[lex24]

1701796673[/url]']
IMO the University directly paying players to participate in athletics unquestionably would make them employees of the University. It  would end any pretense that they are amateurs. It in no way could be connected to their "name, image, or likeness". It would be pay for service, period. I am sure the IRS and the State of California would see it that way.

The follow-on consequences would be "interesting". How long would athletic departments remain tax exempt, and would subsidizing sports that don't make money be an allowable cost of doing business? How does that fit with Title IX requirements? What if compensation was deferred and you had to "vest" by remaining "employed"? How does the portal work then :-). IMO, too ugly to contemplate.

First, I disagree. They’re not being paid for their services. They’re being compensated for the universities use of their name and likeness. It’s no different than if Stanford started marketing using Reese Witherspoon. She’d be entitled to be paid for the use of her name and likeness. Doesn’t make her an employee.

Second, even if I’m wrong – which is quite possible- the power five conferences will have scores of lawyers analyzing this. No way they’re going to go that route if there’s even a colorable claim that this turns the athletes into employees.

[lex24]

1701796673[/url]']
IMO the University directly paying players to participate in athletics unquestionably would make them employees of the University. It  would end any pretense that they are amateurs. It in no way could be connected to their "name, image, or likeness". It would be pay for service, period. I am sure the IRS and the State of California would see it that way.

The follow-on consequences would be "interesting". How long would athletic departments remain tax exempt, and would subsidizing sports that don't make money be an allowable cost of doing business? How does that fit with Title IX requirements? What if compensation was deferred and you had to "vest" by remaining "employed"? How does the portal work then :-). IMO, too ugly to contemplate.

First, I disagree. They’re not being paid for their services. They’re being compensated for the universities use of their name and likeness. It’s no different than if Stanford started marketing using Reese Witherspoon. She’d be entitled to be paid for the use of her name and likeness. Doesn’t make her an employee.

Second, even if I’m wrong – which is quite possible- the power five conferences will have scores of lawyers analyzing this. No way they’re going to go that route if there’s even a colorable claim that this turns the athletes into employees.