bill bans one kind of student athlete likeness deal

The text as introduced · 413 words

89R5375 BEE-D

By: West
S.B. No. 655

A BILL TO BE ENTITLED

AN ACT

relating to prohibited student athlete name, image, and likeness

agreements; providing injunctive relief and a civil penalty.

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

SECTION 1. Subtitle B, Title 13, Occupations Code, is

amended by adding Chapter 2053 to read as follows:

CHAPTER 2053. NAME, IMAGE, AND LIKENESS AGREEMENTS

Sec. 2053.001. DEFINITION. In this chapter, "student

athlete" means an individual who as a student participates in:

(1) a University Interscholastic League activity; or

(2) an intercollegiate athletic program at an

institution of higher education.

Sec. 2053.002. PROHIBITED NAME, IMAGE, AND LIKENESS

AGREEMENTS. A person may not enter into an agreement with a student

athlete under which the person:

(1) pays the student athlete an amount as

consideration;

(2) receives the exclusive right to negotiate the use

or sale of the student athlete's name, image, and likeness for the

term of the agreement; and

(3) is entitled to receive a percentage of earnings

from the use or sale of the student athlete's name, image, and

likeness until the earlier of:

(A) the date the person has received a

predetermined amount of the student athlete's earnings; or

(B) the date the agreement expires.

Sec. 2053.003. PROHIBITED AGREEMENTS VOID AND

UNENFORCEABLE. An agreement entered into in violation of Section

2053.002 or any language in an agreement that circumvents the

prohibition imposed under that section or otherwise achieves the

same or a substantially similar effect as a prohibited agreement is

void and unenforceable.

Sec. 2053.004. PROHIBITED WAIVER. An agreement may not

waive the requirements of this chapter. A purported waiver of this

chapter is a violation of this section and is void.

Sec. 2053.005. CIVIL PENALTY; INJUNCTIVE RELIEF. (a) A

person who violates this chapter is liable for a civil penalty not

to exceed $100,000 for each violation.

(b) The attorney general may bring an action in the name of

this state to:

(1) recover a civil penalty under Subsection (a);

(2) restrain or enjoin the person from violating this

chapter; or

(3) recover the civil penalty under Subsection (a) and

seek injunctive relief.

(c) The attorney general may recover reasonable attorney's

fees and court costs in bringing an action under this section.

SECTION 2. Chapter 2053, Occupations Code, as added by this

Act, applies only to an agreement entered into on or after the

effective date of this Act.

SECTION 3. This Act takes effect September 1, 2025.