100k for your afternoon of work.. oh and sign this here letter of intent.

    If the NFL, NBA and MLB all agree to take kids straight out of HS... it would help... but it wouldn't prevent it.

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    Top ranked high school players already go to the top programs, allowing endorsements wouldn't change that. Gonzaga still would have recruited Hachimura and Clarke on last year's team. Recruiting would still be important. The top guys on the Zags would get big endorsements, the rest would be able to make some money locally, perhaps more than any other school, through local endorsements.

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    Quote Originally Posted by CB4 View Post
    Top ranked high school players already go to the top programs, allowing endorsements wouldn't change that. Gonzaga still would have recruited Hachimura and Clarke on last year's team. Recruiting would still be important. The top guys on the Zags would get big endorsements, the rest would be able to make some money locally, perhaps more than any other school, through local endorsements.
    how do you limit compensation to just endorsements? and how do you define endorsement? Is appearing at a local business for a photo shoot considered an endorsement?

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    Quote Originally Posted by FlyZag View Post
    how do you limit compensation to just endorsements? and how do you define endorsement? Is appearing at a local business for a photo shoot considered an endorsement?
    In terms of what is limited, first of all the school would not be required to pay a salary or wages to the players - they're not employees so nothing changes in that regard.

    Endorsements are any outside trade of money for the players endorsement of a product ranging from Nike shoes to car dealerships to Ramen noodles.

    Things like whether the students should be allowed to get a cut of revenue from jersey sales or school related revenue isn't an endorsement issue but a revenue sharing issues.

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    you're right....if this goes thru it will just reinforce the power of the big city/big university's ability to pull in star players......the advertising bucks available in Spokane vs Seattle or LA or Chicago or NYC pale in comparison...

    why are they playing this game? college is about education, not making big money for its athletes.....is college tuition and books and room and board and a stipend plus the ability to be on a national showcase not good enough anymore....

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    Good to see the California legislature focusing on the really big issues as usual. Is there an escape hatch somewhere in this place?

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    Quote Originally Posted by Gonzdb8 View Post
    This one seems simple enough...if someone else is profiting on your persona/image then you should get paid, regardless of who you are. Doesn't matter how much scholarship you get, what sport you play, what the NCAA fallout might be...you should be the one profiting.
    How does one monetize the persons draw power versus the institutional draw power for jerseys for example?
    Could a university forbid names on jerseys? If so how do you monetize a jersey number if other players have worn that number in past

    Don’t like the current process and you think your name is valued in marketing world go play overseas. G league or others and feel free to market your image or name
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    This place be an ongoing topic for the next two months till tip-off. I predict this top is worth 500000 posts. 6 weeks till we rip off.

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    Quote Originally Posted by FlyZag View Post
    I remember reading that the NCAA was concerned it would lead to California schools exclusion from participating in the NCAA
    That wouldn’t be much different than it is already

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    Quote Originally Posted by JPtheBeasta View Post
    That wouldn’t be much different than it is already
    You noticed that, too?

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