The House v. NCAA settlement, while a victory for many student-athletes, has introduced a complex and challenging landscape for international student-athletes on F-1 visas seeking to engage in Name, Image, and Likeness (NIL) activities. Current U.S. immigration laws strictly limit employment for F-1 visa holders, creating a direct conflict with the NCAA’s evolving NIL framework and new revenue-sharing models. Despite ongoing efforts by Congress to prompt the Department of Homeland Security (DHS) to issue clear guidance, no such direction has been provided, leaving universities, collectives, and international student-athletes in a precarious legal position.
Limited Opportunities for International Student-Athletes
International student-athletes face significant restrictions on the types of NIL activities they may legally pursue. Generally, permissible activities are limited to passive income streams, such as royalties or licensing agreements, and activities conducted entirely outside the United States.
However, most active or promotional work within the U.S., including appearances, autograph signings, or content creation, is strictly prohibited. Under immigration law, the definition of "employment" is broad, and even unpaid NIL activities may be considered unauthorized if provide a benefit a third-party, such as a business or collective.
Compliance Challenges and Legal Risks
The absence of federal guidance creates substantial compliance challenges for athletic departments and collectives aiming to provide equitable economic benefits to international athletes. Schools and collectives must navigate these murky waters with extreme caution, as the consequences of noncompliance are severe.
For student-athletes, engaging in unauthorized NIL activities could result the loss of their F-1 visa status, ineligibility for future immigration benefits, and potential removal from the United States.
Institutional Liability and Uncertainty
Institutions and athletic departments also face significant legal exposure. Knowingly facilitating or allowing unauthorized employment may result in civil and criminal penalties. This creates a difficult dilemma for universities that are trying to provide equitable support all their student-athletes while adhering to stringent immigration regulations. In the absence of DHS guidance, universities and collectives are left to interpret complex immigration laws on their own, increasing their legal risk.
Looking Ahead
The current legal framework surrounding F-1 visas and NIL activities is a significant hurdle for international student-athletes. Until DHS issues comprehensive federal guidance, these student-athletes will continue to face limited opportunities compared to their domestic peers. Institutions will continue to grapple with the challenge of ensuring compliance while striving to foster an inclusive and equitable environment for all student-athletes in this new era of college sports.
As NIL and immigration policies continue to shift, consulting with an experienced attorney can ensure compliance and minimize risk.
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