NCAA suspends NIL investigations one week after federal court ruling

One week after a U.S. District Court in Tennessee ruled in favor of the states of Tennessee and Virginia, the NCAA has paused all NIL-related investigations as they relate to the preliminary injunction ruling, the organization announced Friday.

The decision, explained by NCAA President Charlie Baker in a statement to member institutions Friday, comes after a preliminary injunction was granted in the state of Tennessee and Virginia's lawsuit against the NCAA concerning name, image and likeness rules and enforcement.

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“In response to this latest order, the Division I Board of Directors directed NCAA enforcement staff to pause and not begin investigations involving third-party participation in NIL-related activities," Baker said. "There will be no penalty for conduct that occurs consistent with the injunction while the injunction is in place.

"I agree with this decision, while the progress toward long-term solutions is underway and while we await discussions with the attorneys general. In circumstances that are less than ideal, this at least gives the membership notice of the board’s direction related to enforcement."

The latest development may come as no surprise following the NCAA’s most recent defeat in court. Last week's ruling was expected to have ripple effects across college athletics.

The state of Tennessee’s lawsuit, which was filed against the NCAA last month and spearheaded by state attorney general Jonathan Skrmetti, was a result of the organization’s alleged investigation into multiple University of Tennessee athletics programs over potential NIL rules violations.

UT's recruitment of former five-star recruit in the 2022 signing class and current sophomore quarterback Nico Iamaleava was reportedly as the center of the investigation.

The NCAA previously prohibited NIL collectives from contact with prospective student athletes before they signed and enrolled at a school. The preliminary injunction, ruled by Judge Clifton L. Corker after hearing testimony from both sides in a hearing on Feb. 13, insured an immediate restriction on the NCAA’s ability to enforce NIL rules and subsequent penalties.

"The court’s grant of a preliminary injunction against the NCAA’s illegal NIL-recruitment ban ensures the rights of student-athletes will be protected for the duration of this case, but the bigger fight continues,” Skrmetti said in a statement on Feb. 23. “We will litigate this case to the fullest extent necessary to ensure the NCAA’s monopoly cannot continue to harm Tennessee student-athletes. The NCAA is not above the law, and the law is on our side.”

With the NCAA suspending its investigations, UT isn't the only benefactor. Multiple reported investigations concerning NIL at Florida State and Florida could potentially be infected, at least while the injunction is in place.

What this could long-term remains to be seen, but it has struck a blow to the NCAA's authority over college athletics for the time being. The NCAA will likely have a decision to make on whether or not it wants to adapt to a changing landscape or go fight to maintain the status quo.

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