Lawmaker pushes back against NCAA overreach

LANSING, Mich., June 16, 2025 — State Rep. Joe Tate (D-Detroit) introduced House Bill 4643 recently to safeguard the rights of college athletes in Michigan to earn compensation for the use of their name, image and likeness (NIL) — free from undue interference by universities or athletic governing bodies.

“Student athletes deserve the same basic rights as any other student — the ability to profit from their own talent, image and effort,” said Tate, a former Division I student-athlete. “I’ve lived the student-athlete experience. I know the dedication, sacrifices and challenges that come with balancing academics, athletics and personal growth. My legislation guarantees student athletes can pursue those opportunities without fear of punishment from their schools or sports organizations.”

HB 4643 ensures that postsecondary educational institutions and athletic organizations cannot prevent student athletes from receiving compensation for their NIL rights. The bill also prohibits penalties, restrictions or retaliatory actions against athletes, agents, institutions or third parties engaging in legal NIL activities. 

“This policy to amend the current NIL law allows all universities in the state of Michigan to provide maximum financial opportunities for their student-athletes without any artificial cap placed on compensation. In addition, it gives these institutions the opportunity to compete at the highest level nationally,” said Dr. Thomas Dieters, Board President of Charitable Gift America (CGA). 

The CGA has written more than 1,000 NIL contracts with students across the state over the past four years.

The legislation comes on the heels of a major national legal development: On Friday, June 6, U.S. District Judge Claudia Wilken approved a $2.8 billion class-action settlement in House v. NCAA. While this landmark decision ends one chapter of NCAA control over athlete compensation, it introduces new bureaucratic hurdles and raises serious concerns about fairness and transparency. 

“Representative Tate’s legislation provides robust protections and freedoms for Michigan college athletes to earn NIL money from their institutions, NIL collectives and other third parties. It creates key standards for athlete agents to protect athletes from bad and negligent actors while ensuring transparency in NIL contracts for all parties. We are grateful to Representative Tate for his continued leadership.” said Ramogi Huma, Executive Director for the National College Players Association.

At its core, the bill recognizes NIL as a matter of economic fairness. While universities and athletic programs generate millions in revenue, the athletes themselves often receive nothing beyond scholarships. This legislation works to ensure that those contributing to that success are not shut out of the economic opportunities they help create.

“As athletes, we want to maximize our market value without having to be concerned about falling under a cap. Only about one percent of athletes will ever play in college, and a fraction of those will play professionally. While it is always the goal to play at the next level, we need to ensure that we are setting ourselves up for success when our playing days are over,” said Buru Naivalurua, a member of the men’s basketball team at Oakland University.

“This gives Michigan the chance to be a leader in college athletics. By removing the cap, the state is saying it believes in its student-athletes and wants to create an environment where we can thrive. That kind of support attracts talented athletes who want to be part of something special, which makes our programs stronger,” said Joseph Dzierwa, Big Ten baseball pitcher of the year this spring at MSU.

The proposed bill would:

  • Prohibit colleges and universities from enforcing any rule that limits a student’s right to earn NIL compensation.
  • Ban athletic associations or conferences from retaliating against athletes, agents, institutions or third parties involved in NIL agreements.
  • Challenge the legality of third-party NIL approval processes that limit market-based compensation.

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