164.6943 Restrictions on institutions and associations regarding student-athletes'

208 words·~1 min read·/ky/164-6943

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

agreements and agents.

(1)An institution or an association shall not prohibit a student-athlete from lawfully

earning compensation through a name, image, and likeness agreement with a third

party, except as otherwise agreed to in an institutional agreement between the

student-athlete and the institution or affiliated corporation, or from obtaining an

athlete agent and shall not penalize an athlete for doing so. However, an institution

or an intercollegiate athletic association may require that compensation be

consistent with the prevailing range of compensation.

(2)An institution shall not revoke a student-athlete's scholarship or allow eligibility for

a scholarship to be adversely impacted because of an athlete lawfully earning

compensation through an NIL agreement or obtaining an athlete agent, unless the

athlete has violated a reasonable restriction imposed by the institution under KRS

164.6947. However, a student-athlete's need-based financial assistance or an

academic scholarship based in part on financial need may be affected by the income

generated by an institutional agreement or an NIL agreement.

(3)An association shall not prohibit an institution from participating in intercollegiate

athletics due to an institution's student-athlete lawfully earning compensation

through an NIL agreement with a third party or obtaining an athlete agent and shall

not penalize an institution for its student-athlete doing so.