SENATE FLOOR VERSION - SB1786 SFLR Page 1 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SENATE FLOOR VERSION February 20, 2024 SENATE BILL NO. 1786 By: Thompson (Kristen) of the Senate and Kannady and Deck of the House An Act relating to the Student Athlete Name, Image and Likeness Rights Act; amending 70 O.S. 2021, Sections 820.23, as amended by Section 2, Chapter 315, O.S.L. 2023, 820.25, as amended by Section 4, Chapter 315, O.S.L. 2023, and Section 6, Chapter 315, O.S.L. 2023 (70 O.S. Supp. 2023, Sections 820.23, 820.25, and 820.27), which relate to compensation, limitations on contracts, and restrictions on collegiate athletic associations; removing prohibition for certain compensation; authorizing certain representation or compensation; providing exception to certain contractual requirement; modifying prohibitions for certai n associations or institutions; extending liability protections to certain officers; and providing an effec tive date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA : SECTION 1. AMENDATORY 70 O.S. 2021, Section 820.23, as amended by Section 2, Chapter 315, O.S.L. 2023 (70 O.S. Supp. 2023, Section 820.23), is amended to read as follows: Section 820.23. A. Except as otherwise provided in the Student Athlete Name, Image and Likeness Rights Act, a student athlete may earn compensation for the use of the na me, image, or likeness of the SENATE FLOOR VERSION - SB1786 SFLR Page 2 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 student athlete while enrolled at a postsecondary institution without penalty or resulting limitation on participation. Compensation for the use of a student athlete’s name, image, or likeness shall not affect the student ath lete’s eligibility for athletic grant-in-aid. B. A student athlete shall not earn compensation in e xchange for his or her athletic performance or participation in intercollegiate athletics or sports competition. Compensation shall not be provided as an i nducement for athletic performance or to attend or enroll at a particular institution. C. A If not prohibited by a collegiate athletic associ ation, a postsecondary institution or an officer, director, or employee of such a third party authori zed to act on behalf of the postsecondary institution shall not may provide professional representati on, or compensate or cause compe nsation to be directed to, or both, a current or prospective student athlete for his or her name, image, or likeness unless otherwise if permitted by a collegiate athletics association and institutional policy . D. C. A collegiate athletic association shall not prohibit a postsecondary institution from identifying, facilitating, enabling, or supporting opportunities for a student athlete to earn compensation for the student athlete’s name, image, or likeness activities. SENATE FLOOR VERSION - SB1786 SFLR Page 3 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 E. D. The provisions of this section sh all not be construed to qualify a student athlete as an employee of a postsecondary institution. SECTION 2. AMENDATORY 70 O.S. 2021, Section 820.25, as amended by Section 4, Chapter 315, O.S. L. 2023 (70 O.S. Supp. 2023, Section 820.25), is amended t o read as follows: Section 820.25. A. A student athlete shall not use a postsecondary institution’s marks for the purpose of securing compensation for use of his or her name, image , or likeness unless authorized by the postsecondary institution. B. A student athlete shall not enter into a name, image , and likeness agreement involv ing a commercial product or service that conflicts with a written policy of the pos tsecondary institution or that negatively impacts or reflects adversely on the post secondary institution or its athletic programs including, but not limited to, generating public disrepute, embarrassment, scandal, ridicule or otherwise negatively impacting the reputation or the moral or ethical standards of the postsecondary institution. C. A contract for the use of a student athlete’s name, image, or likeness or a contract for professional representation related to name, image, or likeness that is formed while the student athlete is participating in an intercollegiate sport at a posts econdary educational institution may not extend beyond the student athlete’s participation in the sport at the institution unless the contract is SENATE FLOOR VERSION - SB1786 SFLR Page 4 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 between the student athl ete and the postsecondary institution or a third party authorized to act on behalf of the postsecon dary institution. D. A postsecondary institution may adopt reasonabl e time, place, and manner restrictions to prevent a student athlete’s name, image, or likeness activities from interfering with t eam activities, the postsecondary institution ’s operations, or the use of the institution’s facilities. A postsecondary instit ution may receive compensation for the use of its institutional marks or facilities in conjunction with a student athlete ’s name, image, and likeness activities. E. A collegiate athletic association shall not prohibit a postsecondary institution from establishing agreements with a third- party entity third party to act on its behalf to identify, facilitate, enable, or support student athlete name, image, and likeness activities. F. An institution may require a student athlete to take courses or receive education or tr aining in contracts, financial literacy, or any other subject the postsecondary instituti on deems necessary to prepare a student athlete to en gage in name, image, and likeness activities. SECTION 3. AMENDATORY Section 6, Chapter 315, O.S.L. 2023 (70 O.S. Supp. 2023, Section 820.27), is amended to read as follows: SENATE FLOOR VERSION - SB1786 SFLR Page 5 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Section 820.27. A. A collegiate athletic association shall not and shall not authorize its member institutions to: 1. Prevent a student athlete at a postsecondary institutio n from earning compensation from for the use of his or her name, image, or likeness; 2. Provide a prospective student athlete with compensation in relation to the use of his or her name, image , or likeness; 3. Penalize a student athlete or prevent a student athlete from full participation in an intercollegiate sport because he or she obtains professional representation or receives assistance with services associated with name, image, or likeness activities including with contracts or other legal matter s from an individual, entity, or a postsecondary institution ; or 4. 3. Allow compensation earned by a student athlete for the use of his or her name, image, or likeness or athletic reputation to affect the amount, duration, or renewal of or eligibility for any athletic grant-in-aid or other institutional scholarship; provided, however, compensation earned by a student athlete for the use of his or her name, image, or likeness or athletic reputation may be used for the calculation of income for determining eligibilit y for need- based financial aid. B. A collegiate athletic ass ociation shall not and shall not authorize its member institutions to: SENATE FLOOR VERSION - SB1786 SFLR Page 6 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. Prevent a postsecondary institution from participation in intercollegiate athletics because a student athlete in attend ance has previously earned or intends to earn compensation for t he use of his or her name, image, or likeness; 2. Entertain a complaint, open an investigation, or take any other adverse action against a postsecondary institution for engaging in any activi ty protected in the Student Athlete Name, Image and Likeness Rights Act or for involvement in student athlete name, image, or likeness activities; or 3. Penalize a postsecondary institution from parti cipation in intercollegiate athletics because an individual or entity whose purpose includes supporting or benefitting the postsecondary institution or its athletic programs violates the collegiate athletic association’s rules or regulations with regard to student athlete name, image, or likeness activities . C. No postsecondary institution’s officers or employees, including athletics coaching staf f, shall be liable for any damages to a student athlete’s ability to earn compensation for the use of the student athlete’s name, image, or likeness resulting from decisions and actions routinely taken in the course of intercollegiate athletics. SECTION 4. This act shall become effective November 1, 2024. COMMITTEE REPORT BY: COMMITTEE ON JUDICIARY February 20, 2024 - DO PASS