Inside A Bombshell NIL Lawsuit

Imagine your coach promising you $250,000 to play basketball for his university team.

You never sign a contract or receive an email about it. But the promise is repeatedly made to you and your teammates throughout the season — even as frustrations and questions compounded.

Despite threats to boycott the season, you and your teammates finish out the season and never receive the promised payment.

This was the alleged reality of six former Florida State men’s basketball players according to a complaint filed on Monday in Florida’s Leon County circuit court. The players filed a lawsuit against their former coach, Leonard Hamilton, for failing to deliver on his $250k promise.

Let’s break down the complaint and why it matters:

Plaintiffs’ Complaint

The 20-page complaint begins with one of the greatest challenges college athletics has faced since athletes were permitted to profit from their name, image, and likeness (“NIL”).

Specifically, the complaint alleged that (i) Coach Hamilton promised compensation under the guise of NIL transactions and (ii) “stiffed and ignored” his players after failing to deliver the money.

Here, the amount in controversy was $250,000. According to the complaint, Coach Hamilton repeatedly promised his players he would fulfill his promise but ultimately failed to do so. Notably, Coach told his players the money was coming from his “business partners” and not the university or the school’s NIL collective, “Rising Spear.”

Frustration grew as the season progressed. The complaint alleges¹ that, before an important matchup against Duke, the players boycotted practice and threatened to sit out of the game itself.

And what did Coach Hamilton do once he caught wind of their plan? Reassured each player would receive the $250,000 by the following week.

So the players suited up, lost to Duke 76-67, and the season ended a month later. After not receiving any of the promised money, and after Coach refused to resolve the issue with plaintiffs’ counsel Darren Heitner, the lawsuit was filed.

In total, the complaint contains four counts: (i) breach of contract; (ii) promissory estoppel; (iii) fraudulent misrepresentation and fraudulent inducement; and (iv) negligent misrepresentations.

Although there was no written contract from Coach Hamilton, the complaint includes several text message screenshots among the players and between the players and an executive of Rising Spear.

As the players repeatedly pleaded for the promised money — to pay their rent, car payments, and taxes — the executive reassured them he was working with boosters and encouraged the players to “keep grinding” with the ACC tournament on the horizon.

The plaintiffs are seeking compensatory damages ($250k per player), as well as punitive and exemplary damages to deter and prevent similar future conduct by others.

Important To Remember

As with any lawsuit, it’s critical to remember that Coach Hamilton, as the defendant, has the opportunity to respond, explain, and provide his side of the story.

Yes, critical and significant enough to warrant its own heading and mini section.

A lawsuit does not start and end with a complaint. An answer will allow Coach to respond to each allegation. If the case proceeds to discovery, crucial information and relevant evidence will be produced. And of course, at any time, the case may settle.

Why This Matters + My Thoughts

I’m dividing up my opinions on why this lawsuit matters by starting with details I found significant: