Ok for about the 10th time......Nick can transfer to wherever he wants. If PSU denies a release Nick must sit out next year. Not a problem since he has a redshirt(cannot accept any scholly money). If PSU releases Nick he is eligible next season.
BUT---the BigTen transfer rules are separate from the NCAA rules. If Nick does not receive a waiver he will lose a year of competition and only have two years of competition left and must sit out next year.
Here is the wording
From the RU website
Big Ten Intraconference Transfer Rule
Any student-athlete who has signed a financial aid agreement ("Big Ten Tender") with another Big Ten school may not represent a second Big Ten school in competition without first serving a full year-in-residence (i.e., sitting out a year). That student-athlete is also subject to the loss of one season of competition. Exceptions are granted if a student-athlete's National Letter of Intent has been declared null and void.
NOTE: The Big Ten intraconference transfer rule supersedes the NCAA transfer regulations. Therefore, student-athletes cannot utilize the NCAA transfer exceptions to avoid Big Ten transfer penalties.