Georgia allows schools to pay student athletes in new order

On Tuesday morning, Georgia's governor, Brian Kemp, signed an executive order allowing schools in the state to pay student-athletes directly for the use of their name, image, and likeness (NIL). This order provides legal protection against potential penalties from the NCAA or athletic conferences, which currently prohibit direct payments to athletes. The NCAA is in the process of finalizing an antitrust settlement that may change its rules regarding NIL compensation, but the Georgia order is effective immediately. The new order aligns with a similar law passed in Virginia, which also permits schools to compensate athletes without facing NCAA repercussions. However, despite the new legal framework, neither Georgia nor Georgia Tech has announced plans to start paying their athletes right away. The executive order serves as a strategic option for these institutions, allowing them to remain competitive if other schools begin to implement similar payment structures. Athletic directors from both universities expressed gratitude for the governor's leadership, emphasizing the importance of supporting student-athletes in their pursuit of NIL opportunities. They highlighted that the absence of nationwide regulations on NIL compensation necessitated this executive order to ensure their programs can compete effectively. As other states explore similar legislation, the landscape of college athletics is poised for significant changes. The pending antitrust settlement could impose a cap on direct payments to athletes, but for now, Georgia and Virginia schools can operate without such limitations, potentially reshaping the financial dynamics of college sports.