In the case of the landmark House v. NCAA settlement, count the Ivy League out

The Ivy League is set to opt out of the impending House v. NCAA settlement, according to an email obtained by The Inquirer that was sent to all athletes in the league from the Ivy’s executive director, Robin Harris. The decision was given final approval by the Ivy League Council of Presidents.

The $2.78 billion settlement, which gained judicial approval in October, will compensate student-athletes for their name, image, and likeness directly for the first time in NCAA history. The final hearing on the settlement is scheduled for April 7.

The settlement is in response to three separate antitrust lawsuits against the NCAA. Pending the final decision, it will pay out $2.78 billion over 10 years to current and former Division I student-athletes who played in 2016 or later.

The power conferences — the Atlantic Coast Conference, Big Ten, Big 12, and Southeastern Conference — have agreed to the settlement. The schools within these conferences are set to allocate 22% of their average athletic revenue to compensate their players up to $22 million yearly. This agreement forms a salary cap, similar to those in professional sports leagues.

“This was the next step in this upward escalator of lawsuits and antitrust lawsuits going against the NCAA,” Duane Morris attorney AJ Rudowitz told The Inquirer in August. “This was going to be the big one because it dealt with not only prohibiting athletes from earning NIL but also it dealt with TV revenues, which is big money for the NCAA and the major conferences.”

The landmark case began when former Arizona State swimmer Grant House sued the NCAA in 2020 over athletes’ ability to profit from their names, images, and likenesses.

Division I programs that are not considered power conferences can opt in or out of the settlement, as they were not named defendants in the antitrust cases. The Ivy League, a non-power conference, is choosing not to pay its players moving forward.

The Ivy is opting out of the settlement to maintain athletic tradition in the league.

“I firmly believe that the totality of the Ivy League model — one that offers student-athletes an option with world-class academics and an opportunity for personal growth while yielding consistent national athletics success — is a well-rounded experience that will continue to resonate in this evolving and uncertain era of college sports,” Harris wrote in the email.

Notably, the move aligns with other league policies. The Ivy League does not offer athletic scholarships and has rejected the formation of NIL collectives in recent years.

No, the Ivy League will continue to fully participate in Division I, including in NCAA championships.

“This decision, which will enable the Ivy League to continue operating consistent with our long-standing philosophy and approach to intercollegiate athletics, does not impact our standing as Division I members or our access to NCAA championships,” Harris wrote. “It also means that the Ivy League will continue to support the right of student-athletes to benefit from all legitimate NIL opportunities.”

The Ivy League has struggled to keep stars in the age of NIL collectives and the transfer portal. Now, the league will compete for talent against programs that can directly pay their players.

In recent years, Ivy basketball has lost notable stars to the transfer portal. Last year, Harvard’s men’s basketball team lost the league’s rookie of the year, Malik Mack, to Georgetown while Penn lost impressive rookie guard Tyler Perkins to Villanova.

Most recently, Penn running back Malachi Hosley transferred to Georgia Tech following a season in which he rushed for 1,192 yards and nine touchdowns in just 10 games. In an interview, he pointed out that NIL opportunities at other conferences were a factor in his decision.

“We are seeing the best athletes leave [the Ivy League] because we’re all chasing that better opportunity that we can’t get here,” Hosley said.