AB82: Bill Text

Agency contracts

The bill requires that an agency contract between an athlete agent and a student athlete specify the states in which the athlete agent is registered and be accompanied by an acknowledgement of the student athlete that signing the agency contract may make the student athlete ineligible to participate in athletics at an educational institution.

Notice requirements

The bill establishes a number of new notice requirements, including the following:

1. If an athlete agent enters into an agency contract with a student athlete and the student athlete subsequently enrolls at an educational institution, the athlete agent must notify the educational institution of the existence of the contract.

2. Under certain conditions, if an athlete agent has a prior relationship with a student athlete and the student athlete enrolls at an educational institution and receives an athletic scholarship, the athlete agent must notify the educational institution of the relationship.

3. An athlete agent must notify the educational institution at which a student athlete is enrolled before the athlete agent or another person on behalf of the athlete agent communicates or attempts to communicate with the student athlete to influence the student athlete to enter into an agency contract.

4. If a communication or attempt to communicate with an athlete agent is initiated by a student athlete, the athlete agent must notify the educational institution at which the student athlete is enrolled.

Under the bill, none of those notices are subject to disclosure under Wisconsin's public records law.

Prohibited conduct and enforcement

The bill authorizes a student athlete, in addition to an educational institution, to bring a civil action against an athlete agent for damages caused by a violation of the laws governing athlete agents. The bill specifies the conditions under which the civil action may be brought.

The bill prohibits an athlete agent from encouraging another person to engage in conduct the athlete agent is prohibited from doing by law. The bill also provides that any violation by an athlete agent of the laws governing athlete agents in Wisconsin constitutes an unfair method of competition and unfair trade practice, and the bill increases the maximum forfeiture amount for violations of the law by an athlete agent from $25,000 to $50,000.

Parent or guardian

The bill extends application of the laws governing athlete agents and their duties to and interactions with student athletes to the parent or guardian of a student athlete if the student athlete is a minor.

Because this bill creates a new crime or revises a penalty for an existing crime, the Joint Review Committee on Criminal Penalties may be requested to prepare a report.

For further information see the state fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB82,1 Section 1. 440.99 (2) of the statutes is repealed and recreated to read:

AB82,4,3 440.99 (2) (a) “Athlete agent” means an individual, whether or not registered under this act, who does any of the following:

AB82,5,4 1. Directly or indirectly recruits or solicits or, for compensation, procures employment or offers, promises, attempts, or negotiates to obtain employment for a student athlete as a professional athlete or member of a professional sports team or organization.

AB82,5,6 2. For compensation or in anticipation of compensation in connection with a student athlete's participation in athletics, does any of the following:

AB82,5,10 a. Serves the student athlete in an advisory capacity on a matter related to finances, business pursuits, or career management decisions, unless the individual is an employee of an educational institution acting exclusively as an employee of the educational institution for the benefit of the educational institution.

AB82,5,12 b. Manages the business affairs of the student athlete by providing assistance with bills, payments, contracts, or taxes.

AB82,5,14 3. In anticipation of representing a student athlete for a purpose related to the student athlete's participation in athletics, does any of the following:

AB82,5,15 a. Gives consideration to the student athlete or another person.

AB82,5,17 b. Serves the student athlete in an advisory capacity on a matter related to finances, business pursuits, or career management decisions.

AB82,5,19 c. Manages the business affairs of the student athlete by providing assistance with bills, payments, contracts, or taxes.

AB82,5,20 (b) “Athlete agent” does not include the following:

AB82,5,22 1. An individual who acts solely on behalf of a professional sports team or organization.

AB82,5,25 2. An individual who is a licensed, registered, or certified professional and offers or provides services to a student athlete customarily provided by members of the profession, unless the individual does any of the following:

AB82,6,1 a. Recruits or solicits.

AB82,6,4 b. For compensation, procures employment or offers, promises, attempts, or negotiates to obtain employment for the student athlete as a professional athlete or member of a professional sports team or organization.

AB82,6,7 c. Receives consideration for providing the services, and the consideration is calculated using a different method than for an individual who is not a student athlete.

AB82,2 Section 2. 440.99 (4) of the statutes is repealed.

AB82,3 Section 3. 440.99 (4r) of the statutes is created to read:

AB82,6,11 440.99 (4r) “Educational institution” includes all of the following, whether public or private:

AB82,6,12 (a) An elementary school.

AB82,6,13 (b) A secondary school.

AB82,6,14 (c) A technical or vocational school.

AB82,6,15 (d) A community college.

AB82,6,16 (e) A college.

AB82,6,17 (f) A university.

AB82,4 Section 4. 440.99 (5d) of the statutes is created to read:

AB82,6,20 440.99 (5d) “Enrolled” means registered for courses and attending athletic practice or class. “Enrolls” has a corresponding meaning.

AB82,5 Section 5. 440.99 (6) of the statutes is amended to read:

AB82,6,25 440.99 (6) “Intercollegiate sport" means a sport played at the collegiate level for which eligibility requirements for participation by a student athlete are established by a national association for the promotion or regulation of that promotes or regulates collegiate athletics.

AB82,6 Section 6. 440.99 (6c) of the statutes is created to read:

AB82,7,3 440.99 (6c) “Interscholastic sport” means a sport played between educational institutions that are not community colleges, colleges, or universities.

AB82,7 Section 7. 440.99 (6r) of the statutes is created to read:

AB82,7,11 440.99 (6r) “Licensed, registered, or certified professional” means an individual licensed, registered, or certified as an attorney, dealer in securities, financial planner, insurance agent, real estate broker or sales agent, tax consultant, accountant, or other member of a profession, other than that of athlete agent, who is licensed, registered, or certified by this state or a nationally recognized organization that licenses, registers, or certifies members of the profession on the basis of experience, education, or testing.

AB82,8 Section 8. 440.99 (7) of the statutes is amended to read:

AB82,7,16 440.99 (7) “Professional-sports-services contract" means an agreement under which an individual is employed, as a professional athlete or agrees to render services, as a player on a professional sports team, or with a professional sports organization, or as a professional athlete.

AB82,9 Section 9. 440.99 (8c) of the statutes is created to read:

AB82,7,25 440.99 (8c) “Recruit or solicit” means attempt to influence the choice of an athlete agent or the choice to enter into an agency contract or both by a student athlete or, if the student athlete is a minor, a parent or guardian of the student athlete. The term does not include giving advice with respect to the selection of a particular athlete agent or with respect to entering into an agency contract if the advice is given in a family, coaching, or social situation, unless the individual giving the advice does so because of the receipt or anticipated receipt of an economic benefit, directly or indirectly, from an athlete agent.

AB82,10 Section 10. 440.99 (9m) of the statutes is created to read:

AB82,8,3 440.99 (9m) “Sign” means any of the following, with present intent to authenticate or adopt a record:

AB82,8,4 (a) To execute or adopt a tangible symbol.

AB82,8,6 (b) To attach to or logically associate with the record an electronic symbol, sound, or process.

AB82,11 Section 11. 440.99 (11) of the statutes is amended to read:

AB82,8,12 440.99 (11) “Student athlete" means an individual who is eligible to attend an educational institution and engages in, is eligible to engage in, or may be eligible in the future to engage in, any interscholastic or intercollegiate sport. If an individual is permanently ineligible to participate in a particular interscholastic or intercollegiate sport, the individual is not a student athlete for purposes of that sport.

AB82,12 Section 12. 440.991 (2) (b) of the statutes is amended to read:

AB82,8,17 440.991 (2) (b) Within Not later than 7 days after an initial act that requires the individual to register as an athlete agent, such as an effort to recruit or solicit a student athlete to enter into an agency contract, the individual submits an application for registration as an athlete agent in this state.

AB82,13 Section 13. 440.9915 (title) of the statutes is amended to read:

AB82,8,20 440.9915 (title) Registration as athlete agent; form; requirements; reciprocal registration.

AB82,14 Section 14. 440.9915 (1) (intro.) of the statutes is amended to read:

AB82,9,2 440.9915 (1) (intro.) An applicant for registration as an athlete agent shall submit an application for registration to the department in a form prescribed by the department. The application must be in the name of applicant must be an individual, and, except as otherwise provided in sub. (2), the application must be signed or otherwise authenticated by the applicant under penalty of perjury and state or. The application must contain at least all of the following:

AB82,15 Section 15. 440.9915 (1) (a) of the statutes is amended to read:

AB82,9,8 440.9915 (1) (a) The name, date, and place of birth of the applicant and; the address of the applicant's principal place of business; the work and mobile telephone numbers of the applicant; and means of communicating electronically with the applicant, including facsimile number, electronic mail address, and personal and business or employer Internet sites.

AB82,16 Section 16. 440.9915 (1) (b) of the statutes is amended to read:

AB82,9,13 440.9915 (1) (b) The name A description of the applicant's each business or employer, if applicable, of the applicant, including the name, mailing address, telephone number, organization form, and nature of the business, of the applicant's business or employer.

AB82,17 Section 17. 440.9915 (1) (bm) of the statutes is created to read:

AB82,9,16 440.9915 (1) (bm) Each social media account with which the applicant or the applicant's business or employer is affiliated.

AB82,18 Section 18. 440.9915 (1) (c) of the statutes is amended to read:

AB82,9,22 440.9915 (1) (c) Any Each business or occupation in which the applicant engaged in by the applicant for the within 5 years next preceding before the date of submission of the application, including self-employment and employment by others, and any professional or occupational license, registration, or certification held by the applicant during that time.

AB82,19 Section 19. 440.9915 (1) (e) of the statutes is amended to read:

AB82,9,25 440.9915 (1) (e) The name, or if the student athlete is a minor, the name of the parent or guardian of the minor, sport, and last-known team for each individual for whom the applicant acted as an athlete agent during the within 5 years next preceding before the date of submission of the application.

AB82,20 Section 20. 440.9915 (1) (f) of the statutes is amended to read:

AB82,10,7 440.9915 (1) (f) If the athlete agent's business is not a corporation, the names and addresses of the partners, members, officers, managers, associates, or profit sharers of the business and of all persons directly or indirectly holding an equity interest of 5 percent or more of the business.

AB82,21 Section 21. 440.9915 (1) (gm) of the statutes is created to read:

AB82,10,13 440.9915 (1) (gm) A description of the status of any application by the applicant, or any person named under par. (f) or (g), for a state or federal business, professional, or occupational license, other than as an athlete agent, from a state or federal agency, including any denial, refusal to renew, suspension, withdrawal, or termination of the license and any reprimand or censure related to the license.

AB82,22 Section 22. 440.9915 (1) (h) of the statutes is amended to read:

AB82,10,19 440.9915 (1) (h) Whether the applicant or any person named pursuant to under par. (f) or (g) has been convicted of, or has charges pending for, a crime that, if committed in this state, would be a felony, and a description of the crime, the law enforcement agency involved, and, if applicable, the date of the conviction and the fine or penalty imposed.

AB82,23 Section 23. 440.9915 (1) (he) of the statutes is created to read:

AB82,10,24 440.9915 (1) (he) Whether, within 15 years before the date of the application, the applicant, or any person named under par. (f) or (g), has been a defendant or respondent in a civil proceeding, including a proceeding seeking an adjudication of incompetence and, if so, the date and a full explanation of each proceeding.

AB82,24 Section 24. 440.9915 (1) (hm) of the statutes is created to read:

AB82,11,4 440.9915 (1) (hm) Whether the applicant, or any person named under par. (f) or (g), has an unsatisfied judgment or a judgment of continuing effect, including for child or family support, maintenance, or spousal support that is not current at the date of the application.

AB82,25 Section 25. 440.9915 (1) (hs) of the statutes is created to read: