HF 3329

as introduced - 91st Legislature (2019 - 2020) Posted on 02/13/2020 12:35pm

A bill for an act
relating to higher education; allowing student athletes various rights to
compensation and representation; proposing coding for new law in Minnesota
Statutes, chapter 135A.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [135A.184] STUDENT ATHLETE COMPENSATION AND
REPRESENTATION.
new text end

new text begin Subdivision 1. new text end

new text begin Applicability. new text end

new text begin (a) This section applies to:
new text end

new text begin (1) institutions governed by the Board of Trustees of the Minnesota State Colleges and
Universities;
new text end

new text begin (2) private postsecondary institutions that offer in-person courses on a campus located
in Minnesota; and
new text end

new text begin (3) institutions governed by the Board of Regents of the University of Minnesota.
new text end

new text begin (b) This section applies only to contracts entered into, modified, or renewed on or after
the enactment of this section.
new text end

new text begin Subd. 2. new text end

new text begin Compensation. new text end

new text begin (a) A postsecondary educational institution must not uphold
any rule, requirement, standard, or other limitation that prevents a student of that institution
from fully participating in intercollegiate athletics and earning compensation as a result of
the use of the student's name, image, or likeness rights or the student's athletic reputation.
Earning compensation from the use of a student's name, image, or likeness rights or the
student's athletic reputation must not affect a student's scholarship eligibility or renewal.
new text end

new text begin (b) An athletic association, conference, or other group or organization with authority
over intercollegiate athletics, including but not limited to the National Collegiate Athletic
Association, must not prevent a student of a postsecondary educational institution from
fully participating in intercollegiate athletics without penalty and earning compensation as
a result of the student's use of his or her name, image, or likeness rights or his or her athletic
reputation.
new text end

new text begin (c) An athletic association, conference, or other group or organization with authority
over intercollegiate athletics, including but not limited to the National Collegiate Athletic
Association, must not prevent a postsecondary educational institution from fully participating
in intercollegiate athletics without penalty as a result of a student's use of his or her name,
image, or likeness rights or his or her athletic reputation.
new text end

new text begin (d) For purposes of this section, an athletics grant-in-aid or a stipend scholarship from
a postsecondary educational institution in which a student is enrolled is not compensation
for use of a student's name, image, and likeness rights or a student's athletic reputation; and
an athletics grant-in-aid or stipend scholarship must not be revoked or reduced as a result
of a student earning compensation pursuant to this section.
new text end

new text begin Subd. 3. new text end

new text begin Representation. new text end

new text begin (a) A postsecondary educational institution, athletic association,
conference, or other group or organization with authority over intercollegiate athletics must
not interfere with or prevent a student from fully participating in intercollegiate athletics
for obtaining professional representation in relation to contracts or legal matters, including
but not limited to representation provided by athlete agents, financial advisors, or legal
representation provided by attorneys.
new text end

new text begin (b) An athletic association, conference, or other group or organization with authority
over intercollegiate athletics, including but not limited to the National Collegiate Athletic
Association, must not prevent a postsecondary educational institution from fully participating
in intercollegiate athletics without penalty as a result of a college athlete obtaining
professional representation in relation to contracts or legal matters, including but not limited
to representation provided by athlete agents, financial advisors, or legal representation
provided by attorneys.
new text end

new text begin (c) Professional representation provided by athlete agents, financial advisors, or attorneys
must be by persons licensed by the state.
new text end

new text begin Subd. 4. new text end

new text begin Contracts. new text end

new text begin (a) A college athlete must not enter into an apparel contract providing
compensation to the athlete for use of the athlete's name, image, or likeness rights which
requires a student to display a sponsor's apparel or otherwise advertises for the sponsor
during official team activities if such provisions are in conflict with a provision of the
athlete's team contract.
new text end

new text begin (b) A college athlete who enters into a contract providing compensation to the athlete
for use of the athlete's name, image, or likeness rights or the athlete's athletic reputation
must disclose the contract to an official of the institution, to be designated by the institution.
new text end

new text begin (c) An institution asserting a conflict described in paragraph (a) must disclose to the
athlete and the athlete's legal representation, if applicable, the full contract the institution
asserts to be in conflict.
new text end

new text begin (d) A team contract of a postsecondary educational institution's athletic program must
not prevent a college athlete from receiving compensation for using the athlete's name,
image, or likeness rights for a commercial purpose when the athlete is not engaged in official
team activities.
new text end

new text begin Subd. 5. new text end

new text begin Enforcement. new text end

new text begin (a) In addition to the remedies otherwise provided by law, any
person injured by a violation of this section may bring a civil action and recover damages
and receive other equitable relief as determined by the court.
new text end

new text begin (b) A provision of any contract or agreement that is prohibited by this section or which
waives the provisions of this section is contrary to public policy and shall be void and
unenforceable. When a contract contains a provision that is void and unenforceable under
this paragraph, that provision must be severed from the other provisions of the contract that
may remain enforceable.
new text end

new text begin Subd. 6. new text end

new text begin Severability. new text end

new text begin The provisions of this section are severable. If any provision of
this section or its application is held invalid, that invalidity does not affect other provisions
or applications that can be given effect without the invalid provision or application.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2023.
new text end