California just passed a law that allows college athletes to get paid

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California just passed a law that allows college athletes to get paid
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California Gov. Gavin Newsom passed the Fair Pay to Play Act into law Monday. It allows college athletes to profit from their name, image and likeness, and will go into effect in 2023.

California Gov. Gavin Newsom passed SB 206, also known as the Fair Pay to Play Act, into law Monday. The law allows college athletes to profit from their name, image and likeness.

The bill will go into effect in 2023, and if the bill survives the expected court challenges, it could reshape the NCAA's business model.The formal signing of the bill was done on Uninterrupted's show"The Shop," which is hosted by NBA superstar LeBron James."This is a game changer for student athletes and for equity in sports," said James.

— LeBron James September 30, 2019 The Fair Pay to Play Act allows college athletes in California to sign endorsement deals; earn compensation based on the usage of their name, image and likeness; and sign all types of licensing contracts that would allow them to earn money.Read MoreThese college athletes would also be able to hire an agent licensed by the state to represent them in any deals.

— Ed O'Bannon September 30, 2019 Thank you to California Governor @GavinNewsom for his leadership signing the bill protecting college athletes and bringing more equality to the multi billion dollar industry. Cc: @KingJames #MoreThanAnAthlete — Draymond Green September 30, 2019 For its part, the NCAA says it's looking at next steps."As a membership organization, the NCAA agrees changes are needed to continue to support student-athletes, but improvement needs to happen on a national level through the NCAA's rules-making process.

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