Bill Text: OR HB3296 | 2013 | Regular Session | Enrolled


Bill Title: Relating to athlete agents.

Spectrum: Slight Partisan Bill (Democrat 2-1)

Status: (Passed) 2013-05-06 - Chapter 54, (2013 Laws): Effective date January 1, 2014. [HB3296 Detail]

Download: Oregon-2013-HB3296-Enrolled.html


     77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session

                            Enrolled

                         House Bill 3296

Sponsored by Representatives BARNHART, WHISNANT; Senator COURTNEY

                     CHAPTER ................

                             AN ACT

Relating to athlete agents; creating new provisions; and amending
  ORS 646.608, 702.005, 702.012, 702.027, 702.047, 702.052 and
  702.065.

Be It Enacted by the People of the State of Oregon:

  SECTION 1. ORS 702.005 is amended to read:
  702.005. As used in ORS 702.005 to 702.065, 702.991 and
702.994:
  (1) 'Agency contract' means   { - an - }  { + :
  (a) A written or oral + } agreement in which a student athlete
authorizes a person { + , organization or legal, commercial or
other entity + } to negotiate or solicit on behalf of the student
athlete a professional sports services contract or an endorsement
contract { + ; or
  (b) A written or oral agreement entered into by a student
athlete that makes the student athlete ineligible to participate
in an interscholastic or intercollegiate sport because of a
violation of rules or regulations established by a state or
national organization that governs student athlete eligibility or
participation + }.
  (2)(a) 'Athlete agent' means an individual who   { - enters
into an agency contract with a student athlete or, directly or
indirectly, recruits or solicits a student athlete to enter into
an agency contract. 'Athlete agent' includes an individual who
represents to the public that the individual is an athlete
agent. - }  { + , directly or indirectly:
  (A) Represents or attempts to represent a student athlete for
the purpose of marketing the student athlete's athletic ability
or reputation for financial gain; or
  (B) Seeks to obtain a type of financial gain or benefit from
securing a prospective student athlete's enrollment at an
educational institution or from a student athlete's potential
earnings as a professional athlete. + }
  (b) 'Athlete agent' does not include a spouse, parent, sibling,
grandparent or legal guardian of the student athlete or an
individual acting solely on behalf of a professional sports team
or professional sports organization.
  (3) 'Athletic director' means { + :
  (a) + } An individual responsible for administering the overall
athletic program of an educational institution or, if an
educational institution has separately administered athletic
programs for male students and female students, the athletic

Enrolled House Bill 3296 (HB 3296-A)                       Page 1

program for males or the athletic program for females, as
appropriate  { - . - }  { + ;
  (b) If the educational institution is a public or private
elementary school or secondary school and the educational
institution does not have a person responsible for administering
the overall athletic program:
  (A) The principal of the educational institution; or
  (B) If the educational institution does not have a principal,
the person designated by the governing body of the school
district, education service district or charter school to manage
the educational institution; or
  (c) If the educational institution is a community college or
university and the educational institution does not have a person
responsible for administering the overall athletic program:
  (A) The president of the educational institution; or
  (B) If the educational institution does not have a president,
the Chancellor of the Oregon University System or, if the
educational institution is not a part of the Oregon University
System, the person designated by the governing body of the
educational institution to manage the educational
institution. + }
  (4) 'Contact' means a communication, direct or indirect,
between an athlete agent and a student athlete, to recruit or
solicit the student athlete to enter into an agency contract.
   { +  (5) 'Educational institution' means a public or private
elementary school, secondary school, community college,
university or other educational institution. + }
    { - (5) - }   { + (6) + } 'Endorsement contract' means an
agreement under which a student athlete is employed or receives
consideration to use on behalf of the other party any value that
the student athlete may have because of publicity, reputation,
following or fame obtained because of athletic ability or
performance.
    { - (6) - }   { + (7) + } '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 collegiate athletics.
    { - (7) - }   { + (8) + } 'Person' means an individual,
corporation, business trust, estate, trust, partnership, limited
liability company, association, joint venture, public body, as
defined in ORS 174.109, or any other legal or commercial entity.
    { - (8) - }   { + (9) + } 'Professional sports services
contract' means an agreement under which an individual is
employed, or agrees to render services, as a player on a
professional sports team, with a professional sports organization
or as a professional athlete.
    { - (9) - }   { + (10) + } 'Record' means information that is
inscribed on a tangible medium or that is stored in an electronic
or other medium and is retrievable in perceivable form.
    { - (10) - }   { + (11) + } 'Registration' means registration
as an athlete agent pursuant to ORS 702.005 to 702.065, 702.991
and 702.994.
    { - (11) - }   { + (12) + } 'State' means a state of the
United States, the District of Columbia, Puerto Rico, the United
States Virgin Islands or any territory or insular possession
subject to the jurisdiction of the United States.
    { - (12) - }   { + (13) + } 'Student athlete' means an
individual  { + attending an educational institution within this
state + } who engages in, is eligible to engage in or may be

Enrolled House Bill 3296 (HB 3296-A)                       Page 2

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.
  SECTION 2.  { + Section 3 of this 2013 Act is added to and made
a part of ORS 702.005 to 702.065. + }
  SECTION 3.  { + (1) Before initiating contact with a student
athlete, an athlete agent shall provide written notice to the
athletic director of the educational institution at which the
student athlete is enrolled or admitted. Notice provided under
this subsection must state that the athlete agent intends to
contact a student athlete at the educational institution.
  (2) The written notice required by subsection (1) of this
section may be delivered personally or by registered or certified
mail, electronic mail, facsimile or other electronic means. + }
  SECTION 4. ORS 702.012 is amended to read:
  702.012. (1) Except as otherwise provided in subsection (2) of
this section, an individual may not act as an athlete agent in
Oregon without holding a certificate of registration issued under
this section or ORS 702.019.
  (2) Before being issued a certificate of registration, an
individual may act as an athlete agent in Oregon for all purposes
except   { - signing - }   { + entering into + } an agency
contract, if:
  (a) A student athlete   { - or another person acting on behalf
of the student athlete - }  initiates communication with the
individual; and
  (b) Within seven days after an initial act as an athlete agent,
the individual submits an application for registration as an
athlete agent in Oregon.
  (3) An agency contract resulting from conduct in violation of
this section is void and the athlete agent shall return any
consideration received under the contract.
  (4) Except as otherwise provided in subsection (5) of this
section, the Department of Education shall issue a certificate of
registration to an individual who complies with ORS 702.017 (1)
and (2) or whose application has been accepted under ORS 702.017
(3).
  (5) The department may refuse to issue a certificate of
registration if the department determines that the applicant has
engaged in conduct that has a significant adverse effect on the
applicant's fitness to act as an athlete agent. In making the
determination, the department may consider whether the applicant
has:
  (a) Been convicted of a crime that, if committed in Oregon,
would be a crime involving moral turpitude or a felony;
  (b) Made a materially false, misleading, deceptive or
fraudulent representation in the application or as an athlete
agent;
  (c) Engaged in conduct that would disqualify the applicant from
serving in a fiduciary capacity;
  (d) Engaged in conduct prohibited by ORS 702.027;
  (e) Had a registration or licensure as an athlete agent
suspended, revoked or denied or been refused renewal of
registration or licensure as an athlete agent in any state;
  (f) Engaged in conduct the consequence of which was that a
sanction, suspension or declaration of ineligibility to
participate in an interscholastic or intercollegiate athletic

Enrolled House Bill 3296 (HB 3296-A)                       Page 3

event was imposed on a student athlete or educational
institution; or
  (g) Engaged in conduct that significantly adversely reflects on
the applicant's credibility, honesty or integrity.
  (6) In making a determination under subsection (5) of this
section, the department shall consider:
  (a) How recently the conduct occurred;
  (b) The nature of the conduct and the context in which it
occurred; and
  (c) Any other relevant conduct of the applicant.
  (7) An athlete agent may apply to renew a registration by
submitting an application for renewal in a form prescribed by the
department. The application for renewal must be signed by the
applicant under penalty of perjury and must contain current
information on all matters required in an original registration.
  (8) An individual who has submitted an application for renewal
of registration or licensure in another state, in lieu of
submitting an application for renewal in the form prescribed
pursuant to subsection (7) of this section, may file a copy of
the application for renewal and a valid certificate of
registration or licensure from the other state. The department
shall accept the application for renewal from the other state as
an application for renewal in Oregon if the application to the
other state:
  (a) Was submitted in the other state within the preceding six
months and the applicant certifies that the information contained
in the application for renewal is current;
  (b) Contains information substantially similar to or more
comprehensive than that required in an application for renewal
submitted in Oregon; and
  (c) Was signed by the applicant under penalty of perjury.
  (9) A certificate of registration or a renewal of a
registration is valid for two years.
  (10) The department may suspend, revoke or refuse to renew a
registration for conduct that would have justified denial of
registration under subsection (5) of this section.
  (11) The department may deny, suspend, revoke or refuse to
renew a certificate of registration or licensure only after
proper notice and an opportunity for a hearing.
  SECTION 5. ORS 702.027 is amended to read:
  702.027. An athlete agent may not intentionally:
  (1) Initiate contact with a student athlete unless registered
under ORS 702.005 to 702.065, 702.991 and 702.994;
  (2) Refuse or fail to retain or permit inspection of the
records required to be retained by ORS 702.059;
  (3) Fail to register when required by ORS 702.012;
  (4) Provide materially false or misleading information in an
application for registration or renewal of registration;
  (5) Predate or postdate   { - an - }   { + a written + } agency
contract; or
  (6) Fail to notify a student athlete before the student athlete
 { - signs or otherwise authenticates - }   { + enters into + }
an agency contract for a particular sport that   { - the signing
or authentication - }   { + entering into the agency contract + }
may make the student athlete ineligible to participate as a
student athlete in that sport.
  SECTION 6. ORS 702.047 is amended to read:
  702.047. (1)   { - An - }   { + A written + } agency contract
must be in a record, signed or otherwise authenticated by the
parties.

Enrolled House Bill 3296 (HB 3296-A)                       Page 4

  (2)   { - An - }   { + A written + } agency contract must state
or contain:
  (a) The amount and method of calculating the consideration to
be paid by the student athlete for services to be provided by the
athlete agent under the contract and any other consideration the
athlete agent has received or will receive from any other source
for entering into the contract or for providing the services;
  (b) The name of any person not listed in the application for
registration or renewal of registration who will be compensated
because the student athlete signed the  { + written + } agency
contract;
  (c) A description of any expenses that the student athlete
agrees to reimburse;
  (d) A description of the services to be provided to the student
athlete;
  (e) The duration of the contract; and
  (f) The date of execution.
  (3)   { - An - }   { + A written + } agency contract must
contain, in close proximity to the signature of the student
athlete, a conspicuous notice in boldfaced type in capital
letters stating:
_________________________________________________________________

                 WARNING TO THE STUDENT ATHLETE:

  IF YOU SIGN THIS CONTRACT:
  (1) YOU MAY LOSE YOUR ELIGIBILITY TO COMPETE AS A STUDENT
ATHLETE IN YOUR SPORT.
  (2)   { - IF YOU HAVE AN ATHLETIC DIRECTOR, - }  BOTH YOU AND
YOUR ATHLETE AGENT MUST NOTIFY YOUR ATHLETIC DIRECTOR WITHIN 72
HOURS AFTER ENTERING INTO THIS CONTRACT, OR BEFORE YOU
PARTICIPATE IN ANY INTERSCHOLASTIC OR INTERCOLLEGIATE SPORTS
EVENT, WHICHEVER OCCURS FIRST.
  (3) YOU MAY CANCEL THIS CONTRACT WITHIN 14 DAYS AFTER SIGNING
IT. CANCELLATION OF THIS CONTRACT MAY NOT REINSTATE YOUR
ELIGIBILITY.
_________________________________________________________________

  (4)   { - An - }   { + A written + } agency contract that does
not conform to this section is voidable by the student athlete.
If a student athlete voids   { - an - }   { + a written + }
agency contract  { + under this subsection + }, the student
athlete is not required to pay any consideration under the
contract or to return any consideration received from the athlete
agent to induce the student athlete to enter into the contract.
  (5) The athlete agent shall give a record of the   { - signed
or otherwise authenticated - }   { + written + } agency contract
to the student athlete at the time of execution.
  SECTION 7. ORS 702.052 is amended to read:
  702.052. (1) A student athlete may cancel an agency contract by
giving notice of the cancellation to the athlete agent in a
record within 14 days after   { - the contract is signed - }
 { + entering into the agency contract + }.
  (2) The right of a student  { + athlete + } to cancel
 { - a - }   { + an agency + } contract under this section may
not be waived.
  (3) If a student athlete cancels an agency contract, the
student athlete is not required to pay any consideration under
the contract or to return any consideration received from the

Enrolled House Bill 3296 (HB 3296-A)                       Page 5

athlete agent to induce the student athlete to enter into the
contract.
  SECTION 8. ORS 646.608, as amended by section 6, chapter 52,
Oregon Laws 2012, is amended to read:
  646.608. (1) A person engages in an unlawful practice when in
the course of the person's business, vocation or occupation the
person does any of the following:
  (a) Passes off real estate, goods or services as those of
another.
  (b) Causes likelihood of confusion or of misunderstanding as to
the source, sponsorship, approval, or certification of real
estate, goods or services.
  (c) Causes likelihood of confusion or of misunderstanding as to
affiliation, connection, or association with, or certification
by, another.
  (d) Uses deceptive representations or designations of
geographic origin in connection with real estate, goods or
services.
  (e) Represents that real estate, goods or services have
sponsorship, approval, characteristics, ingredients, uses,
benefits, quantities or qualities that they do not have or that a
person has a sponsorship, approval, status, qualification,
affiliation, or connection that the person does not have.
  (f) Represents that real estate or goods are original or new if
they are deteriorated, altered, reconditioned, reclaimed, used or
secondhand.
  (g) Represents that real estate, goods or services are of a
particular standard, quality, or grade, or that real estate or
goods are of a particular style or model, if they are of another.
  (h) Disparages the real estate, goods, services, property or
business of a customer or another by false or misleading
representations of fact.
  (i) Advertises real estate, goods or services with intent not
to provide them as advertised, or with intent not to supply
reasonably expectable public demand, unless the advertisement
discloses a limitation of quantity.
  (j) Makes false or misleading representations of fact
concerning the reasons for, existence of, or amounts of price
reductions.
  (k) Makes false or misleading representations concerning credit
availability or the nature of the transaction or obligation
incurred.
  (L) Makes false or misleading representations relating to
commissions or other compensation to be paid in exchange for
permitting real estate, goods or services to be used for model or
demonstration purposes or in exchange for submitting names of
potential customers.
  (m) Performs service on or dismantles any goods or real estate
when not authorized by the owner or apparent owner thereof.
  (n) Solicits potential customers by telephone or door to door
as a seller unless the person provides the information required
under ORS 646.611.
  (o) In a sale, rental or other disposition of real estate,
goods or services, gives or offers to give a rebate or discount
or otherwise pays or offers to pay value to the customer in
consideration of the customer giving to the person the names of
prospective purchasers, lessees, or borrowers, or otherwise
aiding the person in making a sale, lease, or loan to another
person, if earning the rebate, discount or other value is

Enrolled House Bill 3296 (HB 3296-A)                       Page 6

contingent upon occurrence of an event subsequent to the time the
customer enters into the transaction.
  (p) Makes any false or misleading statement about a prize,
contest or promotion used to publicize a product, business or
service.
  (q) Promises to deliver real estate, goods or services within a
certain period of time with intent not to deliver them as
promised.
  (r) Organizes or induces or attempts to induce membership in a
pyramid club.
  (s) Makes false or misleading representations of fact
concerning the offering price of, or the person's cost for real
estate, goods or services.
  (t) Concurrent with tender or delivery of any real estate,
goods or services fails to disclose any known material defect or
material nonconformity.
  (u) Engages in any other unfair or deceptive conduct in trade
or commerce.
  (v) Violates any of the provisions relating to auction sales,
auctioneers or auction marts under ORS 698.640, whether in a
commercial or noncommercial situation.
  (w) Manufactures mercury fever thermometers.
  (x) Sells or supplies mercury fever thermometers unless the
thermometer is required by federal law, or is:
  (A) Prescribed by a person licensed under ORS chapter 677; and
  (B) Supplied with instructions on the careful handling of the
thermometer to avoid breakage and on the proper cleanup of
mercury should breakage occur.
  (y) Sells a thermostat that contains mercury unless the
thermostat is labeled in a manner to inform the purchaser that
mercury is present in the thermostat and that the thermostat may
not be disposed of until the mercury is removed, reused, recycled
or otherwise managed to ensure that the mercury does not become
part of the solid waste stream or wastewater. For purposes of
this paragraph, 'thermostat' means a device commonly used to
sense and, through electrical communication with heating, cooling
or ventilation equipment, control room temperature.
  (z) Sells or offers for sale a motor vehicle manufactured after
January 1, 2006, that contains mercury light switches.
  (aa) Violates the provisions of ORS 803.375, 803.385 or 815.410
to 815.430.
  (bb) Violates ORS 646A.070 (1).
  (cc) Violates any requirement of ORS 646A.030 to 646A.040.
  (dd) Violates the provisions of ORS 128.801 to 128.898.
  (ee) Violates ORS 646.883 or 646.885.
  (ff) Violates ORS 646.569.
  (gg) Violates the provisions of ORS 646A.142.
  (hh) Violates ORS 646A.360.
  (ii) Violates ORS 646.553 or 646.557 or any rule adopted
pursuant thereto.
  (jj) Violates ORS 646.563.
  (kk) Violates ORS 759.690 or any rule adopted pursuant thereto.
  (LL) Violates the provisions of ORS 759.705, 759.710 and
759.720 or any rule adopted pursuant thereto.
  (mm) Violates ORS 646A.210 or 646A.214.
  (nn) Violates any provision of ORS 646A.124 to 646A.134.
  (oo) Violates ORS 646A.095.
  (pp) Violates ORS 822.046.
  (qq) Violates ORS 128.001.
  (rr) Violates ORS 646.649 (2) to (4).

Enrolled House Bill 3296 (HB 3296-A)                       Page 7

  (ss) Violates ORS 646A.090 (2) to (4).
  (tt) Violates ORS 87.686.
  (uu) Violates ORS 646.651.
  (vv) Violates ORS 646A.362.
  (ww) Violates ORS 646A.052 or any rule adopted under ORS
646A.052 or 646A.054.
  (xx) Violates ORS 180.440 (1) or 180.486 (1).
  (yy) Commits the offense of acting as a vehicle dealer without
a certificate under ORS 822.005.
  (zz) Violates ORS 87.007 (2) or (3).
  (aaa) Violates ORS 92.405 (1), (2) or (3).
  (bbb) Engages in an unlawful practice under ORS 646.648.
  (ccc) Violates ORS 646A.365.
  (ddd) Violates ORS 98.854 or 98.858 or a rule adopted under ORS
98.864.
  (eee) Sells a gift card in violation of ORS 646A.276.
  (fff) Violates ORS 646A.102, 646A.106 or 646A.108.
  (ggg) Violates ORS 646A.430 to 646A.450.
  (hhh) Violates a provision of ORS 744.318 to 744.384, 744.991
and 744.992.
  (iii) Violates a provision of ORS 646A.702 to 646A.720.
  (jjj) Violates ORS 646A.530 30 or more days after a recall
notice, warning or declaration described in ORS 646A.530 is
issued for the children's product, as defined in ORS 646A.525,
that is the subject of the violation.
  (kkk) Violates a provision of ORS 697.612, 697.642, 697.652,
697.662, 697.682, 697.692 or 697.707.
  (LLL) Violates the consumer protection provisions of the
Servicemembers Civil Relief Act, 50 U.S.C. App. 501 et seq., as
in effect on January 1, 2010.
  (mmm) Violates a provision of ORS 646A.480 to 646A.495.
  (nnn) Violates ORS 646A.082.
  (ooo) Violates ORS 646.647.
  (ppp) Violates ORS 646A.115.
  (qqq) Violates a provision of ORS 646A.405.
  (rrr) Violates ORS 646A.092.
  (sss) Violates a provision of ORS 646.644.
  (ttt) Violates a provision of ORS 646A.295.
  (uuu) Violates section 3, chapter 52, Oregon Laws 2012.
   { +  (vvv) Violates ORS 702.012, 702.032 or 702.054 or section
3 of this 2013 Act. + }
  (2) A representation under subsection (1) of this section or
ORS 646.607 may be any manifestation of any assertion by words or
conduct, including, but not limited to, a failure to disclose a
fact.
  (3) In order to prevail in an action or suit under ORS 646.605
to 646.652, a prosecuting attorney need not prove competition
between the parties or actual confusion or misunderstanding.
  (4) An action or suit may not be brought under subsection
(1)(u) of this section unless the Attorney General has first
established a rule in accordance with the provisions of ORS
chapter 183 declaring the conduct to be unfair or deceptive in
trade or commerce.
  (5) Notwithstanding any other provision of ORS 646.605 to
646.652, if an action or suit is brought under subsection (1)(xx)
of this section by a person other than a prosecuting attorney,
relief is limited to an injunction and the prevailing party may
be awarded reasonable attorney fees.
  SECTION 9. ORS 702.065 is amended to read:

Enrolled House Bill 3296 (HB 3296-A)                       Page 8

  702.065. In applying and construing ORS 702.005 to 702.065,
702.991 and 702.994, the courts { + , a prosecuting attorney as
defined in ORS 646.605 + } and the Department of Education shall
give consideration to the need to promote uniformity of the law
with respect to its subject matter among states that have enacted
the Uniform Athlete Agents Act.
                         ----------

Passed by House April 3, 2013

    .............................................................
                             Ramona J. Line, Chief Clerk of House

    .............................................................
                                     Tina Kotek, Speaker of House

Passed by Senate April 25, 2013

    .............................................................
                              Peter Courtney, President of Senate

Enrolled House Bill 3296 (HB 3296-A)                       Page 9

Received by Governor:

......M.,............., 2013

Approved:

......M.,............., 2013

    .............................................................
                                         John Kitzhaber, Governor

Filed in Office of Secretary of State:

......M.,............., 2013

    .............................................................
                                   Kate Brown, Secretary of State

Enrolled House Bill 3296 (HB 3296-A)                      Page 10
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