9-15.1 Uniform Athlete Agents Act - North Dakota Statutes

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CHAPTER 9-15.1UNIFORM ATHLETE AGENTS ACT9-15.1-01. Definitions. In this chapter, unless the context otherwise requires:1."Agency contract" means an agreement in which a student-athlete authorizes a
person to negotiate or solicit on behalf of the student-athlete a professional sports
services contract or an endorsement contract.2."Athlete agent" means an individual who enters an agency contract with a
student-athlete or recruits or solicits a student-athlete to enter an agency contract.
The term includes an individual who represents to the public that the individual is an
athlete agent. The term does not include a spouse, parent, sibling, grandparent, or
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 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 program for males or the athletic program for females, as appropriate.4."Contact" means a communication between an athlete agent and a student-athlete
to recruit or solicit the student-athlete to enter an agency contract.5."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."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."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.8."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.9."Registration" means registration as an athlete agent under this chapter.10."Student-athlete" means an individual who engages in, is eligible to engage in, or
may be eligible in the future to engage in, any intercollegiate sport. If an individual is
permanently ineligible to participate in a particular intercollegiate sport, the individual
is not a student-athlete for purposes of that sport.9-15.1-02. Service of process - Subpoenas. By acting as an athlete agent in this state,a nonresident individual appoints the secretary of state as the individual's agent for service of
process in any civil action in this state related to the individual's acting as an athlete agent in this
state.The secretary of state may issue subpoenas for any material that is relevant to theadministration of this chapter.9-15.1-03. Athlete agents - Registration required - Void contracts.1.Except as otherwise provided in subsection 2, an individual may not act as an
athlete agent without holding a certificate of registration.Page No. 12.Before being issued a certificate of registration, an individual may act as an athlete
agent for all purposes except signing an agency contract, if a student-athlete or
another person acting on behalf of the student-athlete initiates communication with
the individual and within seven days after an initial act as an athlete agent, the
individual submits an application for registration as an athlete agent.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.9-15.1-04. Registration as athlete agent.1.An applicant for registration shall submit an application for registration to the
secretary of state in a form prescribed by the secretary of state. The application
must be in the name of an individual and, except as otherwise provided in
subsection 2, signed or otherwise authenticated by the applicant under penalty of
perjury and state or contain:a.The name of the applicant and the address of the applicant's principal place of
business.b.The name of the applicant's business or employer, if applicable.c.Any business or occupation engaged in by the applicant for the five years
preceding the date of submission of the application.d.A description of the applicant's formal training as an athlete agent, practical
experience as an athlete agent, and educational background relating to the
applicant's activities as an athlete agent.e.The names and addresses of three individuals not related to the applicant who
are willing to serve as references.f.The name, sport, and last-known team for each individual for whom the
applicant acted as an athlete agent during the five years preceding the date of
submission of the application.g.The names and addresses of all persons who are:(1)With respect to the athlete agent's business if it is not a corporation, the
name of the organization, the partners, members, officers, managers,
associates, or profit-sharers of the business; and(2)With respect to a corporation employing the athlete agent, the name of
the organization, the officers, directors, and any shareholder of the
corporation having an interest of five percent or greater.h.Whether the applicant or any person named under subdivision g has been
convicted of a crime that, if committed in this state, would be a crime involving
moral turpitude or a felony, and identify the crime.i.Whether there has been any administrative or judicial determination that the
applicant or any person named under subdivision g has made a false,
misleading, deceptive, or fraudulent representation.j.Any instance in which the conduct of the applicant or any person named under
subdivision g resulted in the imposition of a sanction, suspension, or
declaration of ineligibility to participate in an interscholastic or intercollegiate
athletic event on a student-athlete or educational institution.Page No. 2k.Any sanction, suspension, or disciplinary action taken against the applicant or
any person named under subdivision g arising out of occupational or
professional conduct.l.Whether there has been any denial of an application for, suspension or
revocation of, or refusal to renew, the registration or licensure of the applicant
or any person named under subdivision g as an athlete agent in any state.2.An individual who has submitted an application for, and holds a certificate of,
registration or licensure as an athlete agent in another state may submit a copy of
the application and certificate in lieu of submitting an application in the form
prescribed under subsection 1. The secretary of state shall accept the application
and the certificate from the other state as an application for registration if the
application to the other state:a.Was submitted in the other state within six months preceding the submission of
the application in this state and the applicant certifies that the information
contained in the application is current;b.Contains information substantially similar to or more comprehensive than that
required in an application submitted in this state; andc.Was signed by the applicant under penalty of perjury.9-15.1-05. Certificate of registration - Issuance or denial - Renewal.1.Except as otherwise provided in subsection 2, the secretary of state shall issue a
certificate of registration to an individual who complies with subsection 1 of section
9-15.1-04 whose application has been accepted under subsection 2 of section
9-15.1-04.2.The secretary of state may refuse to issue a certificate of registration if the secretary
of state 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 secretary of state may consider whether the applicant has:a.Been convicted of a crime that, if committed in this state, 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 section 9-15.1-13;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 event was imposed on a student-athlete or educational
institution; org.Engaged in conduct that significantly adversely reflects on the applicant's
credibility, honesty, or integrity.Page No. 33.In making a determination under subsection 2, the secretary of state shall consider
how recently the conduct occurred, the nature of the conduct and the context in
which it occurred, and any other relevant conduct of the applicant.4.An athlete agent may apply to renew a registration by submitting an application for
renewal in a form prescribed by the secretary of state. 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.5.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 under subsection 4, may file a copy of the application for renewal and a
valid certificate of registration or licensure from the other state. The secretary of
state shall accept the application for renewal from the other state as an application
for renewal in this state if the application to the other state:a.Was submitted in the other state within six months preceding the filing in this
state and the applicant certifies 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 this state; andc.Was signed by the applicant under penalty of perjury.6.A certificate of registration or a renewal of a registration is valid for two years.9-15.1-06. Suspension, revocation, or refusal to renew registration. The secretaryof state may suspend, revoke, or refuse to renew a registration for conduct that would have
justified denial of registration.9-15.1-07.Temporary registration.The secretary of state may issue a temporarycertificate of registration while an application for registration or renewal of registration is pending.9-15.1-08. Registration and renewal fees. An application for registration or renewal ofregistration must be accompanied by a fee in the following amount:1.Two hundred fifty dollars for an initial application for registration.2.Two hundred fifty dollars for an application for registration based upon a certificate of
registration or licensure issued by another state.3.One hundred fifty dollars for an application for renewal of registration.4.One hundred fifty dollars for an application for renewal of registration based upon an
application for renewal of registration or licensure submitted in another state.9-15.1-09. Required form of contract.1.An agency contract must be in a record, signed or otherwise authenticated by the
parties. An 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 the contract or for providing the
services;Page No. 4b.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
agency contract;c.A description of any expenses 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; andf.The date of execution.2.An agency contract must contain, in close proximity to the signature of the
student-athlete, a conspicuous notice in boldface type in capital letters stating:WARNING TO STUDENT-ATHLETEIF YOU SIGN THIS CONTRACT:(1)YOUMAYLOSEYOURELIGIBILITYTOCOMPETEASASTUDENT-ATHLETE IN YOUR SPORT;(2)IF YOU HAVE AN ATHLETIC DIRECTOR, WITHIN 72 HOURS AFTER
ENTERING INTO THIS CONTRACT, BOTH YOU AND YOUR ATHLETE
AGENT MUST NOTIFY YOUR ATHLETIC DIRECTORS; AND(3)YOU MAY CANCEL THIS CONTRACT WITHIN 14 DAYS AFTER SIGNING IT.
CANCELLATION OF THIS CONTRACT MAY NOT REINSTATE YOUR
ELIGIBILITY.3.An agency contract that does not conform to this section is voidable by the
student-athlete. If a student-athlete voids an agency contract, 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
the contract.4.The athlete agent shall give a record of the signed or otherwise authenticated
agency contract to the student-athlete at the time of execution.9-15.1-10. Notice to educational institution.1.Within seventy-two hours after entering an agency contract or before the next
scheduled athletic event in which the student-athlete may participate, whichever
occurs first, the athlete agent shall give notice in a record of the existence of the
contract to the athletic director of the educational institution at which the
student-athlete is enrolled or the athlete agent has reasonable grounds to believe
the student-athlete intends to enroll.2.Within seventy-two hours after entering an agency contract or before the next
athletic event in which the student-athlete may participate, whichever occurs first,
the student-athlete shall inform the athletic director of the educational institution at
which the student-athlete is enrolled that the student-athlete has entered an agency
contract.9-15.1-11. Student-athlete's right to cancel. A student-athlete may cancel an agencycontract by giving notice of the cancellation to the athlete agent in a record within fourteen days
after the contract is signed.A student-athlete may not waive the right to cancel an agencycontract. 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 athlete
agent to induce the student-athlete to enter into the contract.Page No. 59-15.1-12. Required records.1.An athlete agent shall retain the following records for a period of five years:a.The name and address of each individual represented by the athlete agent;b.Any agency contract entered by the athlete agent; andc.Any direct costs incurred by the athlete agent in the recruitment or solicitation of
a student-athlete to enter an agency contract.2.Records required by subsection 1 to be retained are open to inspection by the
secretary of state during normal business hours.9-15.1-13. Prohibited conduct.1.An athlete agent, with the intent to induce a student-athlete to enter an agency
contract, may not:a.Give any materially false or misleading information or make a materially false
promise or representation;b.Furnish anything of value to a student-athlete before the student-athlete enters
the agency contract; orc.Furnish anything of value to any individual other than the student-athlete or
another registered athlete agent.2.An athlete agent may not intentionally:a.Initiate contact with a student-athlete unless registered under this chapter;b.Refuse or fail to retain or permit inspection of the records required to be
retained by section 9-15.1-12;c.Fail to register when required by section 9-15.1-03;d.Provide materially false or misleading information in an application for
registration or renewal of registration;e.Predate or postdate an agency contract; orf.Fail to notify a student-athlete before the student-athlete signs or otherwise
authenticates an agency contract for a particular sport that the signing or
authentication may make the student-athlete ineligible to participate as a
student-athlete in that sport.9-15.1-14. Penalty. An athlete agent who violates section 9-15.1-13 is guilty of a class Amisdemeanor.9-15.1-15. Civil remedies.1.An educational institution has a cause of action against an athlete agent or a former
student-athlete for damages caused by a violation of this chapter. In an action under
this section, the court may award to the prevailing party costs and reasonable
attorney's fees.2.Damages of an educational institution under subsection 1, including losses and
expense incurred because, as a result of the conduct of an athlete agent or formerPage No. 6student-athlete, the educational institution was injured by a violation of this chapter
or was penalized, disqualified, or suspended from participation in athletics by a
national association for the promotion and regulation of athletics, by an athletic
conference, or by reasonable self-imposed disciplinary action taken to mitigate
sanctions likely to be imposed by such an organization.3.A cause of action under this section does not accrue until the educational institution
discovers or by the exercise of reasonable diligence would have discovered the
violation by the athlete agent or former student-athlete.4.Any liability of the athlete agent or the former student-athlete under this section is
several and not joint.5.This chapter does not restrict rights, remedies, or defenses of any person under law
or equity.9-15.1-16. Administrative penalty. The secretary of state may assess a civil penaltyagainst an athlete agent not to exceed twenty-five thousand dollars for a violation of this chapter.Page No. 7Document Outlinechapter 9-15.1 uniform athlete agents act