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AirborneHokie96
Joined: 10/08/1999
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Still wouldn't be enforceable...and really a bad idea

Every time this topic comes up, people say, “Well just put it in the contract.” So here’s the actual legal reality, without the emotions or the fantasy‑land assumptions. Even if you wrote a 30% postseason holdback into an NIL deal, it still wouldn’t be enforceable. Not by the school. Not by a collective. Not by anyone. Here’s why: 1 - You can’t contract around labor law. If you condition compensation on: playing in games playing in the postseason minutes stats performance …you’ve created pay‑for‑play, which is the legal definition of an employment relationship. Once that happens, the school owes: minimum wage overtime payroll taxes workers comp unemployment insurance union rights collective bargaining You don’t get to avoid that by saying “but the contract says so.” Courts look at the substance, not the wording. 2 - Penalty clauses like this are unenforceable anyway A “we’ll dock 30% if you don’t play in the NIT” clause is: coercive punitive contrary to public policy Courts routinely throw out clauses that punish someone for exercising a lawful choice (like resting an injury or preparing for the draft). 3 - The House settlement (REVENUE SHARING NIL) explicitly forbids tying revenue‑sharing to performance School‑provided NIL (the new revenue‑sharing bucket) cannot be tied to: games stats postseason participation Doing so would violate the settlement and invite antitrust and NCAA trouble. 4 - Third‑party NIL can’t do it either. Collectives can’t tie NIL to athletic performance without becoming employers under federal law. No collective wants to deal with payroll taxes and workers comp. 5 - “Come to Virginia Tech, where we’ll holdback 30% of your money if you’re hurt or don’t want to play in a consolation tournament.” Every other ACC school would weaponize that in negative recruiting instantly. You’d tank: portal additions high school recruiting agent relationships player trust It’s competitive suicide.
Posted: 03/14/2026 at 10:13 PM ET
(In response to this post by King of Hokies)

Thread Replies (47)

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NIT/postseason tournament news
SteveInBaltimore 03/14/26 02:14 PM ET
College athletes are not paid employees....
AirborneHokie96 03/14/26 09:48 PM ET
SIB, great info. Better put those contract lawyers to work drafting new
saret 03/14/26 06:33 PM ET
That is a good analysis IMO......
2hhoop3 03/14/26 06:16 PM ET
Great post I understand the scenario much better***
sacramento hokie 03/14/26 06:07 PM ET
If you remember, the NIT used to be the big dog. It's been declining for
Tombo 03/14/26 06:07 PM ET
The sterilization of sports…no names just #’s on uniforms…corporate emblems
jagerhokie 03/14/26 05:52 PM ET
AI. Reminds me of a Simpsons episode.
HokieNL 03/14/26 06:08 PM ET
Do they get a 1099 for rev share? Independent contractors, eventually.
TomTurkey 03/14/26 04:37 PM ET
Yes**
AirborneHokie96 03/14/26 09:49 PM ET
If your company pays you for your job 9-5 weekdays....
turkeywinghokie 03/14/26 04:36 PM ET
I've been doing that for 21 years, including today. I guess I'm a sucker.**
MP4VT2004 03/14/26 08:09 PM ET
It's not the same. Post season is part of the job. Always has been. **
King of Hokies 03/14/26 05:56 PM ET
No, you don't have to pay them extra. You just need to stipulate a hold
King of Hokies 03/14/26 04:14 PM ET
Good luck signing good players.
AirborneHokie96 03/14/26 09:52 PM ET
There's no penalty if you just play all the games. Up front, most athletes
King of Hokies 03/14/26 09:55 PM ET
Still wouldn't be enforceable...and really a bad idea
AirborneHokie96 03/14/26 10:13 PM ET
you are probably right, which is why I didn't watch a single Men's BBall
VPI_1998 03/15/26 04:21 AM ET
I don't know how to say this any more clearly: it's not a penalty.**
King of Hokies 03/14/26 11:16 PM ET
A "holdback" is not a penalty?
AirborneHokie96 03/14/26 11:39 PM ET
It's not a tax. It's a revenue enhancer. 😊
HokieNL 03/14/26 11:43 PM ET
Good post, KoH.**
saret 03/14/26 06:35 PM ET
Yeah because I am sure players would sign that vs another team**
turkeywinghokie 03/14/26 04:30 PM ET
If a player won't sign a contract that specifies you play in the post-
King of Hokies 03/14/26 05:55 PM ET
I am sure you can find some D2 players...
AirborneHokie96 03/14/26 09:53 PM ET
Did not say you could NOT do it, just saying you are handicapping
turkeywinghokie 03/14/26 07:26 PM ET
Are "a lot" of players actual going to say no to playing in the post
King of Hokies 03/14/26 08:42 PM ET
So you feel like it is fact that you can make it happen?
turkeywinghokie 03/14/26 11:57 PM ET
I said we would get a more reliable, team-oriented player. And that's
King of Hokies 03/15/26 08:09 AM ET
A 30% penalty would be rejected by agents and their attorneys
AirborneHokie96 03/14/26 09:55 PM ET
It's not a penalty. It's a hold back. Read what I wrote again. Hold backs
King of Hokies 03/14/26 09:56 PM ET
So while the other schools do not "hold back" money, VT will hold back 30%
AirborneHokie96 03/14/26 10:00 PM ET
No the hold back is not a recruiting advantage. You know what is? Being
King of Hokies 03/14/26 11:14 PM ET
Still illegal, unenforceable, and strategically disastrous.
AirborneHokie96 03/14/26 11:44 PM ET
Just stop donating, watching, and attending.
MP4VT2004 03/14/26 02:38 PM ET
Afraid we are divided and conquered. Can we start a Fans' Union?**
HokieNL 03/14/26 06:46 PM ET
You ain't wrong.**
saret 03/14/26 06:36 PM ET
If you want college sports to completely disappear, yeah.
Snape 03/14/26 03:14 PM ET
College sports won't disappear...there will be winners/losers like always
AirborneHokie96 03/14/26 09:58 PM ET
We've never been basketball royalty, flushed with cash.
Snape 03/15/26 07:51 AM ET
You've got me pegged wrong.
MP4VT2004 03/14/26 06:16 PM ET
Agreed.**
40ozDistrict 03/14/26 08:50 PM ET
You do you boo.**
Snape 03/14/26 07:28 PM ET
I am with you 100%. **
dobrohokie 03/14/26 06:30 PM ET
I do wish they were paid employees and organized
1977hokie 03/14/26 02:26 PM ET
Virginia law re: NIL prohibits that.**
saret 03/14/26 06:37 PM ET
It does.. and there would be little support in the General Assembly to
1977hokie 03/14/26 09:59 PM ET
Once employees, I'm 100% out
TomTurkey 03/14/26 04:43 PM ET