The dumbest story on NIL- Gervon Dexter

[NatronaHeightsPanther]

Bears rookie Dexter sues company over NIL deal

An NIL deal signed in 2022 that gave Bears rookie Gervon Dexter more than $400,000 in exchange for 15% of his future earnings in the NFL violated a state law, according to a Florida state legislator.

www.espn.com

This is an absolutely stupid turn of events. In essence, Gervon Dexter a DL from Florida took 436,000 in NIL money from a group called Big League Advance Fund. But, in the deal, Dexter agreed to pay this company 15% of his pre-tax NFL earnings for 25 years!!!!!!

Of course, now that Dexter has to pay that money back, someone explained to him just how dumb he was to agree to it, and he has filed a lawsuit to void the contract.

If this is voided, I would imagine Big League Advancement Fund would probably sue Gervon Dexter for at least their money back, plus whatever else they could get.

It speaks to the dangers of letting 18 year old sign a deal with people completely foreign to them. These people can prey on morons like Gervon Dexter, and may or may not get away with it.

 

[cease10]

Pretty much a predatory loan. Older folks need to protect these young athletes from themselves and predators like this.

There's probably more situations like this. I doubt he's the only one.

 

[303vND]

Who would agree to this deal?!! GEEEEEZZZZZZEEEEE!

 

[thebadby2]

Wow--that is really bad.

I take it ol' Gervin wasn't in the B school at U of F......

 

[The Ole Six-Fiver]

Who would agree to this deal?!! GEEEEEZZZZZZEEEEE!

Likely signed it with two hookers hanging off his … arms.

 

[razzaba]

How many players has this group signed? If a lot, sounds like venture capital where some players make it and some don’t. if someone they sign goes nowhere and makes nothing, the money is gone with $0 return.

 

[lilspainishflea]

Bears rookie Dexter sues company over NIL deal

An NIL deal signed in 2022 that gave Bears rookie Gervon Dexter more than $400,000 in exchange for 15% of his future earnings in the NFL violated a state law, according to a Florida state legislator.

www.espn.com

This is an absolutely stupid turn of events. In essence, Gervon Dexter a DL from Florida took 436,000 in NIL money from a group called Big League Advance Fund. But, in the deal, Dexter agreed to pay this company 15% of his pre-tax NFL earnings for 25 years!!!!!!

Of course, now that Dexter has to pay that money back, someone explained to him just how dumb he was to agree to it, and he has filed a lawsuit to void the contract.

If this is voided, I would imagine Big League Advancement Fund would probably sue Gervon Dexter for at least their money back, plus whatever else they could get.

It speaks to the dangers of letting 18 year old sign a deal with people completely foreign to them. These people can prey on morons like Gervon Dexter, and may or may not get away with it.

They will 100% get their money back at worst. But they're also going into arbitration and will have to pay their own legal fees and split arbitration costs, which could easily be $100,000+. So this is going to turn out to be a pretty bad deal for them, too.

They would have been fine if they had included the FL specific language they needed and dialed back the loan terms to be more in line with the 20% rate you can get for a personal loan. Sometimes being greedy is stupid.

 

[h2p_5150]

Who would agree to this deal?!! GEEEEEZZZZZZEEEEE!

A deal like this actually makes a lot of sense for some guys. Let's say you are a 4 star recruit out of high school. Signing this deal to guarantee some income makes a lot of sense when, statistically, you are probably unlikely to earn a lot more in the NFL. It's a numbers game. The company loses money on 19 guys but guy number 20 makes 55 million in NFL earnings and makes up for it.

It made NO sense for Dexter to sign this deal though. At the time he was widely considered a near lock to be an early round pick in a year.

 

[The Ole Six-Fiver]

Many said that “be careful what you ask for”, “buyer beware” and other slogans that grandparents and other geezers like to say, as far as young immature hormone driven easily distracted, easily swayed, easily conned college (and high school!) athletes suddenly launched intothe Wild, Wild, Unregulated West of Pay For Play. These cases and others like them are likely growing common; we are only hearing of a couple here and there.

The risks are both ways really. Stories have also spread of NIL companies giving sizable money to recruits who then renege on the school; existing players who immediately transfer or even quit; or (looking like it with Jurkovec) are given decent money but just end up a complete washout. The later situation is just the chance you take, but the others are flat out fraud.

The thing that seems to be in common for both sides is that once malfeasance has occurred, it’s a hassle to try to get one’s money back.

 

[djbpitt]

Pretty much a predatory loan. Older folks need to protect these young athletes from themselves and predators like this.

There's probably more situations like this. I doubt he's the only one.

Adults of legal age need to understand that choices have consequences. There, I fixed that for you.

 

[303vND]

A deal like this actually makes a lot of sense for some guys. Let's say you are a 4 star recruit out of high school. Signing this deal to guarantee some income makes a lot of sense when, statistically, you are probably unlikely to earn a lot more in the NFL. It's a numbers game. The company loses money on 19 guys but guy number 20 makes 55 million in NFL earnings and makes up for it.

It made NO sense for Dexter to sign this deal though. At the time he was widely considered a near lock to be an early round pick in a year.

No...it doesn't make any sense because they are paying you for your "Name Image and Likeness" - they are not renting you out for future gains on your income. Their money should be generated by using you for some level of marketing based on your performance at the university. It's a horrible deal!

 

[President Stache]

Bears rookie Dexter sues company over NIL deal

An NIL deal signed in 2022 that gave Bears rookie Gervon Dexter more than $400,000 in exchange for 15% of his future earnings in the NFL violated a state law, according to a Florida state legislator.

www.espn.com

This is an absolutely stupid turn of events. In essence, Gervon Dexter a DL from Florida took 436,000 in NIL money from a group called Big League Advance Fund. But, in the deal, Dexter agreed to pay this company 15% of his pre-tax NFL earnings for 25 years!!!!!!

Of course, now that Dexter has to pay that money back, someone explained to him just how dumb he was to agree to it, and he has filed a lawsuit to void the contract.

If this is voided, I would imagine Big League Advancement Fund would probably sue Gervon Dexter for at least their money back, plus whatever else they could get.

It speaks to the dangers of letting 18 year old sign a deal with people completely foreign to them. These people can prey on morons like Gervon Dexter, and may or may not get away with it.

This is what happens when you let scum enter college and high school athletics and get involved.

They didnt give 2 shits about this kid. This is nothing more than a company trying to make money.