Sec. 3. College athlete rights and protections
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/bill/117/s/4724/is/section-3·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Subject to a limitation pursuant to paragraph (3), an institution of higher education, an intercollegiate athletic association, or a conference may not restrict the ability of college athletes, individually or as a group, to market the use of their names, images, likenesses, or athletic reputations. A person may not use the name, image, likeness, or athletic reputation of any member of a group described in paragraph
(1)to sell or promote any product, including college athlete biometric information, unless the person obtains a license from the group for that purpose. Notwithstanding paragraph (1), a State may prohibit college athletes residing in the State from entering into endorsement contracts with entities in a particular industry if the State also prohibits institutions of higher education located in the State from entering into agreements with such entities. Notwithstanding paragraph (1), an institution of higher education may prohibit enrolled college athletes from entering into endorsement contracts with a third party in a particular industry if— the endorsement contract would violate the student code of conduct of the institution; and the institution refrains from entering into agreements with all entities in the particular industry. The student code of conduct of an institution of higher education may not interfere with or void the rights of college athletes under State or Federal law. An institution of higher education shall provide to each enrolled college athlete and to the Commission a list of entities with which institutions of higher education and college athletes are prohibited from entering into endorsement contracts pursuant to subparagraph
(A)or (B). In conjunction with an endorsement contract of a college athlete, an institution of higher education may enter into a separate agreement with the third party concerned for the intellectual property rights or the name, image, likeness, or athletic reputation rights of the institution of higher education, including the use of the logos and team uniforms of the institution of higher education, if— the third party provides covered compensation directly to the college athlete; and the agreement between the institution of higher education and the third party is not initiated or coordinated by the institution of higher education. Except as provided in subparagraph (B), an institution of higher education may require an enrolled college athlete to use, during a competition or practice sponsored by the institution of higher education, apparel selected by the institution of higher education. An institution of higher education may not prohibit, and may not enter into a contract that prohibits, an enrolled college athlete from carrying out activities pursuant to an endorsement contract during a period in which the enrolled college athlete is not engaged in a mandatory team activity. An institution of higher education may not prohibit or discourage an enrolled college athlete from wearing, during mandatory team activities, footwear of his or her choice that is consistent with the rules of the applicable sport, unless the footwear has lights, reflective fabric, or poses a health risk to the enrolled college athlete. Covered compensation— shall not be considered financial aid by any institution of higher education, intercollegiate athletic association, conference, or third party; and notwithstanding section 480(j) of the Higher Education Act of 1965 ( 20 U.S.C. 1087vv(j) ), shall not be included as financial assistance for purposes of determining a student’s eligibility for financial assistance under title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1070 et seq. ). Endorsement contracts and other financial information provided by an enrolled college athlete to an institution of higher education shall not be subject to Federal or State open records laws. An intercollegiate athletic association or a conference may not require or compel a college athlete to disclose information about an endorsement contract or covered compensation related to the use of the college athlete's name, image, or likeness. An institution of higher education may require a college athlete to disclose information about an endorsement contract or covered compensation, but must keep the terms and nature of the contract confidential. An institution of higher education, an intercollegiate athletic association, or a conference may not restrict the ability of an enrolled college athlete to receive payment from any source for— transportation for the enrolled college athlete and friends or family members of the enrolled college athlete during any period in which the enrolled college athlete is addressing a physical or mental health concern or participating in intercollegiate athletics competition; necessities, including food, shelter, medical coverage, and medical expenses; or tuition, fees, books, transportation, or any other incidental expense that is not otherwise provided by an institution of higher education or covered by a grant-in-aid. Receipt of covered compensation shall not adversely affect— an enrolled college athlete’s eligibility or opportunity to apply for a grant-in-aid; or the amount, duration, or renewal of an enrolled college athlete’s grant-in-aid. An institution of higher education may not revoke or reduce an enrolled college athlete’s grant-in-aid based on the enrolled college athlete having entered into an endorsement contract. An institution of higher education, an intercollegiate athletic association, or a conference may not restrict the ability of a college athlete to obtain representation with respect to an endorsement contract or employment outside the institution of higher education in which the college athlete is enrolled, including— representation provided by agents, group licensing entities, and financial advisors; and legal representation by attorneys. An institution of higher education, an intercollegiate athletic association, a conference, or an entity that has represented or has had a direct business partnership with an institution of higher education, an intercollegiate athletic association, or a conference, may not— represent college athletes with respect to the use of their names, images, likenesses, or athletic reputations; host or provide a platform or service related to the marketing or branding of a college athlete’s name, image, likeness, or athletic reputation; regulate the representation of college athletes with respect to the use of their names, images, likenesses, or athletic reputations; engage in the certification of individuals for such representation; or attempt to influence, or base co-branding decisions on, a college athlete’s choice of representation. An enrolled college athlete shall be entitled to transfer from one institution of higher education to another notwithstanding any contract to which an enrolled college athlete is a party or national letter of intent signed by the enrolled college athlete. Institutions of higher education, intercollegiate athletic associations, and conferences shall allow an enrolled college athlete to transfer from one institution of higher education to another without losing grant-in-aid opportunities or eligibility for intercollegiate athletics if— the college athlete is subject to an abusive or negligent environment within the institution of higher education; or it is the first time the enrolled college athlete transfers or there is a head coaching change in the enrolled college athlete’s sport; not less than 7 days before transferring, the enrolled college athlete provides to his or her athletic director notice of intent to transfer; and the transfer does not occur during— the season or the post-season period of the sport of the enrolled college athlete; or the 45-day period preceding the date on which such season commences. An institution of higher education may not eliminate or reduce the grant-in-aid of a college athlete who submits a written notice of intent to transfer or registers in a transfer portal, but rescinds the notice of intent to transfer or exits the transfer portal, as applicable, on a date that is— not later than 45 days after having initially registered for the transfer portal; and not less than 100 days before the beginning of the season of the sport of the college athlete. An institution of higher education, an intercollegiate athletic association, a conference, or a business partner of an institution of higher education, an intercollegiate athletic association, or a conference may not offer or provide to an enrolled college athlete any compensation or benefit (other than grant-in-aid) that is— conditioned on the enrolled college athlete transferring to a particular institution of higher education; or intended to induce the enrolled college athlete to transfer to a particular institution of higher education. Notwithstanding subparagraph (A), an institution of higher education, an intercollegiate athletic association, or a conference may provide an enrolled college athlete with reimbursement for expenses relating to campus tours or visits. An institution of higher education, an intercollegiate athletic association, or a conference may not prevent the participation of an enrolled college athlete in intercollegiate athletics based on the enrolled college athlete having entered into a professional sports draft, if the enrolled college athlete— does not receive compensation, directly or indirectly, from a professional sports league; and not later than 7 days after the completion of the draft or tryout, notifies his or her athletic director of his or her intent to forgo participation in the professional league. A professional sports league may not place any obligation on, or penalize, a college athlete for entering its draft but choosing instead to participate in intercollegiate athletics before entering into a contract with a professional team or club. An institution of higher education, an intercollegiate athletic association, a conference, or a State may not maintain or enforce any rule, requirement, standard, condition, or other limitation that prevents the full participation of an enrolled college athlete in intercollegiate athletics competition based on the enrolled college athlete having— entered into an endorsement contract; or obtained representation described in subsection (c)(1). An institution of higher education, an intercollegiate athletic association, or a conference may not— arrange an endorsement contract on behalf of a college athlete; impose on enrolled college athletes restrictions on speech that are more stringent than restrictions on speech imposed on other students enrolled in the institution of higher education; except as otherwise provided in this Act, levy against an enrolled college athlete any fine or other punishment that does not apply equally to other students enrolled in the institution of higher education; coordinate or cooperate with any other institution of higher education, intercollegiate athletic association, or conference to limit opportunities related to a college athlete’s use or profit from his or her name, image, likeness, or athletic reputation; or eliminate the funding of an athletic program unless all other options for reducing the expenses of the athletic program, including reducing coach salaries and administrative and facility expenses, are not feasible.
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