• Attention: Register today to view CanesInSight Ad-Free for 7 days.

More on NIL Super deals and NIL Collectives

Hoyacane1620

All American
Premium
Joined
Feb 3, 2018
Messages
15,926


HIGHLIGHTS

- The attorney who negotiated last week an $8 million deal between a 5-star recruit and an NIL collective believes the spending spree in the NIL space has just begun — and future deals will only get bigger.

“I believe it's just going to keep going up for sure, without a doubt,” attorney Mike Caspino said. “There will be deals and there will be larger deals than this. We’re still in our infancy here. We haven’t reached adolescence yet in our NIL lifetime.”

-Caspino represents a 5-star recruit in the Class of 2023 who signed an agreement with an NIL collective that could pay him more than $8 million before the end of his junior year as a college athlete. The player’s identity, along with the NIL collective, has remained private, but Caspino shared details of the agreement that includes an initial payout of $350,000, followed by monthly payments that could pay him more than $8 million by the end of the player's junior year in college.

- Caspino said he jumped into the NIL realm when his sons’ friends began inquiring about NIL deals as athletes. The Newport Beach, California native now represents between 25 and 30 athletes across the country.

“The message needs to go out to these athletes is that this is not a take-it-or-leave-it deal that’s handed to them,” he said. “They have to read it, understand it, and they have to make sure that they're pushing back on terms that they find objectionable.”

-
Meanwhile, many athletes are negotiating deals without an attorney and agreeing to contracts that require repayment or a percentage of an athlete’s future earnings after college.

Many NIL collectives are not just well-funded but they also receive help from rabid fans with law degrees and decades of business experience. Think of them as Sport Super PACs.

-
Caspino said he is aware of athletes with deals who have not been paid, and there is no legal remedy as companies continue to use their likeness.

"I've seen their contracts. They didn’t have a lawyer look at it. They just saw dollar signs and they signed a bad contract," Casino said. "That’s my No. 1 concern. I don’t represent the collectives, I present the athletes. My job is to ensure their eligibility … and to have options. They're going to become an indentured servant to somebody."

- NIL collectives in Tennessee and Florida have set fundraising goals in the neighborhood of $30 million per year. The end goal is clear: lure the best of the best to their favorite schools and win championships.

“We’re a fan club,” said Eddie Rojas, a financial advisor and former Florida pitcher who started Florida’s NIL collective. “We’re here to provide fans amazing experiences and opportunities.”

The Gator Collective raised more than $44,000 in subscription sales in January and employs between 10 to 15 professionals. They hope to open an office in Gainesville in the future.


"These collectives are extremely well funded by an alumni network that previously could not make these types of financial contributions to affect their teams and now they can," Caspino said. "… If generous alumni are always going to be there for this cause, then this is just going to go up and up and up."



 

Empirical Cane

We are what we repeatedly do.
Joined
Sep 3, 2018
Messages
18,228


HIGHLIGHTS

- The attorney who negotiated last week an $8 million deal between a 5-star recruit and an NIL collective believes the spending spree in the NIL space has just begun — and future deals will only get bigger.

“I believe it's just going to keep going up for sure, without a doubt,” attorney Mike Caspino said. “There will be deals and there will be larger deals than this. We’re still in our infancy here. We haven’t reached adolescence yet in our NIL lifetime.”

-Caspino represents a 5-star recruit in the Class of 2023 who signed an agreement with an NIL collective that could pay him more than $8 million before the end of his junior year as a college athlete. The player’s identity, along with the NIL collective, has remained private, but Caspino shared details of the agreement that includes an initial payout of $350,000, followed by monthly payments that could pay him more than $8 million by the end of the player's junior year in college.

- Caspino said he jumped into the NIL realm when his sons’ friends began inquiring about NIL deals as athletes. The Newport Beach, California native now represents between 25 and 30 athletes across the country.

“The message needs to go out to these athletes is that this is not a take-it-or-leave-it deal that’s handed to them,” he said. “They have to read it, understand it, and they have to make sure that they're pushing back on terms that they find objectionable.”

-
Meanwhile, many athletes are negotiating deals without an attorney and agreeing to contracts that require repayment or a percentage of an athlete’s future earnings after college.

Many NIL collectives are not just well-funded but they also receive help from rabid fans with law degrees and decades of business experience. Think of them as Sport Super PACs.

-
Caspino said he is aware of athletes with deals who have not been paid, and there is no legal remedy as companies continue to use their likeness.

"I've seen their contracts. They didn’t have a lawyer look at it. They just saw dollar signs and they signed a bad contract," Casino said. "That’s my No. 1 concern. I don’t represent the collectives, I present the athletes. My job is to ensure their eligibility … and to have options. They're going to become an indentured servant to somebody."

- NIL collectives in Tennessee and Florida have set fundraising goals in the neighborhood of $30 million per year. The end goal is clear: lure the best of the best to their favorite schools and win championships.

“We’re a fan club,” said Eddie Rojas, a financial advisor and former Florida pitcher who started Florida’s NIL collective. “We’re here to provide fans amazing experiences and opportunities.”

The Gator Collective raised more than $44,000 in subscription sales in January and employs between 10 to 15 professionals. They hope to open an office in Gainesville in the future.


"These collectives are extremely well funded by an alumni network that previously could not make these types of financial contributions to affect their teams and now they can," Caspino said. "… If generous alumni are always going to be there for this cause, then this is just going to go up and up and up."

This will end badly for somebody.
 

Rellyrell

All American
Joined
Dec 19, 2013
Messages
24,539
Lol; tried to tell ya’ll before this chit happened. Somehow u thought this would even the playing field & would be a good thing to bring back the proverbial “parity.”

When there’s no structure, all u have is interpretation which leads to chaos. I’m sure something will give, eventually; but when, who knows. The worst thing that could’ve happened was not having set guidelines regarding NIL, namely, players ONLY can get compensated for the use of their name, image, or likeness regarding any University published materials including merchandise, commercials, memorabilia, gaming, promotions, posters.

This chit is literally the Wild, Wild West. But, for some this is what u wanted b/c u thought it was a benefit. All this did was empower boosters to come out from the dark & be flagrant, while also stopping kids from taking paper bags & dipping.
 

Category69

Beer
Joined
Sep 30, 2016
Messages
960
Lol; tried to tell ya’ll before this chit happened. Somehow u thought this would even the playing field & would be a good thing to bring back the proverbial “parity.”

When there’s no structure, all u have is interpretation which leads to chaos. I’m sure something will give, eventually; but when, who knows. The worst thing that could’ve happened was not having set guidelines regarding NIL, namely, players ONLY can get compensated for the use of their name, image, or likeness regarding any University published materials including merchandise, commercials, memorabilia, gaming, promotions, posters.

This chit is literally the Wild, Wild West. But, for some this is what u wanted b/c u thought it was a benefit. All this did was empower boosters to come out from the dark & be flagrant, while also stopping kids from taking paper bags & dipping.

Yep, no governing and all you're going to get is chaos. Nothing will be done about it unless people get tired of watching Bamma, Ohio State, and UGA etc. and the TV ratings tank along with attendance. Because there is no parity when it comes to their money, as much as many on here think we have Miami Vice boosters at the ready. Unless JR's money is real 😂

What incentive is there otherwise, if people are still sucking up the sport and spending money?

But adding to the chaos is the number of teams. This chaos will lead to a split. There's no way you can have 130+ FBS teams and manage something like that for competitiveness like the big leagues. It's the haves and have nots.
 

Empirical Cane

We are what we repeatedly do.
Joined
Sep 3, 2018
Messages
18,228
Wonder who that anonymous 5 star recruit is and how he was recently CB’d to Tennessee
CANE LOCK.

Ruiz going full Daddy Warbucks.
  1. fragmented market
  2. limited liquidity and exit options
  3. asymmetric information
  4. no regulation or participant protections
  5. unsophisticated counterparties
  6. scant barriers to entry
What could POSSIBLY go wrong??
you had me at fragmented.

you complete me.
 

Tad Footeball

1996 Interim Big East Conference Commissioner
Joined
Feb 6, 2014
Messages
16,898
One thing that does need to be eliminated is any element of anonymity. Part of the spirit of the NIL that was bought into by fans that think it was absolutely time for kids to see some of this money was this notion of wayyyyy more transparency than the previous system of bagmen.

If a kid signs a deal for $8 mil that has ANY contingencies upon him having to play at a school or in a metropolitan area then that deal needs to be made public immediately by the likes of Tennessee or whatever school cleared it.

I can see it already that these schools via these collectives are going to try to negotiate these deals left and right with teenagers and think that they can hide all the details all the way up to (or even beyond) when the kid steps foot on campus.

If a kid has a signed deal that went through a school's compliance department AT ALL it should be made public immediately. If a kid is signing deals that didn't go through a school's compliance department and it has ANY school or geographic specific requirements then that should be some sort of infraction to the kid and the school.
 

DeanCane

DangyTime
Premium
Joined
Sep 18, 2016
Messages
207
Lol; tried to tell ya’ll before this chit happened. Somehow u thought this would even the playing field & would be a good thing to bring back the proverbial “parity.”

When there’s no structure, all u have is interpretation which leads to chaos. I’m sure something will give, eventually; but when, who knows. The worst thing that could’ve happened was not having set guidelines regarding NIL, namely, players ONLY can get compensated for the use of their name, image, or likeness regarding any University published materials including merchandise, commercials, memorabilia, gaming, promotions, posters.

This chit is literally the Wild, Wild West. But, for some this is what u wanted b/c u thought it was a benefit. All this did was empower boosters to come out from the dark & be flagrant, while also stopping kids from taking paper bags & dipping.
Agreed... at least now Miami can participate without threats of the death penalty
 

Munderwood

Recruit
Joined
Jan 4, 2016
Messages
305
So my question is, and this may have already been addressed and I am sure they have ways around this point, I thought you couldn't get an NIL deal until after you signed a LOI? Again I am sure there are ways around this and also can a minor legally sign a contract without parental supervision?
 

77cane

Junior
Joined
Jan 28, 2012
Messages
1,592
So my question is, and this may have already been addressed and I am sure they have ways around this point, I thought you couldn't get an NIL deal until after you signed a LOI? Again I am sure there are ways around this and also can a minor legally sign a contract without parental supervision?
A minor can sign a contract; ,but my understanding is the minor is not legally bound to it. At least that is the way I remember it being explained in a business law class. We have some lawyers on the board I'm sure whocould give a more definititive answer
 

SWFLHurricane

Recruit
Joined
Dec 12, 2014
Messages
20,272
Lol; tried to tell ya’ll before this chit happened. Somehow u thought this would even the playing field & would be a good thing to bring back the proverbial “parity.”

When there’s no structure, all u have is interpretation which leads to chaos. I’m sure something will give, eventually; but when, who knows. The worst thing that could’ve happened was not having set guidelines regarding NIL, namely, players ONLY can get compensated for the use of their name, image, or likeness regarding any University published materials including merchandise, commercials, memorabilia, gaming, promotions, posters.

This chit is literally the Wild, Wild West. But, for some this is what u wanted b/c u thought it was a benefit. All this did was empower boosters to come out from the dark & be flagrant, while also stopping kids from taking paper bags & dipping.
This 100%....
 

TemplarCane

On The Clock
Premium
Joined
Nov 12, 2015
Messages
10,749
Caspino is marketing his services through the article but he’s correct when saying the athletes need legal representation when negotiating an NIL deal. I’m not surprised to learn some kids have signed bad deals.
 

TemplarCane

On The Clock
Premium
Joined
Nov 12, 2015
Messages
10,749
Lol; tried to tell ya’ll before this chit happened. Somehow u thought this would even the playing field & would be a good thing to bring back the proverbial “parity.”

When there’s no structure, all u have is interpretation which leads to chaos. I’m sure something will give, eventually; but when, who knows. The worst thing that could’ve happened was not having set guidelines regarding NIL, namely, players ONLY can get compensated for the use of their name, image, or likeness regarding any University published materials including merchandise, commercials, memorabilia, gaming, promotions, posters.

This chit is literally the Wild, Wild West. But, for some this is what u wanted b/c u thought it was a benefit. All this did was empower boosters to come out from the dark & be flagrant, while also stopping kids from taking paper bags & dipping.
I don’t disagree but what legal standard allows limiting player income to a share of university revenue? Do players with a higher market value get more, or does each player receive the same amount? College football programs don’t all earn the same revenues, are the blue-bloods providing higher NIL compensation?

And who would negotiate with and for the player? A college football player’s union? Trade association?
 
Top