Stricken language would be deleted from and underlined language would be added to present law.
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State of Arkansas 1
94th General Assembly A Bill 2
Regular Session, 2023 HOUSE BILL 1649 3
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By: Representatives M. Shepherd, Hawk 5
By: Senators Hester, Irvin, R. Murdock 6
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For An Act To Be Entitled 8
AN ACT TO AMEND THE ARKANSAS STUDENT-ATHLETE 9
PUBLICITY RIGHTS ACT ; AND FOR OTHER PURP OSES. 10
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Subtitle 13
TO AMEND THE ARKANSAS STUDENT -ATHLETE 14
PUBLICITY RIGHTS ACT. 15
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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 18
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SECTION 1. Arkansas Code § 4 -75-1302(7)(A), concerning the definition 20
of student-athlete used under the Arkansas Student -Athlete Publicity Rights 21
Act, is amended to read as follows: 22
(7)(A) “Student-athlete” means an individual who: 23
(i) enrolled Has been accepted into admission or 24
signed a National Letter of Intent or other written agreement to enroll in an 25
institution of higher education with the State of Arkansas; or 26
(ii) at Is enrolled at an institution of higher 27
education who is eligible to engage in any varsity intercollegiate athletics 28
program at the institution. 29
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SECTION 2. Arkansas Code § 4 -75-1303 is amended to read as follows: 31
4-75-1303. Right to compensation. 32
(a) Except as prohibited in th is subchapter, a student -athlete may 33
shall have the right to enter into a contract and receive compensation for 34
the commercial use of the student -athlete's publicity rights. 35
(b) An institution of higher education, its supporting foundations, or 36 HB1649
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its authorized entities may identify, create, facilitate, negotiate, and 1
otherwise enable opportunities for a student -athlete to earn compensation for 2
the commercial use of the student -athlete's publicity rights. 3
(c) A charitable organization that qualifies as an exempt organization 4
under 26 U.S.C. § 501(c)(3), as it existed on January 1, 2023, shall have the 5
right to compensate student -athletes for the commercial use of the student -6
athlete's publicity rights. 7
(d) Except as provided in this subchapter or applic able federal law, 8
an institution of higher education shall not uphold any rule, requirement, 9
standard, or other limitation of an athletic association or athletic 10
conference that prevents a student -athlete from earning compensation for the 11
commercial use of the student-athlete's publicity rights. 12
(c)(e) Earning compensation for the commercial use of a student -13
athlete's publicity rights shall not affect the student -athlete's scholarship 14
eligibility. 15
(d)(f) An athletic association, athletic conference, or any other 16
organization with authority over varsity intercollegiate athletics shall not: 17
(1) Prevent a student -athlete from receiving compensation for 18
the commercial use of the student -athlete's publicity rights under this 19
subchapter; 20
(2) Penalize a student-athlete for receiving compensation for 21
the commercial use of the student -athlete's publicity rights under this 22
subchapter; or 23
(3) Prevent an institution of higher education from 24
participating in varsity intercollegiate athletics, or otherwise penalize an 25
institution of higher education, as a result of a student -athlete's receipt 26
of compensation under this subchapter. 27
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SECTION 3. Arkansas Code § 4 -75-1304(a), concerning conflicts under 29
the Arkansas Student -Athlete Publicity Rights Act, is amen ded to read as 30
follows: 31
(a) A third-party licensee or student -athlete shall not enter into a 32
contract for the commercial use of the student -athlete's publicity rights if 33
the contract: 34
(1) Requires the student -athlete to endorse, use, solicit, sell, 35
market, advertise, promote, refer to, mention, display, or otherwise promote 36 HB1649
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the name, image, logo, product, service, purpose, campaign, business, digital 1
or physical address, or location of any third -party licensee or commercial 2
entity during a varsity inte rcollegiate athletic practice, competition, or 3
other activity; 4
(2) Conflicts with a term or condition of a contract, policy, 5
rule, regulation, or standard of the student -athlete's committed or enrolled 6
institution of higher education; or 7
(3) Involves the student-athlete's performance or lack of 8
performance in athletic competition. 9
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SECTION 4. Arkansas Code § 4 -75-1305(c), concerning representation 11
under the Arkansas Student -Athlete Publicity Rights Act, is amended to read 12
as follows: 13
(c) A student-athlete may rescind a publicity rights contract with a 14
third-party licensee or a contract for professional representation related to 15
publicity rights without being held liable for breach of contract and with no 16
obligation to return payments received befor e giving notice of rescission if 17
the student-athlete is no longer : 18
(1) Enrolled at an institution of higher education; 19
(2) Eligible to engage eligible to participate in any varsity 20
intercollegiate athletics program at an institution of higher educati on; or 21
(3) Participating in varsity intercollegiate athletics at an 22
institution of higher education . 23
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SECTION 5. Arkansas Code § 4 -75-1307(a), concerning the scope of the 25
Arkansas Student-Athlete Publicity Rights Act, is amended to read as follows: 26
(a) This subchapter does not: 27
(1) Allow a student-athlete to seek or obtain compensation 28
Require an institution of higher education, its supporting foundations, or 29
its authorized entities to compensate a student -athlete for any use of the 30
student-athlete's publicity rights stated in § 4 -75-1110; 31
(2) Require an institution of higher education or its supporting 32
foundations or authorized entities , athletic association, conference, or 33
other organization with authority over varsity intercollegiate athletic s to 34
identify, create, facilitate, negotiate, or otherwise enable opportunities 35
for a student-athlete to earn compensation for the commercial use of the 36 HB1649
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student-athlete's publicity rights; 1
(3) Authorize a student -athlete to use the name, nicknames, 2
trademarks, service marks, landmarks, facilities, trade dress, uniforms, 3
songs, mascots, logos, images, symbols, or other intellectual property, 4
whether registered or not, of an institution of higher education, athletic 5
association, conference, or other organi zation with authority over varsity 6
intercollegiate athletics; 7
(4) Limit the right of an institution of higher education to 8
establish and enforce: 9
(A) Academic standards, requirements, regulations or 10
obligations for its students; 11
(B) Team rules of conduct or other rules of conduct; 12
(C) Standards or policies regarding the governance or 13
operation of or participation in varsity intercollegiate athletics; or 14
(D) Disciplinary rules generally applicable to all 15
students of the institution of high er education; or 16
(5) Authorize any prospective student -athlete who may attend an 17
institution of higher education, any third -party licensee, or anyone acting 18
on behalf of the prospective student -athlete to negotiate or receive 19
compensation for the commercial use of the prospective student -athlete's 20
publicity rights before the student -athlete's enrollment in an institution of 21
higher education or practice or competition in varsity intercollegiate 22
athletics; or 23
(6) Render student-athletes employees of the institution of 24
higher education based on participation in varsity intercollegiate athletic 25
competition. 26
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SECTION 6. Arkansas Code § 4 -75-1308 is amended to read as follows: 28
4-75-1308. Civil remedy. 29
(a)(1) An institution of higher education or a student-athlete as 30
defined in § 4-75-1302 has a cause of action for damages against an athlete 31
agent or third-party licensee if the institution of higher education or 32
student-athlete is adversely affected by an act or omission of the athlete 33
agent, third-party licensee, or anyone acting on behalf of the athlete agent 34
or third-party licensee in violation of this subchapter. 35
(2) An institution of higher education or student -athlete is 36 HB1649
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adversely affected by an act or omission of an athlete agent, third -party 1
licensee, or anyone acting on behalf of the athlete agent or third -party 2
licensee, only if, because of the act or omission, the institution of higher 3
education or student -athlete: 4
(A) Is suspended or disqualified from participating in an 5
intercollegiate sport; or 6
(B) Suffers financial damage. 7
(b)(3) A student-athlete has a cause of action under this 8
section only if the student -athlete was enrolled in an institution of higher 9
education at the time of the act or omission. 10
(b)(1) A person or entity, regardless of residence, shall not give or 11
promise compensation for the use of the name, image, or likeness of a 12
student-athlete enrolled at an institution of higher education located in 13
Arkansas or of a prospective student -athlete who has entered into an 14
enrollment contract with an institution of higher education located in 15
Arkansas with the purpose of recruiting or inducing the student -athlete to 16
enroll at another institution of higher education. 17
(2) An institution of higher education or its su pporting 18
foundations or authorized entities and third -party licensees shall have a 19
cause of action against any party that violates this section. 20
(c) In an action under this section, a prevailing plaintiff may 21
recover punitive damages, reasonable attorne y's fees and costs, and any other 22
reasonable litigation expenses. 23
(d) An institution of higher education, its employees located within 24
this state, including athletics coaching staff, shall not be liable for any 25
damages related to an intercollegiate stude nt-athlete's ability or inability 26
to earn compensation for the use of the student -athlete's name, image, or 27
likeness resulting from decisions and actions routinely taken in within the 28
course of their employment in intercollegiate athletics. 29
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