Slightly OT - idea I had about linking NIL and Portal to our (NU) advantage

[phatcat_rivals223240]

Let's start with the presumption that NU has or will develop a meaningful NIL program. Further, let's agree that we'd like the Portal to be a net benefit to us. My idea isn't unique to NU, but, if conducted properly and legally, could level the field for us. Have the NIL money be part of something like a deferred comp program or have a claw-back provision. Or a vesting option like some 401ks. I'm not an attorney but know a bit about contracts. So you work out with the recruit/incoming transfer that they will get a meaningful percentage of the NIL money upfront. Then the amounts continue as long as you are there, but if you leave, they are stopped/not vested/clawed back. Depending on the individual, perhaps you renew it annually or perhaps it is a 4 year plan.

The main idea is to contractually have the money for them, and for it be lucrative to stay. Of course, the pittance that we would put forward wouldn't hold a candle to Texas dropping a seven figure bomb on them, but more generally, you would be able to keep guys like McGowan or Leota that aren't going to command such deals.

 

[bringbacktherantboard]

I thought NIL money comes from third parties. Is NU even allowed to play any part in organizing NIL payments?

 

[Bweiny]

The state laws are universally written to prevent upfront inducive payments with the benefit of clawback provisions to coerce the player to stay. All you can do is provide bonuses and continued compensation for staying or reaching certain thresholds, but you cannot make the player a prisoner of compensation already provided.

 

[phatcat_rivals223240]

The state laws are universally written to prevent upfront inducive payments with the benefit of clawback provisions to coerce the player to stay. All you can do is provide bonuses and continued compensation for staying or reaching certain thresholds, but you cannot make the player a prisoner of compensation already provided.

what about vesting? 25/50/75/100 or whatever?

re: Feral, right it is 3rd parties, I do not know if NU would be allowed to have ground rules - 'you pay what you want, but it needs to be according to this time schedule'.

Don't know. Just speculating on what works in the private sector, imperfectly. Incentive to stay.

 

[Bweiny]

what about vesting? 25/50/75/100 or whatever?

Don't know. Just speculating on what works in the private sector, imperfectly. Incentive to stay.

You could probably achieve the desired result through deals that mature with experience, but the market price for the player would rise among competitors the more proven they are at the same time. So Blue Chip X might still outbid NU's deferred comp.

 

[Sheffielder]

Long-term, I will be very interested to see if NU leverages its resources and smarts to make us competitive with respect to NIL opportunities, or if we tend to lean away from it. I believe we will see a divide over the next 10-15 years that will possibly/probably lead to the demise of the NCAA.

 

[AdamOnFirst]

NIL contracts cannot be tied in any way to field performance (ie statistical production, snap count, starting, etc) and cannot be directly tied to recruiting inducement, so no, you can't have any of these vesting clauses.

The best way to do this would be to simply have opt outs so the NIL providers can pull the money if they leave. There are obviously a million ways to make NILs inducements without them directly being an inducement. Calling a recruit's agent and saying "oh hey, we wanted to start forming a relationship now because, you know, we really like to advertise with NU offensive linemen and actually all the linemen on the team have a $50k contract as it happens, so we thought we'd get in touch": maybe/probably not inducement. Calling a recruit's agent and saying "we'll give you $50k a year on Sep 1 every year you're on the NU roster" probably inducement.

Exactly where that line is will be interesting.

 

[Kawacko71]

It's a quagmire look at what has been proposed at Texas, I think it is a disaster for college sports.

 

[StreamCat]

“3rd parties” sounds like money laundering.

 

[Gladeskat]

It's a quagmire look at what has been proposed at Texas, I think it is a disaster for college sports.

Imagine the love the team will receive from the rest of the student body paying full freight for an NU degree. NU students bitched about full-ride athletic scholarships 45 years ago when they really weren't worth nearly as much as they are now.

 

[AdamOnFirst]

Imagine the love the team will receive from the rest of the student body paying full freight for an NU degree. NU students bitched about full-ride athletic scholarships 45 years ago when they really weren't worth nearly as much as they are now.

Lol, what kind of idiot students complained about atheletes getting scholarships?

Actually… don’t answer that. Students have proven they’ll complain about all sorts of ridiculous things. I recall thinking that north campus not having a 24-7 cafe on campus (until Morty heroically opened the late night dining hall) was an affront to basic human rights.