maine nil laws

Maine NIL Laws: Rules for College and High School Athletes

Legislative Document 1893 (2022) — The Statutory Bedrock:

  • “An Act Regarding the Use of a Student Athlete’s Name, Image, Likeness or Autograph”
  • Introduced by Senator Luchini (Hancock) + Rep. Brennan (Portland)
  • Section 12973: Right to compensation for NIL + autographs
  • “Negative injunction”: Prohibits institutions from preventing NIL contracts
  • Section 12975: NCAA cannot sanction Maine schools for NIL compliance
  • Status: “Carried over” to 2025 session (Joint Order SP 800)—living document

Section 12974 — “Employment Shield”:

  • Student-athlete “may not be considered an employee” based on athletic participation
  • Deliberate legislative firewall against NLRB/federal labor classification
  • Defense against minimum wage, overtime, union representation claims
  • Creates hybrid: Professionals in marketplace (NIL) but amateurs in labor
  • Vulnerable if federal courts definitively rule athletes = employees

Tax Disadvantage — 7.15% vs. NH’s 0%:

  • Maine: Progressive income tax up to 7.15%
  • “Millionaire’s Tax” proposals could push higher
  • New Hampshire: 0% state income tax on earned income
  • “Tax Cliff” at border: $50K NIL = $50K at UNH vs. ~$46,425 at UMaine
  • UMaine must raise MORE gross capital to offer same net purchasing power
  • Strategy: Compete on “Brand Loyalty” vs. “Cash Efficiency”

University of Maine — House Settlement Reversal (June 2025):

  • State’s sole Division I institution (CAA football, Hockey East)
  • Initially signaled intent to OPT-OUT (“thoughtful, strategic approach”)
  • Late June 2025: REVERSED to OPT-IN
  • Reason: “Clarifying guidance” on roster limits (85→105 football)
  • Calculated gamble: Opt-in = share SOME revenue; Opt-out = zero sharing
  • Cost of exclusion = existential (can’t compete for top talent)

UMaine Collectives:

  • “Black Bear NIL Collective”: LLC (NOT 501(c)(3))
    • “Contributions NOT tax-deductible” (responds to IRS AM 2023-004)
    • Donors can direct funds to specific teams or general fund
    • “Independent” of university (NCAA compliance)
  • “Bear Down Collective”: Volunteer-led (Alex Gray, Kristen McAlpine)
    • 10% overhead (90 cents of every dollar → athlete)
    • Philosophy: “It’s a pretty dark place when they aren’t winning”

“Maine-Made” Strategy — Hyper-Localization:

  • Icon Suite Marketplace: Digital platform connecting athletes + brands
  • New Balance: 7-year apparel + $7M track/soccer complex (“indirect NIL”)
  • Orono Brewing Company: “Family 4-Pack” deals, QB Carter Peevy videos
  • Hammond Lumber: $500,000 commitment (timber industry)
  • Bangor Savings Bank: “Protected University Sponsor” (athlete conflicts restricted)
  • “Blue Economy” Innovation: Lobster industry partnerships
    • Athletes in gear testing, marine research
    • National Fish and Wildlife Foundation grants
    • “Work-based” NIL aligns with land-grant/sea-grant mission

UMaine Policy — Compliance and Control:

  • Mandatory disclosure BEFORE activity (ARMS software, NIL Go)
  • Deals ≥$600 must report to clearinghouse (1099 tax threshold)
  • Failure to disclose = ineligibility for practice/competition
  • IP monetization: Logos, marks, facilities WITH written approval + fees
  • F-1 visa restriction: International students “may be prohibited”

Bowdoin / Bates / Colby — NESCAC “Compliance Firewall”:

  • Division III: No athletic scholarships (need-based aid only)
  • Faculty/staff PROHIBITED from developing/promoting NIL
  • IP rigidly banned: No school logos, nicknames, or facility filming
  • Athletes = “student who plays football” NOT “Bowdoin Football Player”
  • NIL cannot be inducement to enroll

NESCAC “Micro-Collectives”:

  • “NIL Clubs” = athlete-operated subscription communities
  • Bowdoin Football NIL Club / Bates Football NIL Club
  • Small-scale goals: $740-800 total monthly for entire team
  • “Socialist” approach: Proceeds split equally among participants
  • Explicitly “not affiliated” with colleges (compliance distance)

Why Maine Matters:

Maine = rare codified statute (LD 1893) with “Employment Shield.” UMaine June 2025 reversal to opt-in = commitment to professionalization. “Maine-Made” hyper-localization: Orono Brewing, Hammond Lumber, “Blue Economy” lobster partnerships. Black Bear Collective LLC (NOT tax-deductible) + Bear Down (10% overhead). NESCAC “Compliance Firewall” + “Micro-Collectives” ($740-800/team). 7.15% tax vs. NH’s 0% = “Tax Cliff” competitive disadvantage. MPA permits HS NIL with strict IP prohibition.

Maine College NIL Rules

Governed by LD 1893 (2022) + NCAA rules + House settlement. Two distinct models: UMaine (D-I, opted in) vs. NESCAC (D-III, “Compliance Firewall”).

What Maine Offers:

  • Codified NIL rights (LD 1893, Section 12973)
  • “Employment Shield” (Section 12974)
  • Revenue sharing permitted (UMaine opted in June 2025)
  • Anti-retaliation clause (Section 12975: NCAA cannot sanction)
  • Note: 7.15% top tax rate (disadvantage vs. NH)

UMaine Infrastructure (“Maine-Made”):

  • “Black Bear NIL Collective” (LLC, NOT tax-deductible)
  • “Bear Down Collective” (10% overhead)
  • Icon Suite Marketplace
  • “Blue Economy” partnerships (lobster industry)
  • ARMS compliance software + NIL Go clearinghouse

NESCAC Infrastructure (“Compliance Firewall”):

  • “NIL Clubs” = athlete-operated subscription communities
  • Small-scale goals ($740-800/team/month)
  • Egalitarian split among participating athletes
  • NO institutional involvement (strict separation)

Maine High School NIL Rules

Maine Principals’ Association (MPA) classifies Maine as “Confirmed Permitted” state—monetization allowed with strict IP firewall and moral clause.

Key Facts:

  • Governing Body: Maine Principals’ Association (MPA)
  • Status: “Confirmed Permitted” with restrictions
  • Strict IP firewall + “Moral Clause”

MPA IP Prohibition:

Permitted: Commercial endorsements, promotional activities, social media monetization. Prohibited: ANY reference to member school or MPA. Cannot wear team apparel, display school logos, use school name. Prevents “pay-for-play” recruiting wars at high school level.

MPA “Moral Clause” Prohibitions:

Cannot endorse: Adult entertainment; alcohol, tobacco, cannabis, controlled substances; weapons; gambling/sports betting (significant given rise of betting advertising). Creates strategic pipeline for UMaine: In-state talent with financial literacy/commercial experience.

College vs. High School: Key Differences

FeatureCollege (LD 1893)High School (MPA)
NIL StatusCodified statute (2022)Confirmed Permitted
State StatuteLD 1893 (living document)MPA policy
Revenue SharingUMaine: Yes / NESCAC: NoN/A
School Logos/UniformsUMaine: Yes (w/ fees) / NESCAC: NoProhibited
Employment StatusShield" (Sec. 12974)N/A
State Income Tax7.15% top rate7.15% top rate
Vice IndustriesPer NCAA rulesMoral Clause" bans
Tax DeductibleBlack Bear: No / Bear Down: NoN/A

The Key Distinction: Maine = rare codified statute (LD 1893) with “Employment Shield” (Section 12974). UMaine June 2025 reversal to opt-in. “Maine-Made” hyper-localization: “Blue Economy” lobster partnerships. Black Bear Collective LLC (NOT tax-deductible). NESCAC “Compliance Firewall” + “Micro-Collectives” ($740-800/team). 7.15% tax vs. NH’s 0% = “Tax Cliff” competitive disadvantage. MPA “Moral Clause” prohibitions.

What Maine Athletes Can Do

College Athletes (UMaine):

Earn NIL compensation (codified LD 1893); Receive revenue sharing (House settlement); Work with Black Bear NIL Collective or Bear Down Collective; Participate in “Maine-Made” partnerships (Orono Brewing, Hammond Lumber, lobster industry); Use Icon Suite Marketplace; Monetize IP with written approval + fees; Receive fan support through platforms like RallyFuel.

College Athletes (NESCAC):

Sign commercial endorsements (NO school affiliation); Participate in “NIL Clubs” subscription communities; Build personal brand separate from school identity; NO coach/staff facilitation; NO school marks, logos, or facilities.

High School Athletes:

Sign commercial endorsements (NO school affiliation); Promotional activities and social media monetization; Build personal brand for college recruitment.

What Maine Athletes Cannot Do

College Athletes (UMaine):

Cannot endorse: gambling, tobacco, adult entertainment, controlled substances (NCAA rules); International students (F-1 visa): “May be prohibited” from NIL; Cannot use IP without written approval + fees; Must disclose ≥$600 deals or face ineligibility; Cannot sign conflicting deals with “Protected University Sponsors” (e.g., Bangor Savings Bank).

College Athletes (NESCAC):

Cannot use school logos, nicknames, or facilities; Cannot accept faculty/staff NIL assistance; Cannot use NIL as enrollment inducement.

High School Athletes:

Cannot reference school or MPA; Cannot wear team apparel or display school logos; Cannot endorse: adult entertainment, alcohol, tobacco, cannabis, controlled substances, weapons, gambling/sports betting.

Both:

Must pay Maine state income tax (progressive up to 7.15%) + federal + self-employment; Must maintain academic eligibility.

Compliance Requirements

For College Athletes:

UMaine: Disclose ALL NIL BEFORE activity (ARMS software, NIL Go); Report deals ≥$600 to clearinghouse; Obtain written approval for IP usage; Pay licensing/facility fees; Avoid “Protected Sponsor” conflicts. NESCAC: Participate in “NIL Clubs” only; Never accept faculty/staff assistance; Never use school marks/logos/facilities.

For High School Athletes:

NEVER reference school or MPA; NEVER wear team apparel or display school logos; NEVER endorse “Moral Clause” prohibited products; Understand value is entirely personal (not institutional).

For Parents:

For college: LD 1893 = codified rights + “Employment Shield”; UMaine June 2025 opt-in = professionalization commitment; “Maine-Made” strategy = heritage industry partnerships; Black Bear/Bear Down = NOT tax-deductible (IRS scrutiny); 7.15% tax = “Tax Cliff” vs. NH’s 0%. For high school: MPA = “Confirmed Permitted”; Strict IP prohibition (no school reference); “Moral Clause” = extensive vice bans; Creates strategic pipeline with financial literacy.

How Fans Support Maine Athletes

Maine has passionate Black Bear, Polar Bear, Bobcat, and Mule fans—and now they can directly support athletes through NIL.

College Athletes:

Platforms like RallyFuel enable Maine fans to support athletes at:

  • University of Maine – CAA (Football) / Hockey East (Division I)
  • Bowdoin College – NESCAC (Division III)
  • Bates College – NESCAC (Division III)
  • Colby College – NESCAC (Division III)
  • All sports—Hockey, Football, Basketball, and more

Maine NIL Infrastructure:

UMaine “Black Bear NIL Collective”: LLC (NOT tax-deductible). Donors direct to specific teams or general fund. “Independent” of university. UMaine “Bear Down Collective”: 10% overhead. Volunteer-led. 90 cents/dollar → athlete. “Maine-Made” Partners: New Balance ($7M facility), Orono Brewing, Hammond Lumber ($500K), Bangor Savings, “Blue Economy” (lobster). NESCAC “NIL Clubs”: Subscription communities. $740-800/team/month. Egalitarian split.

How It Works:

1. Create an account on RallyFuel.com or the mobile app
2. Select your Maine school affiliation
3. Browse verified athletes currently on your program’s roster
4. Fuel athletes you want to support
5. Track your support through your fan dashboard

How It Works: When you purchase Fan Fuel, you’re purchasing Conditional NIL Engagement Rights (CNERs). If conditions are met, RallyFuel or its affiliate offers an NIL Agreement to the athlete. If conditions aren’t met—for example, if an athlete transfers—you receive an automatic refund.

Conditional Protection: RallyFuel’s conditional model protects Fan Fuel with automatic refunds if athletes transfer or conditions aren’t met. Maine fans can support players without financial risk.

Important: Fan support through RallyFuel is voluntary and conditional. Fuel purchases are not charitable donations. RallyFuel is not a guarantor that any athlete will accept an NIL Agreement. Purchasing Fan Fuel does not guarantee athletic performance, playing time, or any specific outcome.

High School Athletes:

Maine high school athletes may pursue NIL opportunities under MPA rules (“Confirmed Permitted”) provided they have NO affiliation with their school and avoid all “Moral Clause” prohibited products.

Learn More About the NIL Landscape

Name, Image, and Likeness plays an increasing role in college sports, and understanding how it works often requires more than individual articles or news updates.

RallyFuel is a platform focused on NIL-related topics across college athletics. It brings together information about athletes, NIL activity, and the broader structure behind modern college sports, helping readers explore the topic in more depth.

Visit RallyFuel

Frequently Asked Questions

Can Maine high school athletes do NIL?

Yes. MPA classifies Maine as “Confirmed Permitted.” Allowed: Commercial endorsements, promotional activities, social media monetization. Prohibited: ANY reference to school or MPA; team apparel, school logos, school name; “Moral Clause” products: adult entertainment, alcohol, tobacco, cannabis, controlled substances, weapons, gambling/sports betting. Creates strategic pipeline for UMaine: Athletes enter with financial literacy and commercial experience.

What is the “Employment Shield” (Section 12974)?

LD 1893, Section 12974 stipulates student-athletes “may not be considered an employee” based on athletic participation. Deliberate legislative firewall against NLRB/federal labor classification. Defense against minimum wage, overtime, union representation claims. Creates hybrid: Professionals in marketplace (NIL) but amateurs in labor relationship. Vulnerable if federal courts definitively rule athletes = employees. Legislature “carried over” bill to 2025 session to potentially amend.

Why did UMaine reverse its House settlement decision?

Initially signaled intent to OPT-OUT (“thoughtful, strategic approach”). Late June 2025: REVERSED to OPT-IN. Stated reason: “Clarifying guidance” on roster limits (85→105 football). Allows offering partial scholarships or revenue-sharing stipends to expanded roster. Calculated gamble: Opt-in = share SOME revenue; Opt-out = zero sharing (legally barred). Cost of exclusion = existential—couldn’t compete against CAA/Hockey East peers for top talent.

What is the “Maine-Made” strategy?

Hyper-localization: NIL value from community identity, not national brand arbitrage. Integration with heritage industries: New Balance ($7M track/soccer complex—”indirect NIL”); Orono Brewing Company (“Family 4-Pack,” QB Carter Peevy videos); Hammond Lumber ($500K commitment); Bangor Savings Bank (“Protected University Sponsor”). “Blue Economy” Innovation: Lobster industry partnerships, athletes in gear testing/marine research, National Fish and Wildlife Foundation grants. “Work-based” NIL aligns with land-grant/sea-grant mission.

What is Maine’s “Tax Cliff”?

Maine: Progressive income tax up to 7.15% (“Millionaire’s Tax” proposals could push higher). New Hampshire: 0% state income tax on earned income. $50K NIL deal: Worth $50K at UNH vs. ~$46,425 at UMaine (7.15% eroded). UMaine must raise MORE gross capital to offer same net purchasing power as UNH. Strategy: Compete on “Brand Loyalty” (Maine identity, singular fanbase) vs. “Cash Efficiency.” New Balance longevity + community marketing = long-term career value pitch.

What happens if an athlete I supported transfers?

If an athlete transfers or selects a different school during the conditional period, you receive an automatic refund to your original payment method. No manual request is required.

Maine: Codified Statute Meets Hyper-Localization

Maine has codified NIL via Legislative Document 1893 (2022)—includes “Employment Shield” (Section 12974: athletes NOT employees). UMaine reversed course June 2025 to OPT-IN to House settlement (roster limit “clarifying guidance”; cost of exclusion = existential). “Black Bear NIL Collective” (LLC, NOT tax-deductible) + “Bear Down Collective” (10% overhead, volunteer-led). “Maine-Made” hyper-localization strategy: Orono Brewing Company, Hammond Lumber ($500K), New Balance ($7M facility), Bangor Savings (“Protected Sponsor”), “Blue Economy” lobster industry partnerships (gear testing, marine research). Bowdoin/Bates/Colby NESCAC = “Compliance Firewall” + “Micro-Collectives” ($740-800/team, egalitarian split). Tax disadvantage: 7.15% vs. NH’s 0% = “Tax Cliff” competitive headwind. MPA permits high school NIL with strict IP prohibition + “Moral Clause.”

For college athletes ready to maximize their NIL potential, RallyFuel provides fan-powered support with conditional protection. Explore verified Maine athletes and start fueling today.

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