The House Settlement: A Turning Point for NCAA, NIL, & What It Means for Storrs Central

What is the NCAA’s ‘House Settlement’?

• Former athlete Grant House sued the NCAA in 2020 for not being able to earn Name, Image, and Likeness (NIL) compensation when he was in college, seeking damages from the NCAA in a class action lawsuit.
• It has no connection to the US House of Representatives, just a former NCAA swimmer’s last name.
• Multiple other antitrust lawsuits regarding NIL and athlete compensation were happening simultaneously, and in 2024, the NCAA agreed to bundle a few of the lawsuits together and settle with the plaintiffs.
• U.S. District Judge Claudia Wilken issued final approval for the negotiated settlement between the NCAA, the conferences, and the lawyers for the aggrieved athletes on June 6^th, 2025.

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What is Included in the House Settlement Agreement?

• The agreement forces the NCAA and its member institutions to pay approximately $2.8 billion to former players who were denied NIL back to 2016, which is as far back as the statute of limitations allows. In exchange, the NCAA receives protection from future lawsuits regarding certain aspects of NIL by the individuals receiving payment.
• This back pay is to be paid in part by the power conferences, in part by the rest of the D1 conferences, and in part by the NCAA itself. Payments to players will be made based on a formula with roughly 75% of the total money going to former football players, 15% to former men’s basketball players, 5% to former women’s basketball players, and 5% to other NCAA athletes.
• The deal includes an agreement by the NCAA to rewrite its NIL rules. A new “revenue sharing” mechanism has been created that allows schools to opt into paying current and future athletes NIL money directly. 

How Does the Revenue Sharing Work?

• Schools will be able to pay money directly to current student athletes in exchange for their NIL rights up to a total cap amount, set at approximately 22% of average power conference athletic department revenues. For the initial year, the cap will be around $20.5 million per school per year, and it will be re-calculated on an annual basis.
• Just as previous NIL deals have been negotiated between athletes and collectives, revenue sharing amounts will be negotiated individually between players and their schools. Conferences are suggesting schools follow the backpay allocation formula when divvying up their annual revenue sharing cap, but schools are free to distribute the money as they see fit. 
• However, third party “associated individuals” (aka boosters) and collective NIL deals will now be subject to an oversight entity called the College Sports Commission, a new enforcement arm for the power conferences and the NCAA.
• The NIL deals of any player that exceed $600 in totality will be audited by criteria established by the Deloitte consulting firm. The deals must be of "fair market value" and for legitimate business reasons in order to be approved. This is to prevent schools and boosters from working together to circumvent the revenue sharing cap. Deloitte has created a software portal called “NIL Go” to faciliatate this reporting.
• Deloitte will conduct a 12-point analysis to evaluate whether third-party NIL compensation from affiliated entities is in line with similarly situated deals. The assessment will use historical data from college and pro athletes, excluding roster value and recruiting incentives. Key factors include athletic performance, social media presence, market size, and brand influence to determine “fair market value”.
• NCAA sports no longer have scholarship limits, but maximum roster sizes set per sport. Basketball has a maximum roster of 15 (up from a scholarship limit of 13) and football's limit is 105. 

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How Does the House Settlement Affect Storrs Central?

• Behind-the-Scenes Access: We’ll continue to deliver exclusive, in-depth content, insider information, and special events, bringing fans closer to UConn Athletics than ever before!
• Support for Student-Athletes: All net proceeds from our initiatives will directly benefit UConn student-athletes, ensuring they have the resources they need to excel both on and off the field.
• NIL Opportunities through Storrs Central: Storrs Central will act as a dedicated marketing agency, empowering UConn athletes by facilitating new and innovative Name, Image, and Likeness (NIL) partnerships, opening doors for additional revenue streams.
• Pioneering Revenue Sharing: As the landscape of collegiate athletics continues to evolve, Storrs Central will play a vital role in shaping the future of revenue sharing, helping student-athletes thrive in this new era.