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Judge Approves $2.8 Billion Settlement Clearing Way for Direct Athlete Pay

Schools begin capped revenue sharing on July 1 under oversight from the College Sports Commission

The NCAA regulates athletic programs of many colleges and universities II
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Overview

  • The agreement earmarks $2.7 billion in back payments to former athletes as part of the overall $2.8 billion settlement resolving the House v. NCAA suit.
  • Annual revenue sharing lets each school distribute up to $20.5 million to current athletes, with the cap rising at least 4 percent annually.
  • The new College Sports Commission will enforce NIL deals over $600 and monitor compliance through a Deloitte-run clearinghouse.
  • Traditional athletic scholarships are replaced by an equivalency model with roster limits across all sports starting in the 2025–26 academic year.
  • Title IX compliance concerns and unresolved questions over classifying athletes as employees could trigger further legal challenges despite NCAA efforts for federal antitrust protection.