(09-12-2019 09:16 AM)quo vadis Wrote:  

(09-03-2019 11:52 AM)MAcFroggy Wrote:  But the players will still not be able to monetize their NIL if they want to compete in the NCAA...

This law is not even necessary. They have always been able to make money from NIL. The issue is that they will be deemed ineligible for the NCAA.

It does change one thing: It orders California universities to not sanction a student athlete who chooses to monetize their NIL. As of now, a university like UCLA can tell a quarterback "if you sign a deal to monetize your likeness in violation of the NCAA regulations, then you are kicked off the team". This law says that they can't do that any more.

So in effect, the law forces a show-down by compelling California universities to violate the NCAA regulations on pay for play. The universities can't enforce them any more, and in practice, that is how in the first instance these NCAA regulations are enforced, by the member institutions.

The one part of the law that appears to me to be null-and-void is that it enjoins the NCAA from enforcing its regulations on California universities. California can't do that, because the NCAA is a nationwide organization not under its jurisdiction.

A state can definitely enjoin an organization from outside of its state. The NCAA has members in California impacting many more student-athletes along with a whole slew of economic and administrative ties to the state. Heck, all it practically takes is for a single business dealing between the NCAA and a person in the state of California and you can establish nexus for an injunction. It's no different than other laws that California has passed that have effectively forced organizations to change their actions nationally, such as the auto emissions laws and the new data privacy law that will come into effect in January.

When push comes to shove, there aren't many nationwide entities that are going to simply stop doing business in California. We're talking about a state that would have the 5th largest economy in the world if it was its own country (with a higher GDP than even the United Kingdom and India). Let's not fool ourselves on this board - the NCAA isn't pulling out of California, just as car companies didn't pull out of California due to the emissions laws and every business that has a website (which is essentially every business everywhere) isn't going to pull out of California due to its new data privacy law. Instead, everyone adjusted to California law as opposed to the other way around. The only color that matters at the end of the day is green (not red or blue), and California has more green than anyone (which is why it has the power to effectively enact national change at the state level).