2019 Regular Session
To: Judiciary A
By: Representative Lamar
AN ACT TO REVISE THE UNIFORM ATHLETE AGENTS ACT IN CONFORMITY WITH THE 2015 AMENDED MODEL ACT ADOPTED BY THE UNIFORM LAW COMMISSION; TO AMEND SECTION 73-42-3, MISSISSIPPI CODE OF 1972, TO REVISE CERTAIN DEFINITIONS; TO AMEND SECTION 73-42-7, MISSISSIPPI CODE OF 1972, TO CLARIFY WHEN AN INDIVIDUAL MAY ACT AS AN ATHLETE AGENT BEFORE REGISTRATION WITH THE STATE AS AN ATHLETE AGENT; TO AMEND SECTION 73-42-9, MISSISSIPPI CODE OF 1972, TO SPECIFY ADDITIONAL INFORMATION THAT MUST BE PROVIDED BY AN APPLICANT WHEN REGISTERING AS AN ATHLETE AGENT; TO AMEND SECTION 73-42-11, MISSISSIPPI CODE OF 1972, TO CLARIFY GROUNDS FOR DENIAL OF REGISTRATION AND THE PROCEDURE FOR FILING FOR RENEWAL; TO AMEND SECTION 73-42-13, MISSISSIPPI CODE OF 1972, TO SPECIFY GROUNDS FOR DENIAL, SUSPENSION, REVOCATION OR REFUSAL TO RENEW REGISTRATION; TO AMEND SECTION 73-42-17, MISSISSIPPI CODE OF 1972, TO DELETE THE SECRETARY OF STATE'S AUTHORITY TO CHARGE ADDITIONAL FEES FOR CONDUCTING A BACKGROUND CHECK ON AN APPLICANT; TO AMEND SECTION 73-42-19, MISSISSIPPI CODE OF 1972, TO CLARIFY CONTRACTUAL REQUIREMENTS FOR AGENCY CONTRACTS, INCLUDING A DISCLOSURE TO STUDENT-ATHLETES REGARDING THE RISK OF LOSS OF COLLEGIATE ELIGIBILITY; TO AMEND SECTION 73-42-21, MISSISSIPPI CODE OF 1972, TO PRESCRIBE REQUIREMENTS FOR NOTICE TO EDUCATIONAL INSTITUTIONS BY ATHLETE AGENTS WHEN COMMUNICATING WITH STUDENTS; TO AMEND SECTION 73-42-23, MISSISSIPPI CODE OF 1972, TO RECOGNIZE THE RIGHTS OF PARENTS OF A STUDENT ATHLETE WHO IS A MINOR; TO AMEND SECTION 73-42-27, MISSISSIPPI CODE OF 1972, TO CLARIFY ACTS PROHIBITED BY AN ATHLETE AGENT, TO AUTHORIZE THE PAYMENT OF CERTAIN EXPENSES BY THE AGENT AND TO REQUIRE REPORTING OF INCURRED EXPENSES; TO AMEND SECTION 73-42-31, MISSISSIPPI CODE OF 1972, TO RECOGNIZE A STUDENT ATHLETE'S RIGHT TO BRING A CAUSE OF ACTION; TO AMEND SECTION 73-42-33, MISSISSIPPI CODE OF 1972, TO INCREASE THE MAXIMUM CIVIL PENALTY ALLOWED FOR VIOLATIONS OF THE ACT; TO AMEND SECTION 73-42-34, MISSISSIPPI CODE OF 1972, TO REVISE THE VENUE FOR APPEALS IN MISSISSIPPI BY OUT-OF-STATE AGENTS; TO CREATE NEW SECTION 73-42-41, MISSISSIPPI CODE OF 1972, TO DECLARE THE AUTHORITY AND AUTONOMY OF EDUCATIONAL INSTITUTIONS TO REGULATE INTERACTIONS WITH STUDENT ATHLETES; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 73-42-3, Mississippi Code of 1972, is amended as follows:
73-42-3. In this chapter:
(a) "Agency
contract" means an agreement in which a student-athlete authorizes a
person to negotiate or solicit on behalf of the student-athlete a professional-sports-services
contract * * *
or endorsement contract * * *.
(b) "Athlete agent":
(i) Means an individual, whether or not registered under this chapter, who:
1. * * *
Directly or indirectly
recruits or solicits a student-athlete to enter into an agency contract or, for
compensation, procures employment or offers, promises, attempts or negotiates
to obtain employment for a student-athlete as a professional athlete or member
of a professional sports team or organization;
2. For compensation or in anticipation of compensation related to a student-athlete's participation in athletics:
a. Serves the student-athlete in an advisory capacity on a matter related to finances, business pursuits or career management decisions, unless the individual is an employee of an educational institution acting exclusively as an employee of the institution for the benefit of the institution; or
b. Manages the business affairs of the student-athlete by providing assistance with bills, payments, contracts or taxes; or
3. In anticipation of representing a student-athlete for a purpose related to the student-athlete's participation in athletics:
a. Gives consideration to the student-athlete or another person;
b. Serves the student-athlete in an advisory capacity on a matter related to finances, business pursuits or career management decisions; or
c. Manages the business affairs of the student-athlete by providing assistance with bills, payments, contracts or taxes; but
(ii) Does not include an individual who:
1. Acts solely on behalf of a professional sports team or organization; or
2. Is a licensed, registered or certified professional and offers or provides services to a student-athlete customarily provided by members of the profession, unless the individual:
a. Also recruits or solicits the student-athlete to enter into an agency contract;
b. Also, for compensation, procures employment or offers, promises, attempts or negotiates to obtain employment for the student-athlete as a professional athlete or member of a professional sports team or organization; or
c. Receives consideration for providing the services calculated using a different method than for an individual who is not a student-athlete.
(c) "Athletic director" means an individual responsible for administering the overall athletic program of an educational institution or, if an educational institution has separately administered athletic programs for male students and female students, the athletic program for males or the athletic program for females, as appropriate.
(d) "Contact" means a communication, direct or indirect, written or oral, between an athlete agent and a student-athlete, to recruit, induce or solicit the student-athlete to enter into an agency contract.
(e) "Educational institution" includes a public or private elementary school, secondary school, technical or vocational school, community college, college and university.
( * * *f) "Endorsement contract"
means an agreement under which a student-athlete is employed or receives
consideration * * * to use on behalf of
the other party any value that the student-athlete may have because of
publicity, reputation, following * * * or fame obtained because of the student-athlete's
athletic ability or performance.
(g) "Enrolled" means registered for courses and attending athletic practice or class. "Enrolls" has a corresponding meaning.
( * * *h) "Intercollegiate sport"
means a sport played at the collegiate level for which eligibility requirements
for participation by a student-athlete are established by a national
association * * * that promotes or regulates
collegiate athletics.
(i) "Interscholastic sport" means a sport played between educational institutions that are not community colleges, colleges or universities.
(j) "Licensed, registered or certified professional" means an individual licensed, registered or certified as an attorney, dealer in securities, financial planner, insurance agent, real estate broker or sales agent, tax consultant, accountant, or member of a profession, other than that of athlete agent, who is licensed, registered or certified by the state or a nationally recognized organization that licenses, registers or certifies members of the profession on the basis of experience, education or testing.
( * * *k) "Person" means an
individual, * * * estate, * * * business or nonprofit entity, public
corporation, government * * * or governmental subdivision, agency
or instrumentality * * *, or * * * other legal * * * entity.
( * * *l) "Professional-sports-services
contract" means an agreement under which an individual is employed as a
professional athlete or agrees to render services as a player on a
professional sports team * * *, or with a professional sports organization * * *.
( * * *m) "Record" means
information that is inscribed on a tangible medium or that is stored in an
electronic or other medium and is retrievable in perceivable form.
(n) "Recruit or solicit" means attempt to influence the choice of an athlete agent by a student-athlete, or if the student-athlete is a minor, a parent or guardian of the student-athlete. The term does not include giving advice on the selection of a particular agent in a family, coaching or social situation unless the individual giving the advice does so because of the receipt or anticipated receipt of an economic benefit, directly or indirectly, from the agent.
( * * *o) "Registration" means
registration as an athlete agent pursuant to this chapter.
(p) "Sign" means, with present intent to authenticate or adopt a record:
(i) To execute or adopt a tangible symbol; or
(ii) To attach to or logically associate with the record an electronic symbol, sound or process.
( * * *q) "State" means a state of
the United States, the District of Columbia, Puerto Rico, the United States
Virgin Islands, or any territory or insular possession subject to the
jurisdiction of the United States.
( * * *r) "Student-athlete" means
an individual who is eligible to attend an educational institution and
engages in, is eligible to engage in, or may be eligible in the future to
engage in * * * any interscholastic or
intercollegiate sport * * *. The term does not include an
individual permanently ineligible to participate in a particular
interscholastic or intercollegiate sport for that sport.
SECTION 2. Section 73-42-7, Mississippi Code of 1972, is amended as follows:
73-42-7. (1) Except
as otherwise provided in subsection (2), an individual may not act as an
athlete agent in this state before being issued a certificate of registration
under * * * this chapter.
(2) Before being issued a certificate of registration under this chapter, an individual may act as an athlete agent for all purposes except signing an agency contract if:
(a) A student-athlete or another person acting on behalf of the student-athlete initiates communication with the individual; and
(b) * * *
Not later than seven
(7) days after an initial act that requires the individual to register
as an athlete agent, the individual submits an application * * * for registration as an
athlete agent in this state.
(3) An agency contract
resulting from conduct in violation of this section is void * * *, and the athlete agent shall return
any consideration received under the contract * * *.
SECTION 3. Section 73-42-9, Mississippi Code of 1972, is amended as follows:
73-42-9. (1) An applicant
for registration as an athlete agent shall submit an application for
registration to the Secretary of State * * * on a form prescribed by the Secretary
of State. * * * The applicant must be an individual, and the
application must be signed by the applicant under penalty of perjury. The
application must contain at least the following:
(a) The name, date
and place of birth of the applicant and the * * *
following contact information for the applicant:
(i) The address of the applicant's principal place of business;
(ii) Work and mobile telephone numbers; and
(iii) Any means of communicating electronically, including a facsimile number, electronic-mail address and personal and business or employer websites;
(b) The name of the
applicant's business or employer, if applicable * * *, including for each business or employer,
its mailing address, telephone number, organization form and the nature of the
business;
(c) Each social-media account with which the applicant or the applicant's business or employer is affiliated;
(d) Each business or occupation in which the applicant engaged within five (5) years before the date of the application, including self-employment and employment by others, and any professional or occupational license, registration or certification held by the applicant during that time;
* * *
( * * *e) A description of the applicant's:
(i) Formal training as an athlete agent;
(ii) Practical experience as an athlete agent; and
(iii) Educational background relating to the applicant's activities as an athlete agent;
* * *
(f) The name * * * of each
student-athlete for whom the applicant acted as an athlete agent within five
(5) years before the date of the application or if the individual is a minor,
the name of the parent or guardian of the minor, together with the student-athlete's
sport and last-known team;
(g) The * * * name and * * * address of * * * each person that:
(i) * * *
Is a partner, member, officer, manager, associate
or profit-sharer or directly or indirectly holds an equity interest of five
percent (5%) or greater of the athlete agent's business if it is not a
corporation; and
(ii) * * *
Is
an officer or director of a corporation employing the athlete agent * * * or a
shareholder * * * having an interest of five
percent (5%) or greater * * *interest in the corporation;
(h) A description of the status of any application by the applicant, or any person named under paragraph (g), for a state or federal business, professional or occupational license, other than as an athlete agent, from a state or federal agency, including any denial, refusal to renew, suspension, withdrawal or termination of the license and any reprimand or censure related to the license;
( * * *i) Whether the applicant or any other
person named pursuant to paragraph (g) * * * has been
convicted of, or has charges pending for a crime that would involve moral
turpitude * * * or be a felony * * *
if committed in this state and if so, the identification
of:
(i) The crime;
(ii) The law enforcement agency involved; and
(iii) If applicable, the date of the conviction and the fine or penalty imposed;
(j) Whether, within fifteen (15) years before the date of application, the applicant or any person named under paragraph (g) has been a defendant or respondent in a civil proceeding, including a proceeding seeking adjudication of legal incompetence and if so, the date and a full explanation of each proceeding;
(k) Whether the applicant or any person named under paragraph (g) has an unsatisfied judgment or a judgment of continuing effect, including alimony or a domestic order in the nature of child support, which is not current at the date of the application;
(l) Whether within ten (10) years before the date of application, the applicant or any person named under paragraph (g) was adjudicated bankrupt or was an owner of a business that was adjudicated bankrupt;
( * * *m) Whether there has been any
administrative or judicial determination that the applicant or any other person
named pursuant to paragraph (g) has made a false, misleading, deceptive or
fraudulent representation;
( * * *n) * * * Each instance in which the conduct
of the applicant or any other person named pursuant to paragraph (g) resulted
in the imposition of a sanction, suspension or declaration of ineligibility to
participate in an interscholastic, professional or intercollegiate
athletic event on a student-athlete or a sanction on an educational
institution;
( * * *o) * * * Each sanction, suspension or
disciplinary action taken against the applicant or any other person named
pursuant to paragraph (g) arising out of occupational or professional conduct;
( * * *p) Whether there has been any denial
of an application for, suspension or revocation of, * * * refusal to renew, * * * or abandonment of the
registration * * * of the applicant or any other person named pursuant to
paragraph (g) as an athlete agent in any state;
* * *
( * * *q) * * * Each state in
which the applicant is currently * * * registered as an athlete agent * * * or has applied to be registered as an athlete
agent;
* * *
(r) If the applicant is certified or registered by a professional league or players association:
(i) The name of the league or association;
(ii) The date of certification or registration and the date of expiration of the certification or registration, if any; and
(iii) If applicable, the date of any denial of an application for, suspension or revocation of, refusal to renew, withdrawal of, or termination of the certification or registration or any reprimand or censure related to the certification or registration; and
(s) Any additional information required by the Secretary of State.
(2) * * *
Instead of
proceeding under subsection (1), an individual registered as an athlete agent
in another state may apply for registration as an athlete agent in this state
by submitting to the Secretary of State:
(a) A copy of the application for registration in the other state;
(b) A statement that identifies any material change in the information on the application or verifies there is no material change in the information, signed under penalty of perjury; and
(c) A copy of the certificate of registration from the other state.
(3) * * * The Secretary of
State * * * shall issue
a certificate of registration to an individual who applies for registration
under subsection (2) if the Secretary of State determines:
(a) * * *
The application and registration
requirements of the other state are substantially similar to or more
restrictive than this chapter; and
(b) * * *
The registration
has not been revoked or suspended, and no action involving the individual's
conduct as an athlete agent is pending against the individual or the
individual's registration in any state.
* * *
(4) For purposes of implementing subsection (3), the Secretary of State shall:
(a) Cooperate with national organizations concerned with athlete agent issues and agencies in other states which register athlete agents to develop a common registration form and determine which states have laws that are substantially similar to or more restrictive than this chapter; and
(b) Exchange information, including information related to actions taken against registered athlete agents or their registrations, with those organizations and agencies.
SECTION 4. Section 73-42-11, Mississippi Code of 1972, is amended as follows:
73-42-11. (1) Except as
otherwise provided in subsection * * * (2), the Secretary of State shall
issue a certificate of registration to an * * * applicant for registration
who complies with Section 73-42-9(1).
(2) * * *
The Secretary of State may refuse to issue a certificate of registration
to an applicant for registration under Section 73-42-9(1) if * * * the Secretary of State determines
that the applicant has engaged in conduct that * * * adversely
reflects on the applicant's fitness to * * * act as an athlete agent. In
making the determination, the Secretary of State may consider whether the
applicant has:
(a) * * *
Pleaded guilty or no
contest to, has been convicted of, or has charges pending for a
crime * * *
that would involve moral turpitude or be a felony if committed in
this state;
(b) Made a materially false, misleading, deceptive or fraudulent representation as an athlete agent or in the application;
(c) Engaged in conduct that would disqualify the applicant from serving in a fiduciary capacity;
(d) Engaged in conduct prohibited by Section 73-42-27;
(e) Had a registration * * * as an athlete
agent suspended, revoked, or denied * * * in any state;
(f) Been refused renewal of registration as an athlete agent in any state;
( * * *g) Engaged in conduct * * * resulting in imposition of a sanction, suspension or
declaration of ineligibility to participate in an interscholastic * * *, intercollegiate or professional
athletic event * * * on a student-athlete or a sanction on an educational
institution; or
( * * *h) Engaged in conduct that * * * adversely reflects on the
applicant's * * * credibility, honesty or integrity.
(3) In making a determination under
subsection * * * (2),
the Secretary of State shall consider:
(a) How recently the conduct occurred;
(b) The nature of the conduct and the context in which it occurred; and
(c) Any other relevant conduct of the applicant.
( * * *4) An athlete agent registered under
subsection (1) may apply to renew * * * the registration by submitting an
application for renewal in a form prescribed by the Secretary of State. * * *
The applicant shall sign the application for
renewal * * * under penalty of perjury and * * * include current information
on all matters required in an original registration.
( * * *5) * * *
An athlete
agent registered under Section 73-42-9(4) may renew the registration by
proceeding under subsection (4) or, if the registration in the other state has
been renewed, by submitting to the Secretary of State copies of the application
for renewal in the other state and the renewed registration from the other
state. The Secretary of State shall renew the registration if the Secretary of
State determines:
(a) The registration requirements of the other state are substantially similar to or more restrictive than this chapter; and
(b) The renewed registration has not been suspended or revoked, and no action involving the individual's conduct as an athlete agent is pending against the individual or the individual's registration in any state.
( * * *6) Except as provided in Section 33-1-39,
a certificate of registration or a renewal of a registration is valid for two
(2) years.
SECTION 5. Section 73-42-13, Mississippi Code of 1972, is amended as follows:
73-42-13. (1) * * *
The Secretary of State may * * * limit, suspend, revoke or refuse to
renew a registration of an individual registered under Section 73-42-11(1)
for conduct that would have justified * * * refusal to issue a
certificate of registration under Section 73-42-11(2).
(2) * * *
The Secretary of State may suspend or revoke the
registration of an individual registered under Section 73-42-11(1) or renewed
under Section 73-42-11(4) for any reason for which the Secretary of State could
have refused to grant or renew registration or for conduct that would justify
refusal to issue a certificate of registration under Section 73-42-11(2).
SECTION 6. Section 73-42-17, Mississippi Code of 1972, is amended as follows:
73-42-17. * * *
An application for registration
or renewal of registration must be accompanied by a fee in the following
amount:
(a) Two Hundred Dollars ($200.00) for an initial application for registration.
(b) Two Hundred Dollars ($200.00) for an application for registration based upon a certificate of registration or licensure issued by another state.
(c) Two Hundred Dollars ($200.00) for an application for renewal of registration.
(d) Two Hundred Dollars ($200.00) for an application for renewal of registration based upon an application for renewal of registration or licensure submitted in another state.
* * *
SECTION 7. Section 73-42-19, Mississippi Code of 1972, is amended as follows:
73-42-19. (1) An agency contract must be in a record, signed by the parties.
(2) An agency contract must * * * contain:
(a) A statement that the athlete agent is registered as an athlete agent in this state and a list of any other states in which the agent is registered as an athlete agent;
( * * *b) The amount and method of
calculating the consideration to be paid by the student-athlete for services to
be provided by the * * *
agent under the contract and any other consideration * * * the * * * agent has received or will receive from
any other source for entering into the contract or for providing the services;
( * * *c) The name of any person not listed
in the agent's application for registration or renewal * * * of registration which will be
compensated because the student-athlete signed the * * * contract;
( * * *d) A description of any expenses that
the student-athlete agrees to reimburse;
( * * *e) A description of the services to be
provided to the student-athlete;
( * * *f) The duration of the contract; and
( * * *g) The date of execution.
(3) * * * Subject to subsection (7), an agency
contract must contain * * * a
conspicuous notice in boldface type and in * * * substantially the
following form:
WARNING TO STUDENT-ATHLETE
IF YOU SIGN THIS CONTRACT:
(1) YOU MAY LOSE YOUR ELIGIBILITY TO COMPETE AS A STUDENT-ATHLETE IN YOUR SPORT;
(2) IF YOU
HAVE AN ATHLETIC DIRECTOR, WITHIN SEVENTY-TWO (72) HOURS AFTER SIGNING THIS
CONTRACT OR BEFORE THE NEXT SCHEDULED ATHLETIC EVENT IN WHICH YOU PARTICIPATE,
WHICHEVER OCCURS FIRST, BOTH YOU AND YOUR ATHLETE
AGENT * * *
MUST NOTIFY YOUR ATHLETIC DIRECTOR * * * THAT YOU HAVE ENTERED INTO THIS
CONTRACT AND PROVIDE THE NAME AND CONTACT INFORMATION OF THE ATHLETE AGENT;
AND
(3) YOU MAY CANCEL THIS CONTRACT WITHIN FOURTEEN (14) DAYS AFTER SIGNING IT. CANCELLATION OF THE CONTRACT MAY NOT REINSTATE YOUR ELIGIBILITY AS A STUDENT-ATHLETE IN YOUR SPORT. * * *
(4) * * * An agency contract must be
accompanied by a separate record signed by the student-athlete or, if the
student-athlete is a minor, the parent or guardian of the student-athlete
acknowledging that signing the contract may result in the loss of the student-athlete's
eligibility to participate in the student-athlete's sport.
(5) * * * A student-athlete
or, if the student-athlete is a minor, the parent or guardian of the student-athlete
may void an agency contract that does not conform to this section. If the
contract is voided, any consideration received from the athlete agent under the
contract to induce entering into the contract is not required to be returned.
(6) At the time an agency contract is executed, the athlete agent shall give the student-athlete or, if the student-athlete is a minor, the parent or guardian of the student-athlete a copy in a record of the contract and the separate acknowledgement required by subsection (4).
(7) If a student-athlete is a minor, an agency contract must be signed by the parent or guardian of the minor and the notice required by subsection (3) must be revised accordingly.
SECTION 8. Section 73-42-21, Mississippi Code of 1972, is amended as follows:
73-42-21. (1) * * *
In this section,
"communicating" or "attempting to communicate" means
contacting or attempting to contact by an in-person meeting, a record or any
other method that conveys or attempts to convey a message.
(2) * * * Not later than seventy-two (72)
hours after entering into an agency contract or before the next scheduled
athletic event in which the student-athlete may participate, whichever occurs
first, the athlete agent shall give notice in a record of the existence
of the * * *
contract to the athletic director of the educational institution at which the
student-athlete is enrolled or at which the * * * agent has reasonable grounds to believe
the student-athlete intends to enroll.
(3) * * * Not later than seventy-two (72)
hours after entering into an agency contract or before the next scheduled athletic
event in which the student-athlete may participate, whichever occurs first, the
student-athlete shall inform the athletic director of the educational
institution at which the student-athlete is enrolled that * * * the student-athlete has
entered into an agency contract and the name and contact information of the
athlete agent.
(4) If an athlete agent enters into an agency contract with a student-athlete and the student-athlete subsequently enrolls at an educational institution, the agent shall notify the athletic director of the institution of the existence of the contract not later than seventy-two (72) hours after the agent knew or should have known the athlete enrolled.
(5) If an athlete agent has a relationship with a student-athlete before the student-athlete enrolls in an educational institution and receives an athletic scholarship from the institution, the agent shall notify the institution of the relationship not later than ten (10) days after the enrollment if the agent knows or should have known of the enrollment and:
(a) The relationship was motivated in whole or part by the intention of the agent to recruit or solicit the student-athlete to enter an agency contract in the future; or
(b) The agent directly or indirectly recruited or solicited the student-athlete to enter an agency contract before the enrollment.
(6) An athlete agent shall give notice in a record to the athletic director of any educational institution or to an athletic director for compliance at any educational institution at which a student-athlete is enrolled before the agent communicates or attempts to communicate with:
(a) The student-athlete or, if the student-athlete is a minor, a parent or guardian of the student-athlete to influence the student-athlete or parent or guardian to enter into an agency contract; or
(b) Another individual to have that individual influence the student-athlete or, if the student-athlete is a minor, the parent or guardian of the student-athlete to enter into an agency contract.
(7) If a communication or attempt to communicate with an athlete agent is initiated by a student-athlete or another individual on behalf of the student-athlete, the agent shall notify in a record the athletic director of any educational institution at which the student-athlete is enrolled. The notification must be made not later than ten (10) days after the communication or attempt.
(8) An educational institution that becomes aware of a violation of this chapter by an athlete agent shall notify the Secretary of State and any professional league or players association with which the institution is aware the agent is licensed or registered of the violation.
SECTION 9. Section 73-42-23, Mississippi Code of 1972, is amended as follows:
73-42-23. (1) A student-athlete
or, if the student-athlete is a minor, the parent or guardian of the student-athlete
may cancel an agency contract by giving notice in a record to the
athlete agent of the cancellation * * * not later than fourteen (14) days
after the date the contract is signed.
(2) A student-athlete or,
if the student-athlete is a minor, the parent or guardian of the student-athlete
may not waive the right to cancel * * * an agency contract.
(3) If a student-athlete,
parent or guardian cancels an agency contract, the student-athlete, parent
or guardian is not required to pay any consideration under the contract or * * * return any consideration received from the
athlete agent to induce the student-athlete to enter into the contract.
SECTION 10. Section 73-42-27, Mississippi Code of 1972, is amended as follows:
73-42-27. (1) * * *
Except as otherwise provided
in subsection (3), an athlete agent * * *, with the intent to * * * influence a student-athlete or,
if the student-athlete is a minor, the parent or guardian of the student-athlete
to enter into an agency contract, may not take any of the following
actions or encourage any other individual to take or assist any other
individual in taking any of the following actions on behalf of the agent:
(a) Give * * * materially false or misleading information
or make a materially false promise or representation;
(b) Furnish anything
of value to * * *
the student-athlete before the student-athlete enters into the * * * contract; or
(c) Furnish anything of value to any individual other than the student-athlete or another registered athlete agent.
(2) An athlete agent may not intentionally do any of the following or encourage any other individual to do any of the following on behalf of the agent:
(a) Initiate contact, directly or indirectly, with a student-athlete or, if the student-athlete is a minor, a parent or guardian of the student-athlete to recruit or solicit the student-athlete, parent or guardian to enter an agency contract unless registered under this chapter;
(b) * * *
Fail to create
or retain or to permit inspection of the records required by Section
73-42-25 * * *;
(c) * * *
Fail to register when
required by Section 73-42-7 * * *;
(d) Provide materially false or misleading information in an application for registration or renewal of registration;
(e) Predate or postdate an agency contract; or
(f) Fail to notify a
student-athlete * * * or, if the
student-athlete is a minor, a parent or guardian of the student-athlete before
the student-athlete, parent or guardian signs an agency contract for a
particular sport that the signing * * * may make the student-athlete
ineligible to participate as a student-athlete in that sport.
(3) (a) In this subsection, "certified athlete agent" means an athlete agent registered under this chapter who is certified to be an athlete agent in a particular sport by a national association that promotes or regulates intercollegiate athletics and establishes eligibility standards for participation by a student-athlete in that sport.
(b) A certified athlete agent may pay expenses of a student-athlete and the student-athlete's family members incurred before the signing of an agency contract if:
(i) The expenses are for the benefit of a student-athlete who is a member of a class of student-athletes authorized to receive the benefit by the national association that certified the agent;
(ii) The expenses are of a type authorized to be paid by a certified agent by the national association that certified the agent; and
(iii) The expenses are for a purpose authorized by the national association that certified the agent.
(c) All certified athlete agents who pay any expenses authorized by this subsection must file an itemized report of the same with the athletic director or their designee with the educational institution the student-athlete attends or intends to enroll. The report must be submitted by the fifth day of the month following the month during which the expenses were incurred. The reporting of expenses must be in a format required by the educational institution.
SECTION 11. Section 73-42-31, Mississippi Code of 1972, is amended as follows:
73-42-31. (1) An
educational institution * * *has a right of action against an athlete agent or a former student-athlete
for damages caused by a violation of this act. In an action under this
section, the court may award to the prevailing party costs and reasonable
attorney's fees.
or a student-athlete may bring an action for
damages against an athlete agent if the institution or student-athlete is
adversely affected by an act or omission of the agent in violation of this
chapter. An educational institution or student-athlete is adversely affected
by an act or omission of the agent only if, because of the act or omission, the
institution or an individual who was a student-athlete at the time of the act
or omission and enrolled in the institution:
(a) Is suspended or disqualified from participation in an interscholastic or intercollegiate sports event by or under the rules of a state or national federation or association that promotes or regulates interscholastic or intercollegiate sports; or
(b) Suffers financial damage.
(2) A plaintiff that prevails in an action under this section may recover treble damages, punitive damages, costs and reasonable attorney's fees. An athlete agent found liable under this section forfeits any right of payment for anything of benefit or value provided to the student-athlete and must refund any consideration paid to the agent by or on behalf of the student-athlete.
(3) A violation of this chapter is an unfair trade or deceptive practice for purposes of 75-24-5.
SECTION 12. Section 73-42-33, Mississippi Code of 1972, is amended as follows:
73-42-33. The Secretary of
State may assess a civil penalty against an athlete agent not to exceed * * * Fifty
Thousand Dollars ($50,000.00) for a violation of this chapter.
SECTION 13. Section 73-42-34, Mississippi Code of 1972, is amended as follows:
73-42-34. (1) If the Secretary of State determines that a person has engaged in or is engaging in an act, practice, or course of business constituting a violation of this chapter or a rule adopted or order issued under this chapter, or that a person has materially aided or is materially aiding in an act, practice, or course of business constituting a violation of this chapter or a rule adopted or order issued under this chapter, then the secretary may:
(a) Issue an order directing the person to cease and desist from engaging in the act, practice, or course of business, or to take other action necessary or appropriate to comply with this chapter or any rule adopted or order issued under this chapter;
(b) Issue an order imposing an administrative penalty against an athlete agent who violated any provision of this chapter or any rule adopted or order issued under this chapter; and
(c) Take any other action authorized under the provisions of this chapter.
(2) An order issued under
subsection (1) of this section is effective on the date of its issuance. Upon
the order's issuance, the Secretary of State shall promptly serve each person
subject to the order with a copy of the order and a notice that the order has
been entered. The order must include a statement of any civil penalty or other
administrative remedy to be imposed under subsection (1) of this section, a
statement of the costs of investigation that the secretary will seek to recover,
a statement of the reasons for the order, and a statement notifying the person
of his or her right to a hearing * * *. If a person subject
to the order does not request a hearing in writing within thirty (30) days of
the date of the order and none is ordered by the hearing officer, then the
order, including the imposition of a civil penalty or requirement for payment
of the costs of investigation, shall become final as to that person by
operation of law.
(3) In a final order, the secretary may charge the actual cost of an investigation or proceeding for a violation of this chapter or a rule adopted or order issued under this chapter.
(4) If a petition for
judicial review of a final order is not filed in accordance with * * * this section, or the
petition is denied by the court, the secretary may file a certified copy of the
final order with the clerk of a court in the jurisdiction where enforcement
will be sought. The order so filed has the same effect as a judgment of the
court and may be recorded, enforced, or satisfied in the same manner as a
judgment of the court.
(5) If a person does not comply with an order issued under this section, the secretary may petition a court of competent jurisdiction to enforce the order and collect administrative civil penalties and costs imposed under the final order. The court may not require the secretary to post a bond in an action or proceeding under this section. If the court finds, after service and opportunity for hearing, that the person did not comply with the order, the court may adjudge the person in civil contempt of the order. The court may grant any relief the court determines is just and proper in the circumstances.
(6) Any person aggrieved by
a final order of the secretary may obtain a review of the order in the circuit
court of the county of residence of the athlete agent, * * * if the athlete agent is a Mississippi
resident, or the circuit court of the county in which the educational
institution that the student-athlete attends or attended is located, by
filing within thirty (30) days after the entry of the order, a written petition
praying that the order be modified or set aside, in whole or in part. A copy
of the petition shall be served upon the secretary, and the secretary shall
certify and file with the court a copy of the record and evidence upon which
the order was entered. When these have been filed, the court has exclusive
jurisdiction to affirm, modify, enforce or set aside the order, in whole or in
part. The findings of the secretary as to the facts, if supported by competent
material and substantial evidence, are conclusive. The beginning of
proceedings under this subsection does not operate as a stay of the secretary's
order, unless specifically ordered by the court.
(7) In addition to the reasons specified in this section, the secretary may suspend the registration of any person for being out of compliance with an order for support, as defined in Section 93-11-153. The procedure for suspension of a registration for being out of compliance with an order for support, and the procedure for the reissuance or reinstatement of a registration suspended for that purpose, and the payment of any fees for the reissuance or reinstatement of a registration suspended for that purpose, is governed by Section 93-11-157 or 93-11-163, as the case may be. Actions taken by the secretary in suspending the registration of a person when required by Section 93-11-157 are not actions from which an appeal may be taken under this section. Any appeal of a registration suspension that is required by Section 93-11-157 or 93-11-163 must be taken in accordance with the appeal procedure specified in Section 93-11-157 or 93-11-163, as the case may be, rather than the procedure specified in this section. If there is any conflict between any provision of Section 93-11-157 or 93-11-163 and any provision of this chapter, the provisions of Section 93-11-157 or 93-11-163, as the case may be, are controlling.
SECTION 14. The following shall be codified as Section 73-42-41, Mississippi Code of 1972.
73-42-41. This chapter may not be interpreted or construed to limit, in any way, the right of a Mississippi educational institution to adopt and enforce its own policies, rules or regulations addressing athlete agent solicitations or interactions with the student-athletes attending that institution.
SECTION 15. This act shall take effect and be in force from and after July 1, 2019.