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PRINTER'S NO. 1790
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 1520
Session of
2025
INTRODUCED BY ABNEY, CURRY, HILL-EVANS, PROBST, BELLMON,
D. MILLER, SANCHEZ, D. WILLIAMS, FLEMING AND NEILSON,
MAY 30, 2025
REFERRED TO COMMITTEE ON EDUCATION, MAY 30, 2025
AN ACT
Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An
act relating to the public school system, including certain
provisions applicable as well to private and parochial
schools; amending, revising, consolidating and changing the
laws relating thereto," in intercollegiate athletics, further
providing for definitions and providing for rights of
parties, for prohibitions on institutions, for athletic
associations, conferences and organizations with authority
over intercollegiate sports, for NIL agreements, for athlete
agents and upfront payments, for athletic program structure,
for protections and right to adjudicate, for private civil
action, for settlements and for severability.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The definition of "athlete agent" in section
2002-M of the act of March 10, 1949 (P.L.30, No.14), known as
the Public School Code of 1949, is amended and the section is
amended by adding definitions to read:
Section 2002-M. Definitions.
The following words and phrases when used in this article
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
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"Agency contract." As defined in 5 Pa.C.S. § 3502 (relating
to definitions).
"Athlete agent." As defined in 5 Pa.C.S. § 3502 [(relating
to definitions)].
"Athletic association, conference or organization with
authority over intercollegiate sports." The term includes the
NCAA and any individual or entity designated to enforce
conference or athletic association rules.
* * *
"NIL." The name, image, likeness or athletic reputation
property rights of a prospective college student athlete or a
college student athlete.
"NIL collective." A group of two or more individuals or
entities that collaborate to arrange or enter into lawful NIL
agreements with a prospective college student athlete or college
student athlete at a particular institution or pay NIL
compensation to prospective college student athletes or college
student athletes conditioned on their attendance at a particular
institution.
"NIL compensation." The compensation of a prospective
college student athlete or college student athlete in exchange
for use of the prospective college student athlete or college
student athlete's NIL. The term includes compensation for speech
protected by the First Amendment of the Constitution of the
United States.
"Parties." Legal signatories in an agency contract that
includes an athlete agent and the legal signatory or signatories
of a prospective college student athlete or college student
athlete who the athlete agent will represent.
"Prospective college student athlete." An individual who is
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recruited by an institution to participate as a current athlete
on at least one intercollegiate team but has not yet enrolled at
the postsecondary institution.
"Third party." A person or entity that is not an
institution, a conference or an athletic association that pays
NIL compensation.
Section 2. The act is amended by adding sections to read:
Section 2002.1-M. Rights of parties.
(a) Generally.--A prospective college student athlete and a
current college student athlete has the right to:
(1) Enter into an agency contract and secure
representation in relation to legal and professional matters.
(2) Enter into an NIL agreement with and receive NIL
compensation directly from an institution, athletic program
supporter, NIL collective and third party.
(b) Prohibition.--
(1) An institution, athletic association, conference or
organization with authority over intercollegiate sports, and
any individual or entity representing them, are prohibited
from:
(i) Serving as an athlete agent for a prospective
college student athlete or college student athlete.
(ii) Attempting to influence a prospective college
student athlete or current college student athlete's
selection of an athlete agent.
(2) Notwithstanding paragraph (1), an institution may
arrange or help arrange an NIL agreement and NIL compensation
for a prospective college student athlete or college student
athlete, but may not collect a commission for an NIL
activity.
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(3) An institution athletic association, conference or
organization with authority over intercollegiate sports, any
individual or entity representing them and any of their
business partners are prohibited from directly or indirectly
interfering with lawful communications between a college
student athlete and an athlete agent when a college student
athlete is not participating in mandatory athletic
activities.
(c) Enforcement.--This article shall not limit the right of
an institution of higher education to establish and enforce any
of the following:
(1) Academic standards, requirements, regulations or
obligations for the institution of higher education's college
student athletes.
(2) Team rules of conduct and other rules of conduct
generally applicable to all college student athletes.
(3) Standards or policies regarding the governance or
operation of, or participation in, intercollegiate athletics
that do not conflict with this article.
(4) Disciplinary rules and standards generally
applicable to all students of the institution of higher
education.
(d) Conflicts.--
(1) An institution of higher education may prohibit a
current college student athlete's involvement in NIL
activities that conflict with existing institutional
sponsorship arrangements at the time the college student
athlete discloses a contract to the institution of higher
education as required under subsection (e).
(2) An institution of higher education may prohibit a
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college student athlete's involvement in NIL activities with
persons in an industry that the institution does not do
business due to a conflict with institutional values.
(3) An institution of higher education shall have
policies that specify the NIL activities in which current
college student athletes may not engage under this article.
(e) Disclosure.--
(1) A current college student athlete who proposes to
enter into a contract providing compensation to the college
student athlete for use of the college student athlete's NIL
rights shall disclose the contents of the contract prior to
execution of the contract to an official of the institution
of higher education who is designated by the institution of
higher education.
(2) An institution of higher education shall have
policies that specify when to disclose the contract and the
contents of the contract in accordance with paragraph (1).
(3) If an institution of higher education receives
direct financial compensation from a third party arising from
the third party's contract with a prospective college student
athlete or a current college student athlete relating to the
use of the NIL of a prospective college student athlete or
current college student athlete, the institution shall
disclose in a timely manner the financial relationship
between the institution and the third party to the college
student athlete.
(f) This section shall not apply to compensation received by
the institution of higher education for the use of the
institution's intellectual property.
Section 2002.2-M. Prohibitions on institutions.
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An institution is prohibited from:
(1) Imposing or complying with a contract, regulation,
standard, rule, including rules of an athletic association,
conference or organization with authority over
intercollegiate sports or other requirement that would:
(i) Restrict or prohibit a prospective college
student athlete or college student athlete from entering
into an agency contract with an athlete agent.
(ii) Restrict or prohibit a prospective college
student athlete or college student athlete from earning
NIL compensation for an NIL activity conducted during the
athlete's free time.
(iii) Require a prospective college student athlete
or college student athlete to refrain from exercising the
athlete's rights specified in this article.
(iv) Restrict or prohibit the institution, an
athletic program supporter, an NIL collective or third
party from entering into an NIL agreement with a
prospective college student athlete or a college student
athlete.
(v) Restrict or prohibit the institution, an
athletic program supporter, an NIL collective or third
party from paying NIL compensation to a prospective
college student athlete or college student athlete.
(vi) Restrict or prohibit the institution, an
athletic program supporter, an NIL collective or third
party from conditioning an NIL agreement or NIL
compensation to a prospective college student athlete or
college student athlete on attendance at a particular
institution or membership on a particular intercollegiate
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athletics sports team.
(2) Penalizing or threatening, in any way, a prospective
college student athlete, a college student athlete, an
athlete agent, an NIL collective or a third party for
activities authorized by this article.
(3) Complying with an investigation, regulation or rule
of an athletic association, conference or organization with
authority over intercollegiate sports related to an agency
contract, NIL agreement, NIL compensation or NIL activity.
(4) Reporting information about prospective college
student athletes' or college student athletes' NIL agreements
or NIL compensation, individually or in aggregate, to an
athletic association, conference or organization with
authority over intercollegiate sports.
(5) Reducing, canceling or not renewing an athletic
scholarship because a college student athlete enters into an
NIL agreement or earns NIL compensation permitted by this
article.
(6) Using the terms of an athletic scholarship as a
reason to impair a college student athlete's NIL rights,
except as expressly provided in this section.
(7) Directly or indirectly circumventing any provision
of this article.
Section 2002.3-M. Athletic associations, conferences and
organizations with authority over intercollegiate
sports.
(a) Prohibitions.--An athletic association, conference or
organization with authority over intercollegiate sports may not:
(1) Authorize, cause or require an institution to take
an action prohibited by this article.
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(2) Accept a complaint, open an investigation, threaten
a penalty, impose a penalty or take any other adverse action
against a prospective college student athlete, a college
student athlete, an athlete agent, an institution, an
athletic program supporter, an NIL collective or a third
party as a result of engaging in activities protected by this
article.
(3) Prohibit, restrict or interfere with the right of a
prospective college student athlete, a college student
athlete, an athlete agent, an institution, an athletic
program supporter, an NIL collective or a third party to
engage in activities authorized by this article.
(4) Require a prospective college student athlete, a
college student athlete, an athlete agent, an institution, an
athletic program supporter, an NIL collective or third party
to report information about an NIL agreement or NIL
compensation to an athletic association, conference or
organization with authority over intercollegiate sports.
(b) Right of action.--
(1) A prospective college student athlete, a college
student athlete, an athlete agent, an institution and its
supporting foundations, an entity acting on behalf of an
institution, an athletic program supporter, an NIL collective
or a third party that is subjected to an actual or threatened
complaint, investigation, penalty or other adverse action of
an athletic association, conference or other organization
with authority over intercollegiate sports for engaging in an
activity authorized under this article may bring an action to
recover damages and reasonable attorney fees, may seek
injunctive relief and may seek any other remedy available by
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law.
(2) The Attorney General may seek injunctive relief and
damages to be paid to persons injured as a result of a
violation of this article.
(c) Construction.--Nothing in this section shall be
construed to require an institution, an athletic program
supporter, an NIL collective or a third party to enter into an
NIL agreement with, facilitate or pay NIL compensation to a
prospective college student athlete or college student athlete.
Section 2002.4-M. NIL agreements.
(a) Requirements.--An NIL collective, an institution or a
third party that agrees to pay at least $5,000 in NIL
compensation to a college student athlete in a calendar year
must first enter into a written agreement that includes all of
the following:
(1) The legal name, physical address and telephone
number of the individual or individuals or entity or entities
that are legally responsible for paying NIL compensation.
(2) The amount of all NIL compensation payments,
including the grand total of the NIL compensation, and any
other benefits that will be paid to the college student
athlete.
(3) When each NIL compensation payment will be made.
(4) All of the college student athlete's NIL obligations
required to receive the NIL compensation.
(5) The beginning and end date of the agreement.
(6) Any options parties have for revising, extending or
terminating the agreement.
(7) Any term of the agreement that would allow the NIL
collective, institution or third party to not pay the athlete
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a portion of the NIL compensation.
(b) Confidential.--An institution's NIL agreement and NIL
compensation is not a public record subject to inspection and
duplication under the act of February 14, 2008 (P.L.6, No.3),
known as the Right-to-Know Law.
(c) Royalty payments required.--
(1) A person that produces a college team jersey, a
college team video game or college team trading cards for the
purpose of making a profit shall make a royalty payment to
each college student athlete whose NIL or other individually
identifiable feature is used.
(2) An institution is prohibited from owning,
controlling or sublicensing college student athletes' NIL
group licensing rights for college team video games, jerseys,
or trading cards.
(d) Use of trademarks.--This act shall not establish or
grant a right to a college student athlete to use the name,
trademarks, service marks, logos, symbols or any other
intellectual property, registered or unregistered, of an
institution of higher education, athletic association,
conference or other group or organization with authority over
intercollegiate athletics, in furtherance of the college student
athlete's opportunities to earn compensation for the college
student athlete's use of the college student athlete's NIL
rights.
Section 2002.5-M. Athlete agents and upfront payments.
(a) Prohibited persons.--An athlete agent may not enter into
an agency contract if the athlete agent has a pending charge or
is listed as a defendant in a case, excluding divorce, in
Federal or State civil judgment at the time parties execute the
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agency contract or has been convicted of any of the following:
(1) An offense classified as a felony, regardless of the
date.
(2) An offense classified as a misdemeanor, prior to
parties' execution of the agency contract, if the offense
involves:
(i) physical contact with another person or another
person's property;
(ii) an element of deception; or
(iii) gambling or sports wagering.
(3) More than one alcohol or drug offense.
(4) More than one misdemeanor offense.
(5) A conviction for a crime that involves violence,
regardless of the classification.
(b) Written acknowledgment.--The athlete agent cannot enter
into an agency contract if the athlete agent does not secure a
written acknowledgment from the prospective college student
athlete or college student athlete, prior to parties' execution
of an agency contract that includes:
(1) The athlete agent's legal name, current address and
telephone number.
(2) A list of the names and residential addresses of all
persons financially interested in the operation of the agency
business of the athlete agent, whether as employees,
partners, investors, associates or profit sharers or in any
other manner.
(3) A statement that the contract does not obligate the
prospective college student athlete or the current college
student athlete to use the athlete agent for any service
beyond professional representation in relation to the use of
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NIL.
(c) Prohibited payment.--The athlete agent provides payment,
including a loan or recoupable payment, to the prospective
college student athlete or college student athlete or to the
athlete's relative in exchange for the prospective college
student athlete or college student athlete entering into the
agent contract.
(d) Notification required by athlete agent.--Within five
calendar days, an athlete agent must notify all prospective
college student athlete and college student athlete clients if
the athlete agent no longer meets all requirements and
conditions for operating as an athlete agent in any state that
the athlete agent was previously legally authorized to operate
as an athlete agent.
(e) Repayments prohibited.--
(1) A prospective college student athlete or college
student athlete who enters into an agreement with an athlete
agent is not required to pay the athlete agent a commission,
fee or to reimburse costs or repay funds or loans to the
athlete agent.
(2) An agreement in violation of paragraph (1) shall be
void and unenforceable if the athlete agent does not comply
with subsection (b).
(f) Family members.--A spouse, parent, sibling, grandparent
or legal guardian of a prospective college student athlete or a
college student athlete is not required to meet requirements or
obligations of an athlete agent to assist the athlete in
negotiating an NIL agreement.
(g) Other agreements prohibited.--
(1) An agreement that offers or provides a prospective
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college student athlete, college student athlete or the
athlete's parent or legal guardian an upfront payment or
benefit in exchange for future professional sports earnings
is void and prohibited.
(2) An athlete agency agreement that grants an athlete
agent the athlete's NIL rights, including group licensing
rights and continues beyond the intercollegiate athletics
eligibility of the prospective college student athlete or a
current college student athlete is void and prohibited.
Section 2002.6-M. Athletic program structure.
An entity created or contracted by an institution to operate
or otherwise control parts of its intercollegiate athletic
programs that are related to this act shall have the same
rights, protections, prohibitions and responsibilities
applicable to the institution as described in this act.
Section 2002.7-M. Protections and right to adjudicate.
A college student athlete, institution of higher education,
conference, or athletic association may not be deprived of a
protection provided under State law with respect to a
controversy that arises in this Commonwealth and shall have the
right to adjudication in this Commonwealth of a claim that
arises in this Commonwealth.
Section 2002.8-M. Private civil action.
In addition to the right established in section 2002.3-M, a
college student athlete shall have the right to bring a private
civil action against a person that violates this article. The
court shall award costs and reasonable attorney fees to a
prevailing plaintiff in an action brought under this section.
Section 2002.9-M. Settlements.
A legal settlement cannot void any part of this article.
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Section 2002.10-M. Severability.
The provisions of this article are severable. If any
provision of this article or the application of any provisions
of this article is held to be invalid, that invalidity shall not
affect any other provisions or application of any other
provision that can be given effect without the invalid provision
or application.
Section 3. This act shall take effect in 60 days.
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