Existing law does not allow postsecondary educational institutions in the state of California, except for community colleges, to compensate prospective student athletes for the use of the student athlete’s name, image, or likeness, nor can student athletes obtain professional representation relating to their participation in intercollegiate athletics. Existing law prohibits an athletic association, conference, or other group or organization with authority over intercollegiate athletics from preventing postsecondary educational institutions other than a community college from participating in intercollegiate athletics as a result of student athlete’s earning compensation. Existing law does not allow a student’s scholarship to be revoked because they earn compensation or obtain legal representation. Existing law does not allow a student athlete to enter into a contract that conflicts with the team’s contract. Existing law also prohibits a team contract from preventing an athlete from using their athletic reputation for a commercial purposes when the athlete is not engaged in official team activities. Existing law makes these provisions operative on January 1, 2023.
This bill enacts the Fair Pay to Play Act (the Act) and makes the provisions of the Act effective September 1, 2021. The Act amends existing law to apply to community colleges. The Act applies to all campuses of the California Community Colleges, the University of California, the California State University, independent institutions of higher education, and to a private postsecondary education institution.
The Act establishes the following:
- A postsecondary educational institution cannot prevent their student athletes from earning compensation as a result of the use of the student’s name, image, likeness, or athletic reputation;
- The student athlete’s scholarship eligibility cannot be affected by the compensation earned;
- An athletic association, conference, or other group or organization with authority over intercollegiate athletics cannot prevent a student from participating in intercollegiate athletics because the student is earning compensation from their name, likeness, or athletic reputation;
- A postsecondary educational institution, athletic association, conference, or other group or organization with authority over intercollegiate athletics cannot compensate prospective student athletes for the athlete’s name, image, likeness, or athletic reputation;
- Athletic students cannot be prevented from obtaining professional representation in contracts or legal matters, including representation provided by athlete agents or attorneys, but representation can only be obtained from professionals licensed in California;
- A scholarship that pays for the students cost of attendance at the postsecondary institution is not compensation pursuant to this Act;
- Student athletes who enter into contracts for compensation for the use of their name, image, likeness or athletic reputation must disclose the contract to the designated official of the postsecondary institution;
- Student athletes cannot enter into contracts for the use of their name, image, likeness, or athletic reputation if a provision of the contract is in conflict with a provision of the team’s contract;
- The postsecondary institution asserting a conflict with the student’s contract is required to identify the provision in conflict to the athlete or athlete’s legal representatives; and
- A team’s contract cannot prevent a student athlete from using their name, image, likeness, or athletic reputation for a commercial purpose when the athlete is not engaged in official team activities.
(SB 26 amends Section 67456 of the Education Code.)
