This bill establishes protections for student-athletes and certain four-year institutions of higher education regarding compensation for the use of their name, image, or likeness (NIL). It prohibits institutions from preventing student-athletes from earning such compensation and allows them to enter contracts for direct compensation. However, it restricts student-athletes under 21 from earning NIL compensation in connection with alcohol, tobacco, or cannabis products. The bill also ensures that student-athletes can obtain professional representation for contracts and legal matters, requiring that such representatives act in a fiduciary capacity.

Additionally, the bill outlines regulations for athletic associations and conferences, preventing them from penalizing institutions or student-athletes for engaging in NIL activities permitted by the bill. It protects contracts related to NIL compensation from public disclosure under the state's open public records act. Institutions are required to provide educational materials on NIL to student-athletes annually. The bill also repeals the New Jersey Fair Play Act, aiming to strengthen the state's NIL laws in light of recent national changes.