MISSISSIPPI LEGISLATURE

2026 Regular Session

To: Universities and Colleges

By: Senator(s) Boyd

Senate Bill 2044

(COMMITTEE SUBSTITUTE)

AN ACT TO AMEND SECTION 37-97-105, MISSISSIPPI CODE OF 1972, TO PROVIDE FOR CONFIDENTIALITY OF AGREEMENTS AND REMEDIES FOR UNAUTHORIZED DISCLOSURE; TO AMEND SECTION 73-42-34, MISSISSIPPI CODE OF 1972, TO CONFORM; TO BRING FORWARD SECTIONS 37-97-101, 37-97-103, 37-97-107 AND 37-97-109, MISSISSIPPI CODE OF 1972, FOR PURPOSE OF POSSIBLE AMENDMENT; AND FOR RELATED PURPOSES.

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

     SECTION 1.  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 article 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.

     (6)  (a)  Except as otherwise provided in this article or as required by court order or other applicable law, all agreements and proposed agreements entered into, or contemplated under this article, and the terms thereof, shall be maintained as confidential by all parties to such agreements.  No person shall disclose any such agreement, proposed agreement or terms thereof without the express prior written consent of all parties to the agreement.

          (b)  A person who willfully discloses or causes the disclosure of confidential information in violation of paragraph (a) of this subsection shall be liable in a civil action for:

              (i)  Actual damages suffered by any party as a result of the unauthorized disclosure;

              (ii)  Injunctive relief to prohibit further unauthorized disclosure; and

              (iii)  Reasonable attorney's fees and costs incurred by the party seeking enforcement.

          (c)  In addition to the civil remedies provided in this subsection, an individual who is required to be registered as an athlete agent under Section 73-42-1 et seq., and who violates the confidentiality requirements of this subsection, is subject to administrative sanctions under that chapter, including, but not limited to, suspension or revocation of registration, civil penalties, or cease-and-desist orders, as provided therein.

     SECTION 2.  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, or that a person has violated the provisions of subsection (6) of Section 37-97-105, 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 under Section 73-42-13.  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 Section 73-42-37, 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 in Mississippi in the county of residence of the athlete agent, the student-athlete, or educational institution 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.

     SECTION 3.  Section 37-97-101, Mississippi Code of 1972, is brought forward as follows:

     37-97-101.  This article shall be known and may be cited as the "Mississippi Intercollegiate Athletics Compensation and Publicity Rights Act."

     SECTION 4.  Section 37-97-103, Mississippi Code of 1972, is brought forward 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 5.  Section 37-97-107, Mississippi Code of 1972, is brought forward 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.

     (2)  A postsecondary educational institution may impose reasonable limitations on the dates and time that a student-athlete may participate in publicity rights activities.

     (3)  Nothing in this chapter shall restrict a postsecondary educational institution from exercising its sole discretion to control the authorized use of its marks or logos or to determine a student-athlete's apparel, gear or other wearables while participating in an intercollegiate athletics program activity.

     (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 6.  Section 37-97-109, Mississippi Code of 1972, is brought forward 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 7.  This act shall take effect and be in force from and after July 1, 2026.