California Defies NCAA, Will Allow College Athletes to Make Money

The state is the first to allow college athletes to profit from endorsements

California Lawmakers Pass Bill Allowing NCAA Athletes to Sign Endorsement Deals
USC and Stanford at the line of scrimmage during a college football game. (Brian Rothmuller/Icon Sportswire via Getty)
Icon Sportswire via Getty Images

California Gov. Gavin Newsom announced Monday (Sept. 30) that he has signed the Fair to Play Act, which will allow college athletes in the state to hire agents and make money from endorsements or other uses of their names, images and likenesses. The state is the first to pass such a law, which could change the landscape of amateur sports.

Newsom signed the law, which will take effect on Jan. 1, 2023, against the wishes of the NCAA Board of Governors, who asked him to veto it because it would “would erase the critical distinction between college and professional athletes.” But Newsom told the New York Times he felt the time had come to stand up for student athletes — even if it means a potential legal battle with the NCAA.

“People said, ‘You know what, we’ve got to force their hands,’” he said. “They’re not going to do the right thing on their own. They only do the right thing when they’re sued or they’re forced to do the right thing.”

The move could result in schools like the University of Southern California, UCLA and Stanford being banned from NCAA competition. However, the organization announced in May that it was putting together a committee to look into other ways student athletes could potentially make money. Their report is expected to be released in October.

“People are just so aware of the fact that you’ve got a multibillion-dollar industry that, let’s set aside scholarships, basically denies compensation to the very talent, the very work that produces that revenue,” Senator Nancy Skinner said. “Students who love their sport and are committed to continuing their sport in college are handicapped in so many ways, and it’s all due to NCAA rules.”

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Bonnie Stiernberg

Bonnie Stiernberg

Bonnie Stiernberg is InsideHook’s Managing Editor. She was Music Editor at Paste Magazine for seven years, and she has written about music and pop culture for Rolling Stone, Glamour, Billboard, Vice and more.
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