SC law regulating NIL endorsements could be suspended. What it means for college athletes
South Carolina college athletes seeking endorsement deals could be operating under a different set of rules when they get paid for their name, image and likeness.
South Carolina House members voted this week to suspend the state’s name, image and likeness law and remove the guard rails put in place as student athlete seek endorsement deals.
House members attached the provision to the budget it approved on Monday. The budget year begins on July 1.
South Carolina’s current name, image and likeness law includes guard rails barring student athletes from entering into contracts that conflict with their classes or athletic scheduling, and ban them from endorsing tobacco, illegal substances, alcohol or illegal activities.
Student-athletes also aren’t allowed to use the school’s facilities, uniforms, logos or trademarks in contracts. However, a company seeking an endorsement could work with a university to get permission to use a school’s logo.
S.C. House members voted to essentially remove those restrictions on student-athlete endorsements in the state until there are uniform national standards in place.
The one-year measure comes as the NCAA and Congress have yet to finalize uniform name, image and likeness rules across the country for how student athletes could earn money from endorsements.
Not all states have rules in place, and states such as Alabama have repealed their laws they enacted to avoid being at a recruiting disadvantage.
State Rep. Timothy McGinnis, R-Horry, who pushed for the state to pass its original name, image and likeness law, said South Carolina should repeal its state law after Congress or the NCAA put nationwide rules in place.
“I would ask everybody vote for this, otherwise you’re going to see some of the best players in the country going to schools that don’t have Clemson or South Carolina in the name,” McGinnis said.
The move would allow colleges to help facilitate endorsement deals for students, McGinnis said.
According to ESPN, the U.S. Supreme Court in a 2021 ruling indicated the NCAA restrictions on athletes making money could face challenges in the future. The NCAA then opened the door for student athletes to enter into endorsement deals.