Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
College Athletes Could Have a Case for Being Compensated
Author: Scarinci Hollenbeck, LLC
Date: February 10, 2014
Key Contacts
Back
One of the biggest topics of conversation in college athletics in recent years pertains to player compensation.
Should college athletes that help bring in millions of dollars to their universities be paid for play? If so, how much?
There has yet to be much movement on this issue, as the NCAA hasn’t shown any signs that it is willing to change the rule. However, that could change in the near future, as a group of athletes at Northwestern University recently began the process of unionization, according to ESPN Outside the Lines. A petition was filed with the National Labor Relations Board and was backed by the United Steelworkers Union.
The main reason college athletes argue that they should be compensated for their play is because major sports bring in millions of dollars, while players put their health on the line before they are able to turn professional. According to USA Today, the University of Texas athletic program brought in a total revenue of more than $160 million in 2012.
Draft Eligibility
This may not be a significant issue if NCAA rules didn’t prevent athletes from turning professional whenever they please. It is different for every sport, but most restrict draft eligibility.
For example, football players must be three years removed from high school before becoming eligible for the draft. Meanwhile, basketball players have to spend a year after high school playing in college or overseas before being able to play in the NBA. Baseball players can be drafted out of high school, but if they forgo that decision, they have to stay in school through their junior year.
By restricting draft eligibility, players are at risk of injury that could put future earnings in jeopardy, which is one of the biggest reasons why many people support compensating college athletes with more than an academic scholarship.
- Industries: Entertainment & Media
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
Supreme Court and Title VII: Implications for Reverse Discrimination
Earlier this month, the U.S. Supreme Court issued a decision in Ames v. Ohio Department of Youth Services vitiating the so-called “background circumstances” test required by half of federal circuit courts.1 The background circumstances test required majority group plaintiffs pleading discrimination under Title VII of the Civil Rights Act to meet a heightened pleading standard […]
Author: Matthew F. Mimnaugh
SPACs Are Back, What You Need to Know
Special purpose acquisition companies (better known as SPACs) appear to be making a comeback. SPAC offerings for 2025 have already nearly surpassed last year’s totals, with additional transactions in the pipeline. SPACs last experienced a boom between 2020–2021, with approximately 600 U.S. companies raising a record $163 billion in 2021. Notable companies that went public […]
Author: Dan Brecher
Short Form Merger: Streamlining the Process for Businesses
Merging two companies is a complex legal and business transaction. A short form merger, in which an acquiring company merges with a subsidiary corporation, offers a more streamlined process that involves important corporate governance considerations. A short form merger, in which an acquiring company merges with a subsidiary corporation, offers a more streamlined process. However, […]
Author: Dan Brecher
Tariff Response Options for Small Businesses Facing Financial Distress
The Trump Administration’s new tariffs are having an oversized impact on small businesses, which already tend to operate on razor thin margins. Many businesses have been forced to raise prices, find new suppliers, lay off staff, and delay growth plans. For businesses facing even more dire financial circumstances, there are additional tariff response options, including […]
Author: Brian D. Spector
Common Causes of Partnership Disputes and How to Resolve Them
Business partnerships, much like marriages, function exceptionally well when partners are aligned but can become challenging when disagreements arise. Partnership disputes often stem from conflicts over business strategy, financial management, and unclear role definitions among partners. Understanding Business Partnership Conflicts Partnership conflicts place significant stress on businesses, making proactive measures essential. Partnerships should establish detailed […]
Author: Christopher D. Warren
Businesses Are Facing Financial Headwinds—A Practical Guide
*** The original article was featured on Bloomberg Tax, April 28, 2025 — As a tax attorney who spends much of my time helping people and companies who have large, unresolved issues with the IRS or one or more state tax departments, it often occurs to me that the best service that I can provide […]
Author: Scott H. Novak
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.