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Georgia Seeks Arbitration and $390,000 From Former DE Damon Wilson Over NIL Exit Clause

The petition tests whether buyout-style liquidated damages in athlete licensing deals can be enforced in the transfer era.

Overview

  • The University of Georgia Athletic Association filed to compel Damon Wilson into arbitration to resolve a $390,000 claim tied to a liquidated-damages provision in his NIL agreement.
  • Court records show the Oct. 17 application asks a judge to appoint an arbitrator after Wilson did not respond to an Aug. 25 demand for arbitration; he was served in Missouri on Nov. 19.
  • Wilson signed a 14-month, $500,000 term sheet with Classic City Collective on Dec. 21, 2024, featuring $30,000 monthly payments and two $40,000 bonuses, with an exit clause requiring repayment of remaining base fees.
  • According to filings, Wilson received $30,000 on Dec. 24, 2024, notified Georgia of his transfer plans on Jan. 6, 2025, withdrew a week later, and moved to Missouri, where he recorded nine sacks this season.
  • Classic City assigned its rights to collect to Georgia on July 1, and legal experts say the case could shape how NIL liquidated-damages clauses are treated, with unresolved Arkansas disputes cited as comparable examples.