Nebraska enacts civil action rights for student-athletes under NIL law

Nebraska's State Legislature has introduced Legislature Bill 370, a significant measure aimed at enhancing protections for student-athletes regarding their name, image, and likeness (NIL) rights. Introduced on January 21, 2025, the bill seeks to empower student-athletes and related entities to take legal action against postsecondary institutions or collegiate athletic associations that violate these rights.

The key provisions of LB370 allow student-athletes, nonprofit foundations supporting educational institutions, and other stakeholders to file civil lawsuits for violations of the Nebraska Student-Athlete Name, Image, or Likeness Rights Act. If successful, plaintiffs can claim actual damages, equitable relief, and recover reasonable attorney fees. However, the bill stipulates that public postsecondary institutions can only be sued under specific state claims acts, and actions must be initiated within one year of the violation.

The introduction of this bill has sparked notable discussions among lawmakers and stakeholders. Proponents argue that it is essential for protecting the rights of student-athletes in an evolving landscape where NIL opportunities are becoming increasingly prevalent. Critics, however, express concerns about potential legal ramifications for institutions and the administrative burden that could arise from increased litigation.

The implications of LB370 extend beyond legal frameworks; they touch on the economic landscape of college athletics. By reinforcing NIL rights, the bill could enhance recruitment efforts for Nebraska's colleges, potentially attracting top talent who seek to capitalize on their marketability. Conversely, it may also lead to heightened scrutiny of athletic programs and their compliance with the law.

As the legislative process unfolds, the future of LB370 remains uncertain. Its passage could mark a pivotal shift in how student-athletes engage with their NIL rights, setting a precedent for similar legislation in other states. The Nebraska State Legislature's decision on this bill will be closely watched, as it could reshape the dynamics of college athletics and student rights in the years to come.