1.1                          A bill for an act 
  1.2             relating to occupations; modifying the entertainment 
  1.3             agencies act; amending Minnesota Statutes 1994, 
  1.4             sections 184A.01, subdivisions 4, 5, 7, 8, and by 
  1.5             adding subdivisions; 184A.02; 184A.03; 184A.04, 
  1.6             subdivisions 1 and 3; 184A.05; 184A.06, subdivisions 
  1.7             1, 2, and by adding a subdivision; 184A.09; 184A.10; 
  1.8             and 184A.12; repealing Minnesota Statutes 1994, 
  1.9             section 184A.01, subdivision 2. 
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11     Section 1.  Minnesota Statutes 1994, section 184A.01, 
  1.12  subdivision 4, is amended to read: 
  1.13     Subd. 4.  [ENGAGEMENT.] "Engagement" means an engagement or 
  1.14  employment of a person as a musician or musical artist a music 
  1.15  entertainer using music accompaniment.  
  1.16     Sec. 2.  Minnesota Statutes 1994, section 184A.01, 
  1.17  subdivision 5, is amended to read: 
  1.18     Subd. 5.  [ENTERTAINMENT AGENCY.] "Entertainment agency" 
  1.19  means a person or an organization of persons who engage in the 
  1.20  occupation of procuring, offering, promising, or attempting to 
  1.21  procure employment or engagements in the state of Minnesota, 
  1.22  under written contract or verbal engagement contracts for three 
  1.23  or more artists music entertainers or groups of artists at any 
  1.24  one time music entertainers during any six-month time period, or 
  1.25  who have a written contract or continuing verbal agreement with 
  1.26  an establishment or an individual to provide artists or groups 
  1.27  of artists for one or more engagements.  Entertainment agencies 
  2.1   may, in addition, counsel or direct artists in the development 
  2.2   of their professional careers.  
  2.3      Sec. 3.  Minnesota Statutes 1994, section 184A.01, is 
  2.4   amended by adding a subdivision to read: 
  2.5      Subd. 5a.  [ENTERTAINMENT AGENT.] "Entertainment agent" 
  2.6   means a person who is affiliated with an entertainment agency as 
  2.7   an independent contractor or an employee by written contract or 
  2.8   verbal agreement. 
  2.9      Sec. 4.  Minnesota Statutes 1994, section 184A.01, 
  2.10  subdivision 7, is amended to read: 
  2.11     Subd. 7.  [LICENSE.] "License" means a license issued by 
  2.12  the department of labor and industry to carry on the business of 
  2.13  either an entertainment agency or an entertainment agent under 
  2.14  sections 184A.01 to 184A.20.  
  2.15     Sec. 5.  Minnesota Statutes 1994, section 184A.01, 
  2.16  subdivision 8, is amended to read: 
  2.17     Subd. 8.  [LICENSEE.] "Licensee" means an entertainment 
  2.18  agency or entertainment agent which that holds a valid, 
  2.19  unrevoked, and unforfeited license under sections 184A.01 to 
  2.20  184A.20.  
  2.21     Sec. 6.  Minnesota Statutes 1994, section 184A.01, is 
  2.22  amended by adding a subdivision to read: 
  2.23     Subd. 8a.  [MUSIC ENTERTAINERS.] "Music entertainers" means 
  2.24  musical artists, musical organizations, musical directors, 
  2.25  composers, lyricists, arrangers, disc jockeys, vocalists, and 
  2.26  other performers whose presentation is incorporated into live or 
  2.27  recorded music performance, including, but not limited to, clown 
  2.28  acts, jugglers, and mimes. 
  2.29     Sec. 7.  Minnesota Statutes 1994, section 184A.02, is 
  2.30  amended to read: 
  2.31     184A.02 [LICENSE REQUIREMENT.] 
  2.32     No person shall Persons or entities may not engage in or 
  2.33  carry on the occupation of an entertainment agency or an 
  2.34  entertainment agent for performances or engagements occurring in 
  2.35  the state of Minnesota without procuring a license from the 
  2.36  department of labor and industry for each agency location.  This 
  3.1   license shall be posted in a conspicuous place in the office of 
  3.2   the licensee.  
  3.3      Sec. 8.  Minnesota Statutes 1994, section 184A.03, is 
  3.4   amended to read: 
  3.5      184A.03 [EXISTING AGENCIES AND AGENTS.] 
  3.6      Entertainment agents who are actually engaged in or acting 
  3.7   as entertainment agents or counselors and members, shareholders, 
  3.8   officers, and directors of a firm, partnership, association, or 
  3.9   corporation actively engaged in the business of an entertainment 
  3.10  agency on August 1, 1984 1995, shall be deemed to comply with 
  3.11  its provisions provided they shall obtain a license as provided 
  3.12  by sections 184A.04 to 184A.10 within a period of six months 
  3.13  from August 1, 1984 1995.  
  3.14     Sec. 9.  Minnesota Statutes 1994, section 184A.04, 
  3.15  subdivision 1, is amended to read: 
  3.16     Subdivision 1.  [CONTENTS.] Applicants for an entertainment 
  3.17  agent's license or renewal shall file with the department a 
  3.18  written application in a form prescribed by the department 
  3.19  stating:  
  3.20     (a) the name and address of the applicant; 
  3.21     (b) the street and number of the building or place where 
  3.22  the business of the entertainment agency agent is to be 
  3.23  conducted; 
  3.24     (c) the name of the person within the entertainment agency 
  3.25  who is to have the general management manager of the office; 
  3.26     (d) the name under which the business of the office is to 
  3.27  be carried on; 
  3.28     (e) whether or not the applicant has a financial interest 
  3.29  in another business of a similar nature and, if so, where; 
  3.30     (f) the business or occupation of the applicant for at 
  3.31  least two years immediately preceding the date of application; 
  3.32     (g) if the applicant is an entertainment agency other than 
  3.33  a corporation, the names and addresses of all persons, except 
  3.34  bona fide employees on stated salaries, financially interested, 
  3.35  either as partners, associates, or profit sharers, in the 
  3.36  operation of the entertainment agency in question, together with 
  4.1   the amount of their respective interests; and 
  4.2      (h) if the applicant is a corporation, the corporate name, 
  4.3   the names, residential addresses, and telephone numbers of 
  4.4   officers of the corporation, and the names and addresses of 
  4.5   persons having a financial interest of ten percent or more in 
  4.6   the business, and the percentage of financial interest owned by 
  4.7   these persons.  
  4.8      Sec. 10.  Minnesota Statutes 1994, section 184A.04, 
  4.9   subdivision 3, is amended to read: 
  4.10     Subd. 3.  [AFFIDAVITS.] The application must be accompanied 
  4.11  by affidavits of at least two reputable persons, neither of whom 
  4.12  is related to the applicant, attesting to the applicant's 
  4.13  experience in the music industry and fitness to serve as an 
  4.14  entertainment agent or agency.  
  4.15     Sec. 11.  Minnesota Statutes 1994, section 184A.05, is 
  4.16  amended to read: 
  4.17     184A.05 [FEE SCHEDULES.] 
  4.18     Applicants for a license to engage in the business of an 
  4.19  entertainment agent or agency shall, as notice to the music 
  4.20  entertainment industry, at the time of making application, file 
  4.21  with the department a schedule of fees or range of fees to be 
  4.22  charged and collected in the conduct of this occupation, 
  4.23  together with rules and regulations that may affect a statement 
  4.24  of the applicant's policies, rules, regulations, or practices 
  4.25  which determine the fees charged or to be charged by the 
  4.26  applicant for service services.  Changes in the schedule may be 
  4.27  made from time to time, but no change shall become effective 
  4.28  until seven days after the date of its filing with the 
  4.29  department.  It shall be unlawful for an entertainment agency to 
  4.30  charge, demand, collect, or receive a greater compensation for 
  4.31  service performed than is specified in the schedule filed with 
  4.32  the department.  
  4.33     Sec. 12.  Minnesota Statutes 1994, section 184A.06, 
  4.34  subdivision 1, is amended to read: 
  4.35     Subdivision 1.  [DEPARTMENT APPROVAL.] Entertainment 
  4.36  agencies or individual entertainment agents affiliated with the 
  5.1   agencies, shall submit to the department a form or forms of 
  5.2   contract to be utilized in entering into written contracts with 
  5.3   artists for the employment of the services of the entertainment 
  5.4   agency by the artists and the contract to be utilized for 
  5.5   employment engagements secured by the agency for the artist. 
  5.6   Approval by the department of the proposed contract form shall 
  5.7   not be withheld unless the contract is unfair, unjust, or 
  5.8   oppressive to the artist, or otherwise fails to contain the 
  5.9   provisions required by subdivisions 2 to 4.  
  5.10     Sec. 13.  Minnesota Statutes 1994, section 184A.06, 
  5.11  subdivision 2, is amended to read: 
  5.12     Subd. 2.  [ARBITRATION.] Contract forms shall contain a 
  5.13  provision setting forth a procedure for resolution of disputes 
  5.14  before an arbitrator mutually agreed upon by the 
  5.15  parties. notifying the parties to the contract that arbitration 
  5.16  is an option for resolution of disputes before an arbitrator 
  5.17  mutually agreed upon by the parties.  This option shall not 
  5.18  remove the parties' right to resolve disputes in state or 
  5.19  federal court.  If the parties elect to utilize the arbitration 
  5.20  procedure, the arbitrator's decision shall be final and binding 
  5.21  upon the parties.  
  5.22     Sec. 14.  Minnesota Statutes 1994, section 184A.06, is 
  5.23  amended by adding a subdivision to read: 
  5.24     Subd. 4.  [DISCLOSURE OF AGENT RELATIONSHIP.] Contract 
  5.25  forms shall contain language clearly disclosing to the parties 
  5.26  to the contract whether the agent or agency is serving as an 
  5.27  agent for the music entertainer, for the purchaser of the music 
  5.28  services, or for both. 
  5.29     Sec. 15.  Minnesota Statutes 1994, section 184A.09, is 
  5.30  amended to read: 
  5.31     184A.09 [LICENSE FEES.] 
  5.32     Before a license shall be granted to an applicant agent, 
  5.33  the applicant agent shall pay a filing fee of $25 and a license 
  5.34  fee of $250 $100.  Before a license shall be granted to an 
  5.35  agency, the agency shall pay a filing fee of $25 and a license 
  5.36  fee of $250.  
  6.1      An application for consent to transfer or assign a license 
  6.2   shall be accompanied by a $25 filing fee. 
  6.3      Sec. 16.  Minnesota Statutes 1994, section 184A.10, is 
  6.4   amended to read: 
  6.5      184A.10 [BONDS.] 
  6.6      Applications for an entertainment agency license or a 
  6.7   license for an independent agent shall be accompanied by a bond 
  6.8   in the penal sum of $10,000 with one or more sureties or a duly 
  6.9   authorized surety company to be approved by the department and 
  6.10  filed in the office of the secretary of state, conditioned that 
  6.11  the entertainment agency and each member, shareholder, director, 
  6.12  or officer of a firm, partnership, corporation, or association 
  6.13  operating as an entertainment agency will conform to and not 
  6.14  violate sections 184A.02 to 184A.19 or violate the covenants of 
  6.15  a contract made by an entertainment agent in the conduct of 
  6.16  business.  An agent, as an alternative to filing a bond, may 
  6.17  provide an affidavit verifying that the agent is covered by the 
  6.18  bond of an agency licensed under this chapter.  Action on this 
  6.19  bond may be brought by, and prosecuted in the department of 
  6.20  labor and industry or in state court in the name of, a person 
  6.21  damaged by a breach of a condition of the bond.  Successive 
  6.22  actions may be maintained.  
  6.23     The secretary of state shall be paid a filing fee of $5 per 
  6.24  bond in addition to the fees outlined in section 184A.09.  
  6.25     Sec. 17.  Minnesota Statutes 1994, section 184A.12, is 
  6.26  amended to read: 
  6.27     184A.12 [ISSUANCE; REFUSAL; REVOCATION; SUSPENSION.] 
  6.28     The department shall issue a license as an entertainment 
  6.29  agent, or entertainment agency to a person who qualifies for the 
  6.30  license under the terms of sections 184A.04 to 184A.10.  The 
  6.31  department may refuse to issue an entertainment agency or 
  6.32  entertainment agent license when, after due investigation, the 
  6.33  department finds that the applicant is of unfit character or has 
  6.34  inadequate experience in or knowledge about the music industry 
  6.35  to be an entertainment agent, or when the premises for 
  6.36  conducting the business of an entertainment agent is found upon 
  7.1   investigation to be unfit for this use.  No agent or agency 
  7.2   license shall be issued to a person, firm, corporation, or 
  7.3   association that has, within the past three years, been 
  7.4   convicted of fraud or felony.  No license shall be issued to an 
  7.5   attorney whose license to practice law has been suspended or 
  7.6   revoked, for a period of three years after the date of the 
  7.7   suspension or revocation.  The department may refuse to issue a 
  7.8   license to a person or may suspend or revoke the license of a 
  7.9   entertainment agent or entertainment agency when it finds that 
  7.10  any of the following conditions exist:  
  7.11     (a) the entertainment agent or entertainment agency has 
  7.12  violated a condition of the bond required by section 184A.10; 
  7.13     (b) the person or entertainment agent or entertainment 
  7.14  agency has personally engaged in a fraudulent, deceptive, or 
  7.15  dishonest practice; 
  7.16     (c) the person or entertainment agent or entertainment 
  7.17  agency has violated any provisions of sections 184A.02 to 
  7.18  184A.19; or 
  7.19     (d) the person or entertainment agent or entertainment 
  7.20  agency has been legally adjudicated incompetent and has not been 
  7.21  restored to capacity.  
  7.22     This section shall not be construed to relieve a person 
  7.23  from civil liability or from criminal prosecution under the laws 
  7.24  of this state.  A violation of this section shall be treated as 
  7.25  a violation of section 325F.69.  
  7.26     Sec. 18.  [REPEALER.] 
  7.27     Minnesota Statutes 1994, section 184A.01, subdivision 2, is 
  7.28  repealed.