Athletic Directors in South Jersey have expressed concerns regarding several high school football players receiving unsolicited text messages claiming that a teammate had invited them to “your NIL Club.” This has created confusion, and the text messages were also described as potentially a scam. The parents of the students have been inquiring whether signing up for the NIL Club would violate New Jersey’s strict Name, Image, and Likeness (NIL) regulations.
The text messages claiming a teammate invited the student to join “your NIL Club” started going out over the weekend in the Camden, Cherry Hill, Clearview, and Ocean City School Districts, among others. An example of a text message sent to a Camden High School sophomore read: “Hi. Someone from Camden invited you to join your team’s NIL Club. Join now to see who invited you.”
Many parents immediately contacted the school administration after receiving these text messages due to concerns about phishing. The coaches also informed the players to ignore the alert, or delete it.
“I am concerned,” a parent stated in an interview with the Camden Times regarding her 16-year-old son, who is a member of the Camden High School Track Team and received a text message. “He got this out of the blue. I don’t want him to get caught up in something he doesn’t need to be involved in, we support NIL but this just looks like a trick to us.”
New Jersey permits NIL, however, with strict rules.
On January 31st, 2022, New Jersey was one of the first states to permit high school athletes to earn money from their name, image, and likeness, following the NJSIAA’s approval of policy changes. In essence, students can earn money through commercial endorsements, social media posts, autograph signings, or even digital collectibles.
However, the association imposed many restrictions to maintain the integrity of amateur competition.
Athletes cannot:
• Use school logos, uniforms, or mascots
• Make promotional efforts during practice, game time, or team activities
• Receive assistance from coaches, teachers, boosters, or school staff
• Endorse alcoholic beverages, tobacco products, gambling products, vape products, or adult products
Any violations will result in possible ineligibility for the athletes and penalties for the team.
“It must be completely independent of interschool athletic events,” the NJSIAA guidelines state.
This separation is where NIL Club enters a gray area.
What is NIL Club? Why are the text messages being sent?
NIL Club is a mobile application developed by an Atlanta-based company that enables athletes to generate income from exclusive content posted to their followers. Athlete followers must pay between $5 and $10 per month to access the content. The majority of the money generated goes to the athlete. The app was originally intended for use by college teams, but has recently expanded to include select high school markets.
The developers claim the app does not operate through a direct connection to schools and uses automated compliance filters to eliminate any references to logos or team branding. They view the app as a safe method for athletes to capitalize on their internet presence.
Why the confusion?
Once a new user signs up for the app, it prompts them to invite others from their phone’s contact list. When a user clicks too quickly or sends the invitation to multiple contacts, dozens of recipients can receive a text message within minutes. The origin of the text message appears to be from the school or team, when in fact it is not.
The rapid distribution, combined with links to subscribe, typically creates the appearance of spam.
“It is only the people you chose,” one user commented on Reddit. “But if you choose a lot, they all get a text message at once, and your athletic director loses his mind.”
Districts, meanwhile, see the potential threat of students promoting any product associated with their athletic identity.
Compliance concerns
Although NJSIAA officials have not made any official declarations regarding NIL Club, many school district athletic departments are warning against participation. Many are stating that even one photo of a student-athlete wearing a school logo, regardless of intent, may lead to a review of the athlete’s eligibility status.
“It is not a scam,” a South Jersey athletic director advised Camden Times. “The issue is whether the platform can truly be separated from school athletics in practice.”
Other athletic directors voiced similar concerns:
• Student-athletes may not comprehend their tax obligations.
• Parents may not be aware that subscriptions renew automatically.
• Younger student-athletes may unknowingly commit infractions by violating restrictions.
One local AD put it this way: “The opportunity exists. So does the risk.”
Recommendations for parents and students
Experts and school officials are recommending the following simple checklist:
• Do not click random links. Check www.nilclub.com if interested in learning more.
• Review the full NJSIAA NIL Guidance with a coach or AD.
• Disable auto-invite options within the app.
• Never post pictures or videos while wearing team gear.
• Maintain documentation of income for tax purposes.
For those who ultimately decide to pursue opportunities through the NIL Club, caution and transparency are the keys.
“The ability of high school NIL to empower athletes depends on how they manage it responsibly,” said one administrator. “Oversight is necessary. We cannot allow the excitement of the new opportunities to precede the rules.”
Modernization or invasion?
The debate surrounding NIL Club is spreading throughout the State of New Jersey. Some see the NIL Club as a new path to developing financial knowledge and power, particularly for athletes competing in sports that rarely attract sponsorship agreements. Others fear that young athletes are being encouraged to take part in uncharted and potentially financially and legally hazardous ventures.
Until further clarification is provided through policy, the safest course of action is to exercise restraint.
Should a student receive an unexpected text message, the parents can reply STOP to block future messages from the platform.
The recent influx of text messages represents a new reality for high school athletics. While talent is certainly a commodity, so is attention. As schools continue to navigate a rapidly changing NIL environment, vigilance must be the first line of defense.