A new law passed in Texas could mean millions more in NIL deals for high school seniors ahead of their college eligibility.
“Game-changer” NIL Law Passes In Texas, With State Schools Giving Heavy Support
Last week, Texas Governor Greg Abbott signed HB 126 into law. That bill now means that a high school athlete in Texas aged 17 and older can sign NIL (name, image, and likeness) deals without reproach. In reporting for On3, Pete Nakos shared details in a post on X, formerly Twitter, writing: “This is a game-changer with official visit season now here.”
This is a game-changer with official visit season now here. A top recruit in Texas, who is 17 or older, can now hypothetically ink a marketing agreement with an NIL collective before enrolling in a college. https://t.co/wjAAWaE1cy
— Pete Nakos (@PeteNakos_) June 5, 2025
HB126 was created to align with the NCAA’s settlement of one of many lawsuits against it that challenged its restrictions on athlete compensation. The settlement, agreed to last year, paid out $2.8 billion to Division I athletes who had competed since 2016.
According to the Texas Tribune, Texas Tech University and Texas A&M lobbied state legislators hard to pass the bill to prevent athletes from leaving the state to go to programs out of state. The new law requires that high school student-athletes provide universities with full knowledge of the NIL deals they do sign so that those schools can prevent them from entering deals that are prohibited.
Senator Brandon Creighton, a Republican, helped to craft amendments to the bill concerning age. “I hope this amendment addresses some of the primary concerns we talked about two nights ago and ensures that the guardrails are there for a level playing field for our young athletes,” he said.
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Creighton also authored the state’s NIL law, which still prevents student-athletes from taking deals from sexually oriented businesses, alcohol or tobacco companies, and sports betting companies. The law also requires student-athletes to take a financial literacy course.
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