The proposed deal not only aims to compensate athletes for their hard work but also opens the door for schools to directly reward athletes while regulating booster payments.

The settlement, which covers three antitrust cases, including the well-known House vs. the NCAA lawsuit, challenges NCAA compensation rules dating back to 2016. Plaintiffs argued that these rules deprived thousands of athletes of their fair share of earnings from the use of their names, images, and likenesses.

"This is nothing short of a seismic change to college sports following more than four years of hard-fought victories in this case," stated Steve Berman, managing partner and co-founder of the Hagens Berman law firm, expressing his satisfaction with the proposed settlement. College athletes would finally be able to share in the billions of dollars generated by their athletic performances and stories for their schools, conferences, and the NCAA.

The $2.78 billion payout will be distributed over a 10-year period, with individual amounts determined based on the sport and length of the athlete's career. Most football and men's basketball players could receive nearly $135,000 each, while the highest estimated payout could reach almost $2 million.

Notably, the law firm involved in the lawsuit pointed out that a significant portion of the payouts would be attributed to "Lost NIL Opportunities," referring to potential earnings that athletes missed out on due to NCAA regulations. It is an acknowledgment of the opportunities that college athletes could have had under different circumstances.

It is important to mention that the settlement agreement does not resolve the issue of whether college athletes should be considered employees. However, it does include language suggesting the possibility of revisiting the deal if there are changes in the law or circumstances that permit collective bargaining.

While the proposed settlement is seen as a significant step forward for student-athletes and college sports, the commissioners of the Atlantic Coast Conference, Big Ten, Big 12, Pac-12, NCAA President Charlie Baker issued a joint statement emphasizing the need for federal legislation to address remaining challenges. They expressed concern that without Congressional action, state laws and continued litigation could undermine the progress achieved through the settlement.

Although the filing still requires approval from a judge, attorneys involved in the case intend to file a motion for preliminary approval. If granted, a public website will be launched in approximately two months, allowing former college athletes to determine their eligibility and how much they are entitled to receive.

The proposed settlement marks a significant turning point for college athletes' rights and could potentially reshape the landscape of college sports. With billions of dollars set to be disbursed over the next decade, athletes will finally reap the rewards of their efforts, ensuring a fairer and more equitable playing field for all.