Stricken language would be deleted from and underlined language would be added to present law.
Act 589 of the Regular Session
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State of Arkansas As Engrossed: H3/27/23 1
94th General Assembly A Bill 2
Regular Session, 2023 HOUSE BILL 1649 3
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By: Representatives M. Shepherd, Hawk, Achor, Brooks, Dalby, Ennett, Eubanks, Evans, K. Ferguson, D. 5
Hodges, Lynch, McGrew, McNair, Painter, Perry, Richmond, T. Shephard, Springer, Tosh, D. Whitaker, 6
Wooten 7
By: Senators Hester, Irvin, R. Murdock, Crowell, J. Petty, Stone 8
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For An Act To Be Entitled 10
AN ACT TO AMEND THE ARKANSAS STUDENT-ATHLETE 11
PUBLICITY RIGHTS ACT ; TO DECLARE AN EMER GENCY; AND 12
FOR OTHER PURPOSES. 13
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Subtitle 16
TO AMEND THE ARKANSAS STUDENT -ATHLETE 17
PUBLICITY RIGHTS ACT; AND T O DECLARE AN 18
EMERGENCY. 19
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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 22
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SECTION 1. Arkansas Code § 4 -75-1302(7)(A), concerning the definition 24
of student-athlete used under the Arkansas Student -Athlete Publicity Rights 25
Act, is amended to read as follows: 26
(7)(A) “Student-athlete” means an individual who: 27
(i) enrolled Has been accepted into admission or 28
signed a National Letter of Intent or other written agreement to enroll in an 29
institution of higher education within the State of Arkansas; or 30
(ii) at Is enrolled at an institution of higher 31
education who is eligible to engage in any varsity intercollegiate athletics 32
program at the institution. 33
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SECTION 2. Arkansas Code § 4 -75-1303 is amended to read as follows: 35
4-75-1303. Right to compensation. 36 As Engrossed: H3/27/23 HB1649
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(a) Except as prohibited in this subchapter, a student -athlete may 1
shall have the right to enter into a contract and receive compensation for 2
the commercial use of the student -athlete's publicity rights. 3
(b) An institution of higher education, its supporting foundations, or 4
its authorized entities may identify, create, facilitate, and otherwise 5
enable opportunities for a student -athlete to earn compensation for the 6
commercial use of the student -athlete's publicity ri ghts. 7
(c) A charitable organization that qualifies as an exempt organization 8
under 26 U.S.C. § 501(c)(3), as it existed on January 1, 2023, shall have the 9
right to compensate student -athletes for the commercial use of the student -10
athlete's publicity righ ts. 11
(d) Except as provided in this subchapter or applicable federal law, 12
an institution of higher education shall not uphold any rule, requirement, 13
standard, or other limitation of an athletic association or athletic 14
conference that prevents a student -athlete from earning compensation for the 15
commercial use of the student -athlete's publicity rights. 16
(c)(e) Earning compensation for the commercial use of a student -17
athlete's publicity rights shall not affect the student -athlete's scholarship 18
eligibility. 19
(d)(f) An athletic association, athletic conference, or any other 20
organization with authority over varsity intercollegiate athletics shall not: 21
(1) Prevent a student -athlete from receiving compensation for 22
the commercial use of the student -athlete's publicity rights under this 23
subchapter; 24
(2) Penalize a student -athlete for receiving compensation for 25
the commercial use of the student -athlete's publicity rights under this 26
subchapter; or 27
(3) Prevent an institution of higher education from 28
participating in varsity intercollegiate athletics, or otherwise penalize an 29
institution of higher education, as a result of a student -athlete's receipt 30
of compensation under this subchapter. 31
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SECTION 3. Arkansas Code § 4 -75-1304(a), concerning conflicts under 33
the Arkansas Student-Athlete Publicity Rights Act, is amended to read as 34
follows: 35
(a) A third-party licensee or student -athlete shall not enter into a 36 As Engrossed: H3/27/23 HB1649
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contract for the commercial use of the student -athlete's publicity rights if 1
the contract: 2
(1) Requires the student-athlete to endorse, use, solicit, sell, 3
market, advertise, promote, refer to, mention, display, or otherwise promote 4
the name, image, logo, product, service, purpose, campaign, business, digital 5
or physical address, or location of any third -party licensee or commercial 6
entity during a varsity intercollegiate athletic practice, competition, or 7
other activity; 8
(2) Conflicts with a term or condition of a contract, policy, 9
rule, regulation, or standard of the student -athlete's committed or enrolled 10
institution of higher education; or 11
(3) Involves the student -athlete's performance or lack of 12
performance in athletic competition. 13
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SECTION 4. Arkansas Code § 4 -75-1305(c), concerning representation 15
under the Arkansas Student -Athlete Publicity Rights Act, is amended to read 16
as follows: 17
(c) A student-athlete may rescind a publicity rights contract with a 18
third-party licensee or a contract for professional representation related to 19
publicity rights without being held liable for breach of contrac t and with no 20
obligation to return payments received before giving notice of rescission if 21
the student-athlete is no longer : 22
(1) Enrolled at an institution of higher education; 23
(2) Eligible to engage eligible to participate in any varsity 24
intercollegiate athletics program at an institution of higher education ; or 25
(3) Participating in varsity intercollegiate athletics at an 26
institution of higher education . 27
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SECTION 5. Arkansas Code § 4 -75-1307(a), concerning the scope of the 29
Arkansas Student-Athlete Publicity Rights Act, is amended to read as follows: 30
(a) This subchapter does not: 31
(1) Allow a student-athlete to seek or obtain compensation 32
Require an institution of higher education, its supporting foundations, or 33
its authorized entities to compensate a student -athlete for any use of the 34
student-athlete's publicity rights stated in § 4 -75-1110; 35
(2) Require an institution of higher education or its supporting 36 As Engrossed: H3/27/23 HB1649
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foundations or authorized entities , athletic association, c onference, or 1
other organization with authority over varsity intercollegiate athletics to 2
identify, create, facilitate, negotiate, or otherwise enable opportunities 3
for a student-athlete to earn compensation for the commercial use of the 4
student-athlete's publicity rights; 5
(3) Authorize a student -athlete to use the name, nicknames, 6
trademarks, service marks, landmarks, facilities, trade dress, uniforms, 7
songs, mascots, logos, images, symbols, or other intellectual property, 8
whether registered or not, of an institution of higher education, athletic 9
association, conference, or other organization with authority over varsity 10
intercollegiate athletics; 11
(4) Limit the right of an institution of higher education to 12
establish and enforce: 13
(A) Academic standards, requirements, regulations or 14
obligations for its students; 15
(B) Team rules of conduct or other rules of conduct; 16
(C) Standards or policies regarding the governance or 17
operation of or participation in varsity intercollegiate athletics; or 18
(D) Disciplinary rules generally applicable to all 19
students of the institution of higher education; or 20
(5) Authorize any prospective student -athlete who may attend an 21
institution of higher education, any third -party licensee, or anyone acting 22
on behalf of the prospective student -athlete to negotiate or receive 23
compensation for the commercial use of the prospective student -athlete's 24
publicity rights before the student -athlete's enrollment in an institution of 25
higher education or practice or competition in varsity intercollegiate 26
athletics; or 27
(6) Render student-athletes employees of the institution of 28
higher education based on participation in varsity intercollegiate athletic 29
competition. 30
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SECTION 6. Arkansas Code § 4 -75-1308 is amended to read as foll ows: 32
4-75-1308. Civil remedy. 33
(a)(1) An institution of higher education or a student -athlete as 34
defined in § 4-75-1302 has a cause of action for damages against an athlete 35
agent or third-party licensee if the institution of higher education or 36 As Engrossed: H3/27/23 HB1649
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student-athlete is adversely affected by an act or omission of the athlete 1
agent, third-party licensee, or anyone acting on behalf of the athlete agent 2
or third-party licensee in violation of this subchapter. 3
(2) An institution of higher education or student -athlete is 4
adversely affected by an act or omission of an athlete agent, third -party 5
licensee, or anyone acting on behalf of the athlete agent or third -party 6
licensee, only if, because of the act or omission, the institution of higher 7
education or student -athlete: 8
(A) Is suspended or disqualified from participating in an 9
intercollegiate sport; or 10
(B) Suffers financial damage. 11
(b)(3) A student-athlete has a cause of action under this 12
section only if the student -athlete was enrolled in an institution of higher 13
education at the time of the act or omission. 14
(b)(1) A person or entity, regardless of residence, shall not give or 15
promise compensation for the use of the name, image, or likeness of a 16
student-athlete enrolled at an institution of higher education located in 17
Arkansas or of a prospective student -athlete who has entered into an 18
enrollment contract with an institution of higher e ducation located in 19
Arkansas with the purpose of recruiting or inducing the student -athlete to 20
enroll at another institution of higher education. 21
(2) An institution of higher education or its supporting 22
foundations or authorized entities and third -party licensees shall have a 23
cause of action against any party that violates this section. 24
(c) In an action under this section, a prevailing plaintiff may 25
recover punitive damages, reasonable attorney's fees and costs, and any other 26
reasonable litigation exp enses. 27
(d) An institution of higher education, its employees located within 28
this state, including athletics coaching staff, shall not be liable for any 29
damages related to an intercollegiate student -athlete's ability or inability 30
to earn compensation for the use of the student -athlete's name, image, or 31
likeness resulting from decisions and actions routinely taken within the 32
course of their employment in intercollegiate athletics. 33
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SECTION 7. EMERGENCY CLAUSE. It is found and determined by the 35
General Assembly of the State of Arkansas that other intercollegiate 36 As Engrossed: H3/27/23 HB1649
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athletics need a certain amount of time for recruiting and other states are 1
revising their state's name, image, and likeness rights legislation in an 2
attempt to recruit players for intercollegiate athletics; that for purposes 3
of intercollegiate athletic recruitment, establishing the rules for use of a 4
recruit's name, image, and likeness is important; and that this act is 5
immediately necessary because recruits for intercollegiate athletics need to 6
know as soon as practicable what the rules for name, image, and likeness 7
rights are with respect to selecting an intercollegiate athletic program to 8
allow the recruit to properly evaluate intercollegiate athletic programs. 9
Therefore, an emergency is declare d to exist, and this act being immediately 10
necessary for the preservation of the public peace, health, and safety shall 11
become effective on: 12
(1) The date of its approval by the Governor; 13
(2) If the bill is neither approved nor vetoed by the Governor, 14
the expiration of the period of time during which the Governor may veto the 15
bill; or 16
(3) If the bill is vetoed by the Governor and the veto is 17
overridden, the date the last house overrides the veto. 18
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/s/M. Shepherd 20
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APPROVED: 4/11/23 23
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