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Gov. Whitmer signs bill allowing college athletes to receive financial compensation

This marks the first time in Michigan history that collegiate athletes will have the opportunity to financially benefit from their sport.
Credit: Provided

LANSING, Mich. — Wednesday, Governor Gretchen Whitmer signed bipartisan legislation allowing student athletes to use their own name, image, likeness and reputation for financial compensation.

This marks the first time in Michigan history that collegiate athletes will have the opportunity to financially benefit from the countless hours they commit to their sport while attending school.   

House Bill 5217 prohibits post-secondary educational institutions from enforcing rules that prohibit student athletes from profiting from promotional deals. Students may earn compensation for their name, image, or likeness, and could not be prevented from playing intercollegiate sports or receiving scholarships because of doing so. 

However, students cannot enter into an apparel contract that conflicts with the apparel contracts of their school, and must disclose contracts to their school prior to signing. The bills do not establish the right for students to use trademarked names, symbols, intellectual property, and logos of schools, associations, or conferences. 

“For years we have all enjoyed the incredible talent of young athletes across the state. This legislation will change the lives of young men and women for years to come,” said Governor Whitmer. “I am hopeful that the NCAA will set a national standard so that all players across the country are afforded the same opportunities. As always stay safe and go green!”  

Michigan is among one of the first states to pass and sign legislation surrounding the compensation of student athletes.

The bill will take effect on December 31, 2022, except for a reporting requirement in Section 9 which has been given immediate effect. 

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