Film Room: Employment Status, Eligibility Cases, and Related Federal Action

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Eversheds Sutherland (US) LLP

In this week’s Film Room, we provide an update from:

  • courts considering student-athlete employment status and eligibility rules
  • DC regarding potential federal action that may impact student-athlete employment status, eligibility rules, and more

Johnson (student-athlete employment status) update

As a brief refresher, plaintiff student-athletes in Johnson are seeking a finding that a wide range of student-athletes are employees of their institutions. In July 2024, the US Court of Appeals for the Third Circuit issued a decision directing the parties on the proper legal standard to be applied when considering whether student-athletes are employees under the Fair Labor Standards Act.

In November 2024, following the Third Circuit’s decision, plaintiffs submitted an amended complaint. In March 2025, defendants moved to dismiss the case. Plaintiffs responded in July, defendants replied in August, and plaintiffs filed a sur-reply just last week.

Briefing on the motion to dismiss now seems complete and we’ll await next steps in the litigation, which may include argument on the motion.

Texas state court eligibility decision

On September 24, a Texas state court ordered a temporary injunction that enjoined the enforcement of the membership’s five-year rule as applicable to football student-athlete Louis Moore.

Like several recent eligibility challenges, the plaintiff student-athlete was previously enrolled at a junior college and argued that including time spent there to restrict eligibility limits his economic opportunity. Unlike prior challenges, Moore based his challenge exclusively on Texas state antitrust law. The court calendared a trial on the merits for late January.

DC activity

The prospect of federal action that comprehensively addresses employment, eligibility, and other regulatory considerations in college athletics seems to be increasing.

On September 25, Ross Dellenger of Yahoo! Sports provided a detailed update on the SCORE Act that’s worth reading in full. The article frames key areas that could be addressed by the SCORE Act, which include employment status and the eligibility rules. The report suggested movement toward bipartisan agreement on several areas under current debate.

Separately, as we previously noted, the July 24, 2025, executive order directed government officials to assess and act in numerous areas impacting college athletics, including on student-athlete status and protection from challenges under antitrust theories (that could include those featured in the line of eligibility cases).

We’ll continue to keep you posted on ongoing court cases in these areas as well as the legislative and executive branch activity that impacts college athletics regulation.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

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