President Donald Trump signed an executive order on Friday intended to provide greater legal protection to the NCAA in setting rules governing college athlete compensation. But as with any executive order, “Protecting the Future of College Sports Before It’s Too Late” is vulnerable to legal challenges that the president lacks the authority to institute such regulations without Congressional action.
According to a source, U.S. Attorney for the Southern District of New York Jay Clayton played an instrumental role in drafting the order.
A former chairman of the Securities and Exchange Commission, Clayton is an attorney with considerable experience—including in the sports industry. He has overseen SDNY prosecutions of financial advisors who defrauded Jrue Holiday and other NBA players and of individuals who have hacked sports betting and fantasy sports websites. Clayton is also a former NCAA athlete, having played soccer at Lafayette College.
Through Friday’s order, the president has directed federal agencies to “bolster the effectiveness” of rules related to transferring, eligibility and pay-for-play.
Trump wants to know whether these rules “render a university unfit for federal grants and contracts.” This description suggests that he wants federal funding for schools connected to whether they are complying with NCAA rules. In theory, at least, that edict could deter schools from violating NCAA rules by funneling money to recruits in ways that circumvent NCAA membership...
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