By: Armbrister S.B. No. 1190
A BILL TO BE ENTITLED
AN ACT
1-1 relating to contracts and communications involving certain athletes
1-2 and athlete agents.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Subdivision (2), Subsection (a), Section 1,
1-5 Chapter 13, Acts of the 70th Legislature, 2nd Called Session, 1987
1-6 (Article 8871, Vernon's Texas Civil Statutes), is amended to read
1-7 as follows:
1-8 (2) "Athlete agent" means a person that, for
1-9 compensation, directly or indirectly recruits or solicits an
1-10 athlete to enter into an agent contract, professional sports
1-11 services contract, or financial services contract with that person
1-12 or another person, or that for a fee procures, offers, promises, or
1-13 attempts to obtain employment for an athlete with a professional
1-14 sports team.
1-15 SECTION 2. Subsection (d), Section 1, Chapter 13, Acts of
1-16 the 70th Legislature, 2nd Called Session, 1987 (Article 8871,
1-17 Vernon's Texas Civil Statutes), is amended to read as follows:
1-18 (d) A person who declares himself eligible for recruitment
1-19 by a professional sports team, thereby becoming ineligible to
1-20 participate in intercollegiate sports contests, [is not an athlete
1-21 under this Act and] may be contacted by an athlete agent [without
1-22 compliance by the agent with the requirements of this Act]. If the
1-23 person later becomes eligible to participate in intercollegiate
2-1 sports, [the person is again considered an athlete under this Act,
2-2 and] any contact with the person by an athlete agent is subject to
2-3 the requirements of this Act.
2-4 SECTION 3. Subsection (a), Section 2, Chapter 13, Acts of
2-5 the 70th Legislature, 2nd Called Session, 1987 (Article 8871,
2-6 Vernon's Texas Civil Statutes), is amended to read as follows:
2-7 (a) An athlete agent may contact an athlete only as provided
2-8 by this Act. The [An] athlete agent must register with the
2-9 secretary of state before the athlete agent may:
2-10 (1) contact an athlete, either directly or indirectly,
2-11 while the athlete is eligible; or
2-12 (2) enter into a contract with an athlete. [A
2-13 registered athlete agent may make those contacts only in accordance
2-14 with this Act.]
2-15 SECTION 4. Section 6, Chapter 13, Acts of the 70th
2-16 Legislature, 2nd Called Session, 1987 (Article 8871, Vernon's Texas
2-17 Civil Statutes), is amended by amending Subsections (b) and (c) and
2-18 adding Subsection (d) to read as follows:
2-19 (b) An athlete agent may not:
2-20 (1) publish or cause to be published any false,
2-21 fraudulent, or misleading information, representation, notice, or
2-22 advertisement or give any false information or make any false
2-23 promises or representations concerning any employment to any
2-24 person;
2-25 (2) divide fees with or receive compensation from a
3-1 person exempt under Section 2A of this Act or a professional sports
3-2 league or franchise or its representative or employee;
3-3 (3) enter into any agreement, written or oral, by
3-4 which the athlete agent offers anything of value to any employee of
3-5 an institution of higher education located in this state in return
3-6 for the referral of any clients by that employee;
3-7 (4) offer anything of value to induce an athlete to
3-8 enter into an agreement by which the athlete agent will represent
3-9 the athlete; or
3-10 (5) except as otherwise provided by this Act, directly
3-11 contact an athlete who is participating in football or basketball
3-12 [to enter into any agreement, written or oral, by which the athlete
3-13 agent will represent the athlete,] until after completion of the
3-14 athlete's last intercollegiate contest and may not enter into an
3-15 oral or written agreement that the athlete agent will represent the
3-16 athlete before the athlete's last intercollegiate contest [that
3-17 purports to take effect at a time after that contest is completed].
3-18 (c) This Act does not prohibit [or limit] an athlete agent
3-19 from sending to an athlete written materials relating to the
3-20 professional credentials of the agent or to specific services
3-21 offered by the agent if the agent simultaneously sends an identical
3-22 copy of the written materials to the athletic director of the
3-23 institution of higher education in which the athlete is enrolled as
3-24 a student or to the athletic director's designee [relating to the
3-25 representation of an athlete in the marketing of an athlete's
4-1 athletic ability or reputation or to the provision of financial
4-2 services by the agent to the athlete].
4-3 (d) This Act does not prohibit an athlete or the athlete's
4-4 parents or[,] legal guardians[, or other advisors] from initiating
4-5 contact with [contacting and interviewing] an athlete agent to
4-6 arrange an interview to determine that agent's professional
4-7 proficiency in the representation of an athlete, in the marketing
4-8 of the athlete's athletic ability or reputation, or the provision
4-9 of financial services by the agent on behalf of the athlete. The
4-10 athlete agent may not discuss the agent's services with an athlete
4-11 or the athlete's parents or legal guardians until after the athlete
4-12 agent has given notice of the proposed discussion to the athletic
4-13 director of the institution of higher education in which the
4-14 athlete is enrolled as a student or to the athletic director's
4-15 designee.
4-16 SECTION 5. This Act takes effect September 1, 1997.
4-17 SECTION 6. The importance of this legislation and the
4-18 crowded condition of the calendars in both houses create an
4-19 emergency and an imperative public necessity that the
4-20 constitutional rule requiring bills to be read on three several
4-21 days in each house be suspended, and this rule is hereby suspended.
4-22 COMMITTEE AMENDMENT NO. 1
4-23 Amend S.B. No. 1190 by adding a new SECTION 5 and renumbering
4-24 the subsequent sections.
4-25 SECTION 5. Sec. 7(c), Chapter 13, Acts of the 70th
5-1 Legislature, 2nd Called Session, 1987 (Article 8871, Vernon's Texas
5-2 Civil Statutes), is amended to read as follows:
5-3 (c) The athlete agent shall strictly adhere to the specific
5-4 rules of each separate institution with regard to the time, place,
5-5 and duration of the athlete agent interviews. The interviews must
5-6 be conducted during a period of [at least five but] not more than
5-7 30 consecutive business days and, as designated by the institution,
5-8 must be conducted during the off-season [training] period before
5-9 the completion of [for the athlete's sport that precedes] the
5-10 athlete's final year of eligibility.
5-11 Yarbrough
5-12 COMMITTEE AMENDMENT NO. 2
5-13 Amend S.B. No. 1190 SECTION 1 by adding (6) to read as
5-14 follows:
5-15 (6) "Institution of higher education" means an
5-16 institution of higher education or a private or independent
5-17 institution of higher education as defined by Sec. 61.003(8) and
5-18 (15), Texas Education Code.
5-19 Yarbrough