Rule 2 Section 3
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The Referee shall make decisions on any points not specifically covered in the rules.
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I agree that I would allow the substitution. Eligibility rules are not part of the NFHS rulebook. Therefore, any reasonable decision made by the Referee would be correct. I was taught in school that there are Correct Decisions; Good Decisions and Right Decisions. This is probably one of those times where there is more than one correct one. In reading these responses, I think that charging the team with a timeout is the Right Call..