MISSISSIPPI LEGISLATURE
2025 Regular Session
To: Universities and Colleges
By: Senator(s) Boyd
AN ACT TO AMEND SECTION 37-97-103, MISSISSIPPI CODE OF 1972, TO DEFINE TERMS; TO AMEND SECTION 37-97-105, MISSISSIPPI CODE OF 1972, TO ALLOW POSTSECONDARY EDUCATIONAL INSTITUTIONS TO SHARE A PORTION OF ATHLETICS-RELATED REVENUE WITH STUDENT-ATHLETES OR COMPENSATE STUDENT-ATHLETES FOR PUBLICITY RIGHTS; TO REMOVE CERTAIN PROVISIONS; TO AMEND SECTION 37-97-107, MISSISSIPPI CODE OF 1972, TO INCLUDE STUDENT-ATHLETES WHO HAVE GIVEN NOTICE TO THEIR CURRENT INSTITUTION OF AN INTENT TO TRANSFER; TO AMEND SECTION 37-97-109, MISSISSIPPI CODE OF 1972, TO PROVIDE FOR CIVIL LIABILITY DUE TO CERTAIN VIOLATIONS; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 37-97-103, Mississippi Code of 1972, is amended as follows:
37-97-103. As used in this article, the following terms shall have the following meanings unless the context clearly indicates otherwise:
(a) "Compensation" means any remuneration, in cash or in kind, whether provided at the time or at any subsequent date, to a student-athlete. For the purposes of this article, "compensation" shall not mean any grant, scholarship, fellowship, tuition assistance, or other form of financial aid provided to a student for pursuing a post-secondary education.
(b) "Intercollegiate athletics program" means an intercollegiate athletics sport played at the collegiate level for which eligibility requirements for participation by a student-athlete are established by a national association, conference or any other group or organization with authority over the sport, that promotes or regulates collegiate athletics.
(c) "Publicity Rights" means any right associated with the name, image, likeness, publicity, reputation, fame, or personal following of a student recognized under federal or state law as permitting an individual to control or profit from the use of the same.
(d) "Postsecondary educational institution" means a public university or community college or private university or college.
(e) "Student-athlete" means an individual who is enrolled in or has signed a National Letter of Intent or other written agreement to enroll in a postsecondary educational institution or is being recruited by a postsecondary educational institution to participate in an intercollegiate athletics program. If an individual is permanently ineligible to participate in a particular intercollegiate sport, the individual is not a student-athlete for purposes of that sport.
(f) "Third party" means any individual or entity or group of the same other than a postsecondary educational institution, including a charitable organization that qualifies as an exempt organization under 26 USC Section 501(c)(3), as amended.
(g) "Athletics financial aid agreement" means any agreement between a post-secondary educational institution and a student-athlete for the provision of athletics-related financial aid.
(h) "Athletics-related revenue" means revenue generated from ticket sales, game guarantees, media rights, NCAA distributions, conference distributions, royalties, licensing, advertisement and sponsorships and football bowl games as currently set forth in categories 1, 7, 11, 12, 13, 13A, 15, and 19 of the 2024 Revenue Categories used in the NCAA Membership Financial Reporting System.
(i) "Revenue sharing agreement" means an agreement with a student-athlete to share athletics-related revenue.
SECTION 2. Section 37-97-105, Mississippi Code of 1972, is amended as follows:
37-97-105. (1) A
postsecondary educational institution * * * shall have the right to, directly or
through an agreement with a third party, share a portion of the
postsecondary educational institution's athletics-related revenue with a student-athlete
or compensate a student-athlete for his or her publicity rights.
(2) A postsecondary
educational institution or any officer, trustee or employee of a postsecondary
educational institution shall have the right to identify, create, solicit,
facilitate, negotiate, support, assist and otherwise enable opportunities for a
student-athlete to earn or attempt to earn compensation for the use of the
student-athlete's publicity rights. Such right shall include, without
limitation, the right to discuss with a student-athlete the potential to earn
compensation for * * * his or her publicity rights if * * * he or she attends the
postsecondary educational institution. Provided that a postsecondary
educational institution or any officer, trustee, or employee, of a
postsecondary educational institution does not:
(a) Receive compensation from the student-athlete for facilitating, enabling, or assisting with such opportunities;
(b) Attempt to influence a student-athlete's choice of professional representation related to such opportunities; or
(c) Attempt in bad faith to reduce such student-athlete's opportunities from competing third parties.
( * * *3) A third party shall have the right
to compensate a student-athlete for the use of the student-athlete's publicity
rights. * * *
( * * *4) * * * Before any agreement with a
third party for compensation for the use of a student-athlete's publicity
rights is entered into, and before any compensation is provided to the student-athlete,
a postsecondary educational institution may require a student-athlete enrolled
at that institution or who has * * *
signed an athletics financial aid agreement to disclose the agreement or
the terms thereof to a designated official of the postsecondary educational
institution in which the student-athlete is enrolled or intends to enroll in a
manner prescribed by the institution.
* * * (5) Agreements, or
proposed agreements, contemplated by this act and any documents that
compile, summarize or disclose any of the terms of such agreements shall be
exempt from the Mississippi Public Records Act of 1983. * * *
SECTION 3. Section 37-97-107, Mississippi Code of 1972, is amended as follows:
37-97-107. (1) * * * A third-party agreement for the
use of a student-athlete's publicity rights which is formed after the student-athlete * * * signs an
athletics financial aid agreement to attend a postsecondary educational
institution or has given notice to his or her current post-secondary
educational institution of an intent to transfer or while the student-athlete
is participating in an intercollegiate sport at a postsecondary educational
institution may be terminated either by the student-athlete or any other party
to the agreement when the student-athlete's participation in the sport at the
institution ends.
(4) A student-athlete may not receive or enter into a contract for compensation for the use of his or her publicity rights in a way that also uses any registered or licensed marks, logos, verbiage or designs of a postsecondary educational institution, unless the institution has provided the student-athlete with written permission to do so prior to entering into the agreement or receipt of compensation.
(5) If a student-athlete is granted permission to use the marks or logos, independently or through a third party, the postsecondary educational institution may be compensated for the use. A postsecondary educational institution may prohibit a student-athlete from wearing any item of clothing, shoes, or other gear or wearables with the name, logo or insignia of any third party while participating in an intercollegiate athletics program activity.
(6) A third party may not enter into, or offer to enter into, a publicity rights agreement with a student-athlete or otherwise compensate a student-athlete for the use of the student-athlete's publicity rights if a provision of the agreement or the use of the student-athlete's publicity rights conflicts with a provision of a contract, rule, regulation, standard or other requirement of the postsecondary educational institution where the student-athlete is enrolled or intends to enroll unless such contract or use is expressly approved in writing by the postsecondary educational institution.
(7) No student-athlete who is enrolled in a postsecondary educational institution shall enter into a publicity rights agreement or receive compensation from a third party for the endorsement or promotion of brands, products, or services involving gambling, sports betting, controlled substances, marijuana, tobacco, alternative or electronic nicotine product or delivery system, alcohol, adult entertainment or any other brand, product or service that is reasonably considered to be inconsistent with the values or mission of a postsecondary educational institution or that, in the institution's sole judgment, negatively impacts or reflects adversely on a postsecondary education institution or its athletic programs, including, without limitation, bringing about public disrepute, embarrassment, scandal, ridicule or otherwise negatively impacting the reputation or the moral or ethical standards of the postsecondary educational institution.
(8) Nothing in this chapter shall be construed to qualify a student-athlete as an employee of a postsecondary educational institution.
(9) No postsecondary
educational institution may use funds appropriated from the State General Fund
to share revenue or to compensate a student-athlete for * * * his or her publicity rights.
SECTION 4. Section 37-97-109, Mississippi Code of 1972, is amended as follows:
37-97-109. (1) No postsecondary educational institution or any officer, trustee, or employee of a postsecondary educational institution shall be subject to a claim for damages related to their adoption, implementation, or enforcement of any contract, rule, regulation, standard or other requirement in compliance with this chapter. This chapter is not intended to and shall not waive or diminish any applicable defenses and immunities, including, without limitation, sovereign immunity applicable to public postsecondary educational institutions.
(2) A national association, a conference or any other group or organization with authority over the sport, that promotes or regulates collegiate athletics at a postsecondary educational institution to which this chapter applies shall not:
(a) Enforce a contract term, a rule, a regulation, a standard, a bylaw, guidance, or any other requirement that penalizes the institution, the institution's intercollegiate athletics program, or student-athlete for performing, participating in, or allowing an activity required or authorized by this chapter;
(b) Prevent a
postsecondary educational institution from or penalize it for establishing
agreements with a third-party entity to act on the institution's behalf to
identify, create, solicit, facilitate, negotiate, support, assist, and
otherwise enable opportunities for a student-athlete to earn compensation from * * * his or her publicity rights; or
(c) Penalize a postsecondary educational institution because an individual or entity whose purpose includes supporting and benefiting the postsecondary institution or its intercollegiate athletic programs violates any contract term, a rule, a regulation, a standard, a bylaw, guidance, or any other requirement that is in conflict with actions required or authorized by this chapter.
(3) A
person or entity, including a post-secondary educational institution,
regardless of residence, shall not give or promise to share revenue or to
provide compensation for the use of publicity rights of a student-athlete
that is currently enrolled in or has signed * * * an athletics
financial aid agreement or other written agreement to enroll in a
postsecondary educational institution within the State of Mississippi with the
purpose of recruiting or inducing the student-athlete to enroll at another
postsecondary educational institution, unless the student-athlete has
given notice of intent to transfer as provided in national association or
conference rules. A person or entity who violates this section is
liable to the postsecondary educational institution where the student-athlete
is enrolled or has signed an athletics financial aid agreement in an amount
equal to three (3) times the amount given or promised the student-athlete. Any
lawsuit to enforce this provision may be initiated by the postsecondary
educational institution in a state court in Mississippi where the initiating
postsecondary institution is located. By giving or offering to share revenue
or compensate a student-athlete enrolled in or who has signed an athletics
financial aid agreement with a postsecondary institution in this state, the
person or entity consents to the personal jurisdiction of the state court and,
to the extent applicable, waives immunity from being sued in Mississippi.
SECTION 5. This act shall take effect and be in force from and after July 1, 2025.