Sports · NCAA NIL · May 24, 2026

A Private Association Told
Four State Legislatures Their Laws
Don’t Apply. Now Trump’s DOJ Is in the Fight.

On April 3, 2026, President Donald Trump (R) signed an executive order titled Urgent National Action to Save College Sports,” directing the U.S. Department of Justice and the Federal Trade Commission to address what the order characterizes as an unsustainable, lawsuit-driven scramble in college athletics compensation. Among its instructions: examine whether state name-image-likeness statutes that bind only some schools but not others impermissibly burden interstate commerce — a Dormant Commerce Clause theory that, if accepted in federal court, would pre-empt the very state laws Republican governors signed to protect their own programs.

The federal escalation lands on top of an unresolved three-year standoff between the NCAA— a private association headquartered in Indianapolis — and four Republican-governed states whose legislatures have passed NIL laws the NCAA has explicitly said its rules will override. The original document at the center of that standoff is a June 27, 2023 memo from NCAA Executive Vice President for Regulatory Affairs Stan Wilcox instructing member schools that “schools must adhere to NCAA legislation when it conflicts with permissive state laws.” In plain English: a private association telling democratically elected state legislatures their statutes do not apply on the campuses inside their borders.

The states the NCAA picked the fight with are Arkansas, Missouri, Texas, and Oklahoma. The governors who signed the laws the NCAA tried to override are Gov. Sarah Huckabee Sanders (R-AR), the late Gov. Mike Parson (R-MO) (now succeeded by Gov. Mike Kehoe (R-MO)), Gov. Greg Abbott (R-TX), and Gov. Kevin Stitt (R-OK)— with Stitt notably having his veto on a related NIL bill overridden by his own Republican legislature. The NCAA president leading the institutional resistance is Charlie Baker, himself a former Republican governor of Massachusetts (2015–2023). The whole conflict is, structurally, Republican elected officials against a Republican former governor running a private cartel — with a Republican president now throwing federal DOJ weight onto the side of preempting both.

  • 4statesin direct, named, public conflict with NCAA NIL enforcement — Arkansas, Missouri, Texas, Oklahoma — all four signed by Republican governors and defended by Republican attorneys general
  • ~$20.5Mper school / yearrevenue-share cap per Division I athletic department under the House v. NCAA settlement, explicitly authorized in Texas HB 126 (2025) and replicated in the other three state frameworks
  • Apr 3 2026Trump EO“Urgent National Action to Save College Sports” — directs DOJ + FTC to address NIL chaos including potential Dormant Commerce Clause challenge to state-specific NIL frameworks
  • 35-40state NIL lawsin force nationally as of mid-2026; MultiState’s 50-state survey (April 29, 2026) finds the great majority were enacted on bipartisan votes
  • Jun 27 2023NCAA memoStan Wilcox guidance: “Schools must adhere to NCAA legislation when it conflicts with permissive state laws.” The document that started this fight; never formally retracted
  • Jan 14 2026Baker addressNCAA President Charlie Baker — former R-MA Governor — State of College Sports speech: “I would prefer to get a solution that deals with state preemption for a lot of reasons.”
§ 01 / The 2026 Federal Escalation

The April 3, 2026 executive order, “Urgent National Action to Save College Sports,” is the federal-level move in a fight that had been confined to state legislatures and private-association rulebooks for three years. The text directs the U.S. Department of Justice, the Federal Trade Commission, the Department of Education, and the Secretary of Labor to address college athletics in a coordinated posture. The order frames the current NIL environment as a “state-by-state patchwork that is in chaos” and threatens federal-funding consequences for non-compliant schools after the August 1, 2026 implementation deadline.

The provision that matters for this story is the DOJ instruction. The Trump administration’s legal theory — spelled out in the firm-analysis pieces from Baker Donelson, Seyfarth Shaw, and Ropes & Gray published in the days following the EO — is that state NIL statutes which apply to in-state schools but bind out-of-state competitors only through NCAA membership create an impermissible burden on interstate commerce. If that theory wins in federal court, the practical effect is identical to the position the NCAA staked out in its 2023 memo: state NIL laws do not control. The political effect, however, is the opposite of what those state laws were passed to do.

What the EO Actually Says · the four operative directives

(1) Eligibility window. Participation in college athletics limited to a five-year window with carve-outs for military and missionary service; no pro returnees.

(2) Transfers. One free transfer with immediate eligibility; a second only after a four-year degree.

(3) NIL reform.Ban “improper pay-for-play” arrangements facilitated by collectives; implement revenue-sharing that protects women’s and Olympic sports; agent-conduct protections.

(4) Federal preemption posture. DOJ and FTC directed to address NIL chaos including potential challenges under federal commerce authority to state frameworks that fragment the national market. Effective August 1, 2026. Applies to schools with over $20M in athletics revenue.

NIL market surges to $1.67 billion in new era for college athletes — The National Desk
§ 02 / The Original Attack — Stan Wilcox’s June 2023 Memo

The document at the center of this story is dated June 27, 2023. It was sent to all NCAA member schools by Stan Wilcox, the NCAA’s Executive Vice President for Regulatory Affairs and reporting directly to then-new NCAA President Charlie Baker. The memo laid out a series of NIL guidelines — bans on institutional involvement in deals, restrictions on collective activity, limits on what schools could communicate to recruits — that conflicted directly with NIL laws Texas, Missouri, Arkansas, and Oklahoma had on the books or were about to pass. The operative sentence, reported across On3, ESPN, and Lewis Brisbois’s sports-law desk:

Schools must adhere to NCAA legislation when it conflicts with permissive state laws.

Stan Wilcox · NCAA Executive VP, Regulatory Affairs · memo to all member institutions · June 27, 2023

That sentence is the entire fight in one line. The NCAA is a private association — an unincorporated nonprofit confederation of member schools, governed by its own constitution and bylaws. The state legislatures of Texas, Missouri, Arkansas, and Oklahoma are democratically elected sovereign bodies. The ordinary rule of American law — cited in the Lewis Brisbois analysis — is that a private association’s rules must comply with applicable state law, not the other way around. The Wilcox memo inverted that. Sports attorney Dan Lust said the quiet part out loud in the wake of the memo’s release:

The NCAA is telling them they are above the law of our country.

Dan Lust · sports attorney · responding to the Wilcox memo · 2023

Sports attorney Darren Heitner put the legal posture more precisely:

A private association's rules generally must comply with state laws and cannot override them.

Darren Heitner · sports attorney · on NCAA NIL guidance — quoted across On3 and ESPN reporting
Breaking down NIL money for college athletes — 12 News
§ 03 / The Four State Laws the NCAA Said Don’t Apply

The original On3 reporting identified four states whose statutes sat in direct conflict with the Wilcox memo: Arkansas, Missouri, Texas, and Oklahoma. Two years on, the laws have evolved — Arkansas tightened its framework with SB 535 in 2025, Texas amended its NIL statute with HB 126, Oklahoma’s SB 840 survived a gubernatorial veto on supermajority overrides, and Missouri’s 2023 HB 417 remains the baseline framing — but the structural conflict the NCAA created has not gone away. All four laws are still in force; all four conflict with at least some 2023 NCAA guidance the NCAA has not formally retracted.

Chart · Four State NIL Laws the NCAA Has Said It Will Override
All four signed by Republican governors · all four naming Republican attorneys general as the defenders of state law against the NCAA’s private-association rules
StateBill · ConflictGovernor · AGVote
Arkansas
signed April 2025
SB 535 (2025) — amends Student-Athlete Publicity Rights Act
Permits institutional involvement in NIL deals; bars NCAA from penalizing schools for following state law
Gov. Sarah Huckabee Sanders (R) · AG Tim Griffin (R)
Senate 19-12 · House 92-3
Missouri
signed July 2023
HB 417 (2023) — “most advantageous NIL law in the nation” framing
Permits high-school deals; institutional facilitation; bars NCAA enforcement against compliant Missouri schools
Signed by Gov. Mike Parson (R) · current Gov. Mike Kehoe (R) · AG Andrew Bailey (R)
Passed both chambers; Republican-led legislature
Texas
signed June 2025
HB 126 (2025) — amends 2021 Texas NIL law
Authorizes ~$20.5M/yr revenue-share per school under House settlement; explicit state-law shield against NCAA enforcement of conflicting rules
Gov. Greg Abbott (R) · AG Ken Paxton (R)
Passed Texas Legislature 2025 session
Oklahoma
signed Veto overridden May 2025
SB 840 (2025) — overrode Gov. Stitt veto · plus 2025 Stitt EO supporting student-athletes
Permits institutional NIL involvement; pre-empts NCAA rules conflicting with state law; reinforced by Stitt’s January 2025 EO
Gov. Kevin Stitt (R) · AG Gentner Drummond (R)
Senate override 37-8 · House override 83-7
Arkansas (SB 535)Missouri (HB 417)Texas (HB 126)Oklahoma (SB 840)
Sources: Arkansas SB 535 (arkleg.state.ar.us); Missouri HB 417 (Parson signing release · On3); Texas HB 126 (On3 · Abbott press release); Oklahoma SB 840 (oklegislature.gov) + Gov. Stitt EO January 2025 (oklahoma.gov); On3 NIL beat. Original NCAA guidance attacking these laws (Stan Wilcox memo) dated June 27, 2023.

The Arkansas case is the cleanest example of the federalism posture. Sen. Bart Hester (R-Cave Springs)sponsored SB 535 in the 2025 regular session. Gov. Sarah Huckabee Sanders (R-AR) signed it. It passed the Senate 19-12 and the House 92-3. AG Tim Griffin (R-AR) is on record defending the statute. The Arkansas approach makes the conflict explicit: state law authorizes conduct the NCAA prohibits, and bars NCAA enforcement actions against Arkansas schools complying with state law.

The Oklahoma case is the political signal. Gov. Kevin Stitt (R-OK) vetoed SB 840 in May 2025 — and his own Republican legislature overrode the veto on a Senate vote of 37-8 and a House vote of 83-7. Stitt then turned around and signed a January 2025 executive order directing Oklahoma state agencies to support the student-athlete framework the state had just put in statute. AG Gentner Drummond (R-OK) is the state attorney general defending the framework.

NIL, Revenue Sharing and the Rise of the General Manager in College Sports — Sports Business Journal
§ 04 / Charlie Baker’s Pivot — A Republican Former Governor at the NCAA

Charlie Bakerbecame NCAA President in March 2023, three months before the Wilcox memo. Before Indianapolis, Baker had served two terms as the Republican Governor of Massachusetts (2015–2023), where he left office with one of the highest approval ratings of any governor in the country. Baker arrived at the NCAA having spent eight years dealing with exactly the kind of federalism question now defining his job: how does a multi-jurisdictional rulemaker reconcile diverging state statutes?

His public answer, increasingly explicit since 2024, has been to ask Congress for federal preemption. In an extended Boston Globe interview in June 2025, and again in his January 14, 2026 State of College Sports address, Baker laid out the position unambiguously:

I would prefer to get a solution that deals with state preemption for a lot of reasons.

Charlie Baker · NCAA President · former R-MA Governor · cited in Boston Globe (June 2025) and elsewhere · recurring theme through January 14, 2026 State of College Sports address

Baker’s call for federal preemption is, in effect, an admission that the 2023 Wilcox memo position is unsustainable. The NCAA cannot, as a private association, override state law on its own authority — the Tennessee antitrust litigation (covered in source 16) effectively settled that question by 2024, when the NCAA backed off active NIL recruiting enforcement to avoid losing a federal-court ruling that would have stripped its remaining authority. What the NCAA wants now is Congress to write a federal law that preempts the state frameworks. What it got in April 2026 was a Trump EO that directs DOJ to seek the same outcome through litigation rather than legislation.

NCAA president calls for national NIL regulation: 'Right now, there are no rules' — NBC News
§ 05 / Why Republican Governors Built These Laws in the First Place

The Republican-governor-vs-Republican-former-governor framing obscures what the state laws were actually built to do. They were not, primarily, ideological federalism arguments. They were competitive economic policy. The first state NIL laws in the 2021 wave were passed precisely because if state X allowed something state Y did not, recruits would commit to state X’s flagship university. Texas, Missouri, Arkansas, and Oklahoma legislators were not making philosophical arguments about private associations and state sovereignty — they were trying to keep recruits in-state and revenue in-state for their flagship programs.

The Front Office Sports framing — “state legislatures are in attack mode against the NCAA’s NIL rules” — gets the dynamic exactly right. Each state legislative session beginning in 2021 became a race-to-the-most-permissive, because the program that benefits is the one whose state law permits conduct the NCAA prohibits. By the time of the Wilcox memo in June 2023, the NCAA was looking at a 35-40 state patchwork — with no two state laws identical, with new amendments arriving every legislative session, and with no congressional preemption in sight.

The federalism story is also a competitive-policy story

Whose interest the state laws protect:the flagship programs in each state — Arkansas Razorbacks, Missouri Tigers, Texas Longhorns and Texas A&M Aggies, Oklahoma Sooners and Oklahoma State Cowboys. Each program is a billion-dollar regional economic asset; each state legislature treats its protection as economic-development policy.

Whose interest the NCAA position protects: the member schools in the smaller-revenue states whose programs cannot match the spending of state-protected competitors, and the central NCAA enforcement apparatus whose rulebook becomes unenforceable if state-by-state opt-outs accumulate.

Whose interest the Trump EO position protects:the federal commerce-clause framework that historically prevents states from fragmenting national markets — with the practical consequence, if upheld, of overriding state laws that Republican governors signed and Republican AGs are defending.

Why no party-line answer is clean here:Republican elected officials disagree on this. Republican governors want their state laws upheld. The Republican former governor running the NCAA wants federal preemption. The Republican president wants DOJ to litigate toward a federal solution. None of them is wrong on the facts; they want different outcomes.

§ 06 / Where the Money Actually Sits — the $20.5M Cap

The dollar figure to remember is roughly $20.5 million per school per year. That is the revenue-share cap established in the House v. NCAAsettlement (approved 2024-2025) under which Division I athletic departments can directly pay their athletes a share of broadcast and licensing revenue. Texas HB 126 wrote that cap into Texas state law — meaning Texas schools have a statutory authorization for the conduct, separate from NCAA permission. The other three state frameworks operate on similar logic: state law authorizes the spending, and the state tells the NCAA it cannot penalize the school for following state law.

That number is also why Paul Finebaum’s analysis matters. Finebaum’s point, captured in his “NCAA is worthless” ESPN segment and across his radio and Globe commentary in 2025-2026, is that the $20.5M ceiling at the top schools, combined with collective spending on top of that, creates a competitive split that swallows the lower-resource schools. His political prescription is federal action:

There's only one fix for college football, and that is to lean on Washington to solve the problems that you were unable to solve yourself. [Federal intervention is] the one thing that can fix college football.

Paul Finebaum · ESPN · commentary across 2025-2026 cycle on the House settlement era
The NCAA is worthless after NIL decision — Paul Finebaum | ESPN College Football
§ 07 / The Public Posture — AGs, the NCAA, the White House

The state attorneys general defending the NIL frameworks — Tim Griffin (R-AR), Andrew Bailey (R-MO), Ken Paxton (R-TX), Gentner Drummond (R-OK) — have not, as of publication, announced a coordinated federal-court response to the Trump EO, in part because no DOJ enforcement action has yet been filed under it. What is on the record is the substantive position each has staked out separately: a state legislature passes a law, a governor signs it, and a private association does not get to tell that state’s public universities to ignore it.

𝕏
Gov. Charlie Baker (NCAA President)
@CharlieBakerMA · January 14, 2026 · X

Editorial paraphrase of NCAA President Charlie Baker's documented State of College Sports framing: college sports needs federal preemption legislation, not 50 state frameworks pulling in different directions. The patchwork is unsustainable for the schools, unfair to the athletes, and corrosive to the competitive integrity that built the sport. Verbatim public posts from @CharlieBakerMA on the specific 2026 EO have not been independently confirmed at publication time.

𝕏
Pete Nakos (On3 NIL beat)
@PeteNakos_ · 2023-2026 · X

Editorial paraphrase of Pete Nakos's documented On3 NIL-beat reporting since the Wilcox memo: the NCAA's 2023 guidance has not been formally retracted but has been operationally abandoned as antitrust pressure made enforcement untenable. The state-law-NCAA gap is now wider, not narrower, three years on. Verbatim @PeteNakos_ X posts on the specific 2026 EO have not been independently confirmed at publication time.

Donald J. Trump@realDonaldTrump

College football and college sports built America's universities and have given generations of young athletes a chance to compete at the highest level. The NCAA cannot run them into the ground with a chaotic patchwork of rules that hurt our young athletes and the great programs that develop them. Federal action is coming to save college sports — the right way.

Paraphrased commentary · not a verbatim post

Composite paraphrase of President Trump's April 2026 college-sports EO framing (whitehouse.gov fact sheet + signing remarks).

Composite — Republican State AGs (Griffin / Bailey / Paxton / Drummond)@StateAGsRepublican

States set the rules for athletes on their campuses. Private associations cannot override democratically passed laws. We will defend our state's NIL law in any forum, including federal court.

Paraphrased commentary · not a verbatim post

Composite of the Republican state attorneys general (Tim Griffin AR · Andrew Bailey MO · Ken Paxton TX · Gentner Drummond OK) substantive positions on NCAA-vs-state-NIL-law conflicts, drawn from each AG's documented public statements 2023-2026. Not a verbatim joint statement.

§ 08 / Open Questions

The August 1, 2026 EO implementation deadline is ten weeks out as of publication. Between now and then a defined set of questions will be answered, and the public record is sparse on each:

The cleanest summary of the editorial frame: this is a fight between two kinds of legitimacy — democratic legitimacy (state legislatures, governors, statutes) and institutional legitimacy (a private association whose member schools agreed to its rules). The 2023 Wilcox memo treated institutional legitimacy as superior. Three years on, federal courts under the Tennessee antitrust line of cases have effectively held that democratic legitimacy controls. The Trump EO opens a third channel: federal commerce authority, which is neither state sovereignty nor private-association rulemaking. This page will be updated as the August 1, 2026 implementation deadline brings further material into the public record.

Sources & Methodology · 16 Sources
Editorial note · This page treats the NCAA-vs-state-law NIL fight as one continuous story from the June 27, 2023 Stan Wilcox memo through the April 3, 2026 Trump executive order. The legal posture as of publication: every state NIL law cited here is in force; the NCAA memo position has not been formally retracted but has been operationally abandoned under antitrust pressure from the Tennessee litigation (see Sportico, source 16); the Trump EO directs the U.S. Department of Justice to challenge state NIL frameworks under the Dormant Commerce Clause but has not yet been tested in federal court. Charlie Baker’s January 14, 2026 State of College Sports address is the most recent on-the-record NCAA framing. All vote tallies are from official state legislative records. Party affiliations are accurate as of the date of the conduct described; in particular Missouri’s 2023 NIL law was signed by Gov. Mike Parson (R), who left office in January 2025 and was succeeded by Gov. Mike Kehoe (R). AG Andrew Bailey (R-MO), AG Tim Griffin (R-AR), AG Ken Paxton (R-TX), and AG Gentner Drummond (R-OK) are the state attorneys general on record defending their state NIL frameworks.