The long-awaited House Settlement is going "back to the drawing board" after Judge Claudia Wilken found several issues with the proposed settlement.

The proposed $2.8 billion settlement involving antitrust lawsuits against the NCAA, which covers compensation restrictions, is facing challenges. U.S. District Judge Claudia Wilken expressed concerns about the terms, particularly restrictions on NIL deals and revenue sharing. She questioned the enforceability of certain provisions and requested revisions. The case remains unresolved as attorneys must revise the settlement, while the NCAA seeks to prevent athletes from gaining employee status. A final decision is still pending​.

Judge Wilken's Specific Issues with the Settlement:

• Concerns over NIL rules, especially the ability to block deals over $600 if deemed above fair market value.
• Uncertainty regarding the definition and legal enforceability of the term "booster."
• Potential conflicts with future athlete lawsuits, particularly around revenue-sharing caps.
• Ensuring Title IX protections are upheld in relation to gender equity.
• Skepticism about the settlement's adequacy in addressing long-term athlete rights and compensation

Next Steps:

• Attorneys must revise the settlement terms, particularly around NIL deals.
• Ongoing legal cases (e.g., Johnson v. NCAA) will continue despite the settlement.
• Discussions are required to determine if a deal can be finalized. If a deal cannot be finalized, the case will go to court.

Read more about the proposed settlement here.