A landmark NCAA settlement is making headlines again. This time the news is about how it might violate Title IX.
On June 11, 2025, eight female Division I athletes appealed to the Ninth Circuit Court of Appeals, challenging the allocation of back-pay in the House v. NCAA antitrust settlement. The $2.8 billion settlement pool is meant to compensate athletes for prior NCAA restrictions on name, image, and likeness (NIL) payments. But how those funds are being divided has sparked legal and equity concerns.
What Are the Athletes Arguing?
The appellants allege that the current back-pay formula is a Title IX violation.
Current formula: 90% to football and men’s basketball, 5% to women’s basketball, and 5% to all other athletes.
Their argument hinges on the law’s equal opportunity mandate: if compensation structures systematically underpay women, even in the context of a private antitrust settlement, they may still run afoul of Title IX’s requirement for nondiscriminatory treatment in federally funded education programs.
Although the original settlement was approved without Title IX conditions, this appeal directly challenges that approval and asks whether equity obligations should have applied.
What’s on Hold?
For now, back-pay distribution is paused. That means:
- No athlete checks are being sent from the $2.8 billion fund
- Other reforms, including revenue sharing, scholarship changes, and NIL flexibility, are moving forward and remain unaffected by the appeal
The Ninth Circuit will now decide whether Judge Wilken abused her discretion in approving the settlement terms. Briefs are due by October 3, 2025, and a final resolution could take a year or more.
Why Does This Matter for Title IX Coordinators?
This case has wide-reaching implications. Even though OCR has declined to regulate NIL under Title IX, the appeal raises the possibility that compensation structures tied to participation in athletics could still face Title IX scrutiny, especially if distributions appear to replicate or reinforce sex-based disparities.
Your key takeaway in all of this: Title IX obligations do not disappear in private settlements or new models of revenue sharing. Equity in treatment, opportunities, and benefits remains a requirement under federal law.
What You Should Do Now
While your institution may not be directly involved in the House case, compliance leaders should treat this as a signal to re-engage with athletics partners and prepare for broader discussions around equity in athlete compensation.
Here’s a checklist for action:
- Stay informed: Track the appeal timeline and resolution. If the Ninth Circuit finds Title IX applicable to settlement allocations, it could set a new compliance precedent for how institutions structure and justify any athlete compensation.
- Engage your athletics department: Ask questions about how back-pay estimates, revenue sharing, and NIL policies are being handled on campus. Are there internal disparities in how male and female athletes are supported or informed?
- Document your decision-making: If your team is part of conversations or reviews related to compensation, NIL, or policy shifts, keep written records. Title IX Coordinators are often brought in late. But being proactive helps show institutional awareness and good-faith effort.
- Educate institutional leadership: Make sure leadership understands that while federal enforcement around NIL is minimal today, legal liability and reputational risk remain if compensation practices result in clear disparities.
Looking Ahead
Whether the appeal succeeds or not, this case is already expanding the national conversation about how Title IX applies in new financial landscapes. It is no longer just about locker rooms and travel budgets! Compensation, settlements, and monetized opportunities are all part of the equity conversation now.
ICS will continue to monitor the case and provide updates as new information becomes available. In the meantime, if your institution is adjusting policies, entering agreements, or revisiting athlete support programs, we’re here to help you think through the compliance lens.
Need a training or consultation? Reach out to us! We would love to support your team.
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