NASHVILLE, Tenn. — Governor Bill Lee signed the "Name, Image and Likeness Bill" into law on Tuesday, giving college athletes a chance to make money while playing sports.
The law requires their pay to be proportional to the "fair market value" of the athlete's name and likeness. It also says that payments can not be given in exchange for athletes to attend a specific institution, and must be given by a third party other than their university.
Athletes also cannot make money from the name, image or likeness if it promotes gambling, tobacco use, alcohol or adult entertainment. Colleges and universities can also create reasonable restrictions to ensure that athletes' activities due to not interfere with normal team activities or with the institution as a whole.
Colleges and universities must also conduct a financial literacy workshop for athletes during their first term of enrollment.
Some athletes said that the law was a long time coming, and argued that Tennessee colleges risked lagging behind in recruiting if the bill was not signed into law. They also said it would also encourage athletes to consider their image as part of their collegiate careers.
The law is set to take effect on January 1, 2022, officials said.