- High school NIL
- Restricted. No brand deals during high school eligibility
- High school authority
- University Interscholastic League (UIL)
- High school rule
- UIL amateur rules, with guidance under Texas House Bill 126 (2025)
- High school effective
- HB 126 signed by Gov. Abbott June 2025. UIL guidance for the 2025-26 school year.
- College NIL
- Permitted, including direct school payments
- College law
- Texas Education Code § 51.9246 (SB 1385, 2021), amended by House Bill 126 (2025)
- College effective
- SB 1385 effective July 1, 2021. HB 126 signed June 2025, aligned to the House settlement's July 1, 2025 start.
- Paperwork
- Disclose any agreement to the institution as its policy requires
- Penalty
- Signing a third-party NIL deal while UIL-eligible is an amateur status violation and can end an athlete's high school eligibility. Institutional agreements that pay before enrollment carry the same risk.
Where high school NIL stands in Texas.
Texas is the state families misread most. Despite the headlines when House Bill 126 was signed in June 2025, high school athletes in Texas still cannot sign NIL deals with brands, businesses, or collectives while they hold UIL eligibility. The UIL amateur rule has not changed on that point.
What HB 126 changed is the pipeline to college. A prospective college athlete who is 17 or older may now sign an NIL agreement, but only with a postsecondary institution, only in line with state law and NCAA rules, and the money cannot be paid until the athlete is actually enrolled. Athletes 16 or younger, and their family members, cannot sign NIL agreements with anyone.
Effective: HB 126 signed by Gov. Abbott June 2025. UIL guidance for the 2025-26 school year.
What a high school athlete can and can't do.
Allowed
- ✓Signing a scholarship agreement with a college under NCAA rules
- ✓Athletes 17 or older: signing an NIL agreement with a college or university, with payment deferred until enrollment
- ✓Obtaining professional representation to assist with NIL matters (UIL rules do not prohibit this)
- ✓Building a personal brand and audience now, with no compensation attached
Not allowed
- ×Signing NIL deals with brands, businesses, or collectives while UIL-eligible
- ×Receiving any NIL money before enrolling at the college
- ×Any NIL agreement for athletes 16 or younger, or for family members of the athlete
- ×Deals tied to recruitment or athletic performance
- ×Promoting alcohol, tobacco, gambling, or similar categories
The high school checklist.
- →Confirm your age and status: the institutional carve-out applies only at 17 or older
- →Sign only with the institution itself, never a third party acting for it
- →Disclose any agreement to the institution as its policy requires
- →Keep every dollar deferred until enrollment; an early payment is an eligibility problem
Agents and advisors
The UIL says plainly that its rules do not prohibit a prospective student-athlete from obtaining professional representation for NIL matters. That means a Texas senior can have MSG at the table for the institutional NIL agreement, which is where the real negotiation happens. Any agent should be registered under the Texas Athlete Agents Act.
Penalties
Signing a third-party NIL deal while UIL-eligible is an amateur status violation and can end an athlete's high school eligibility. Institutional agreements that pay before enrollment carry the same risk.
College NIL in Texas.
Texas college athletes have been able to sign third-party NIL deals since July 2021 under SB 1385, which also required disclosure to the school and barred deals tied to enrollment or performance. House Bill 126 changed the bigger piece in 2025: it lifted the ban on universities paying athletes directly, so Texas schools can participate fully in revenue sharing under the House settlement.
HB 126 also set the age floor at 17 for any NIL agreement and confirmed that a high school athlete's institutional agreement cannot pay out until enrollment. Texas remains one of the most active NIL markets in the country, with collectives, direct school payments, and athlete-run NIL clubs all operating.
Effective: SB 1385 effective July 1, 2021. HB 126 signed June 2025, aligned to the House settlement's July 1, 2025 start.
Texas law: key points
- ✓Third-party NIL deals permitted since July 1, 2021
- ✓Direct payments from the university permitted under HB 126, within the House settlement cap
- ✓Minimum age of 17 for any NIL agreement; payment deferred until enrollment for prospects
- ✓Deals must be disclosed to the institution
- ✓No deals as an inducement to enroll, and no compensation for athletic performance
- ✓Agents must be registered under the Texas Athlete Agents Act (Occupations Code Ch. 2051)
National framework (House settlement)
Since July 1, 2025, college NIL runs on two tracks. Third-party deals with brands and businesses remain open, and the House v. NCAA settlement now lets Division I schools that opted in pay athletes directly, capped at roughly $20.5 million per school in the first year and rising annually. State law sits on top of that framework and can add rules, but cannot take the federal settlement terms away.
- →Third-party NIL deals of $600 or more must be reported through the NIL Go clearinghouse, generally within five business days, and are reviewed for fair market value
- →Direct payments from a school count against that school's revenue-sharing cap; third-party deals do not
- →The College Sports Commission handles enforcement tied to settlement rules; the NCAA still governs eligibility
- →Every school also has its own NIL policy on disclosure, prohibited categories, and use of school marks, and it applies alongside state law
- →Federal NIL legislation has been proposed repeatedly and remains unresolved
Major Sports Group
What this means for a Texas athlete.
For a Texas high school athlete, NIL is a senior-year negotiation, not a sophomore-year side hustle. The money comes from the school you commit to, and the terms of that agreement are negotiable in ways most families never realize.
That is where MSG earns its keep in Texas: reviewing the institutional agreement line by line before it gets signed, and making sure nothing in it, or around it, jeopardizes eligibility during the final high school season. The brand-building starts earlier, so the athlete walks into that negotiation with leverage.
Texas NIL FAQ.
Can high school athletes in Texas do NIL deals?
Not with brands or businesses. UIL rules prohibit high school athletes from signing third-party NIL deals while they remain eligible. Under House Bill 126, an athlete who is 17 or older may sign an NIL agreement only with a college or university, and cannot be paid until enrolled.
What did Texas House Bill 126 change for high school athletes?
HB 126, signed in June 2025, lets prospective college athletes aged 17 or older sign NIL agreements with postsecondary institutions, with payment deferred until enrollment. It did not open high school NIL with brands; the UIL amateur rule still bars that.
Can a 16-year-old in Texas sign an NIL deal?
No. Under HB 126 and UIL guidance, athletes 16 or younger, and family members of any prospective athlete, may not sign NIL agreements with institutions, businesses, collectives, or individuals.
Can a Texas high school athlete have an agent?
Yes. The UIL states that its rules do not prohibit a prospective student-athlete from obtaining professional representation to assist with NIL matters. Agents should be registered under the Texas Athlete Agents Act.
When can a Texas athlete actually receive NIL money?
Once enrolled at the college. Agreements signed at 17 or older with an institution are permitted, but payment cannot begin until the athlete is enrolled and participating in the program.
What is Texas's college NIL law?
Texas Education Code 51.9246, enacted by SB 1385 in 2021 and amended by HB 126 in 2025. The 2025 amendment removed the ban on universities paying athletes directly, allowing Texas schools to share revenue under the House settlement, and set 17 as the minimum age for any NIL agreement.
Can Texas universities pay athletes directly?
Yes, since HB 126 took effect alongside the House settlement on July 1, 2025. Direct payments count against the school's revenue-sharing cap, roughly $20.5 million in year one. Third-party deals remain separate and uncapped.
- Texas NIL laws 2026 explained (Sportsepreneur, April 2026)
- UIL NIL Information, 2025-26
- New Texas NIL bill signed into law (KBTX, June 2025)
- Texas approves NIL deals for 17-year-old athletes, with major restrictions (Sports Illustrated)
- NIL Rules in 2026: updated guide (Sportsepreneur, June 2026)
Rules change, sometimes mid-season. This page reflects the sources above as of August 2026 and is general information, not legal advice. Confirm the current position of the University Interscholastic League, your college\u2019s NIL policy, and your school before signing anything.