SB 5875 — Concerning unfair practices involving compensation of athletes in higher education.

S-2065.1SUBSTITUTES-1498.1SENATE SENATE BILL 5875State of Washington66th Legislature2019 Regular SessionBySenateSessionBySenator HigherPalumboAN Education & Workforce Development (originally sponsored by Senator Palumbo)READ FIRST TIME 02/22/19.AN ACT Relating to unfair practices involving compensation of athletes in higher education;

and creating a new sections;section.BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:NEW SECTION.  Sec.

and providing a contingent effective date.BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:NEW SECTION.  Sec.

A new section is added to chapter 19.86 RCW to read as follows:(1) AFor collegiatethe associationpurposes shallof allowthis studentssection:(a) to:(a)"Institution of higher education" includes any entity that is an institution of higher education as defined in RCW 28B.10.016 and any other degree-granting institution in this state as defined in RCW 28B.85.010.(b) "Student" means any student enrolled at an institution of higher education.(2) Any student may:(a) Receive compensation for services actually provided, including, but not limited to, payment for the use of the student's name, image, or likeness, as long as the compensation is commensurate with the market value of the services provided;

and(b) BeAgree to be represented by an agent for any purpose.(2)purpose.(3) ANo studentperson may bringprohibit or suspend any student from competing in an intercollegiate athletic competition, or otherwise penalize a causestudent, because the student has engaged in the conduct described in subsection (2) of actionthis againstsection.(4) No person may prohibit or suspend an institution of higher education's athletic team from competing in an intercollegiate athletic competition, or otherwise penalize an institution of higher education, because a collegiatestudent associationenrolled forat interferencethe withinstitution of higher education has engaged in the student'sconduct rightdescribed toin receivesubsection compensation(2) andof bethis representedsection.(5) byNo person may request or require that an agent,institution asof providedhigher undereducation prohibit or otherwise limit the ability of its students to engage in the conduct described in subsection (1)(2) of this section,section in superiororder court for injunctivethe relief,institution damagesof sustainedhigher byeducation's thestudents student,or athletic teams to be eligible, or both,remain togethereligible, withto compete in intercollegiate athletic competitions.(6)(a) No person may discipline an institution of higher education because the costsinstitution of higher education:(i) Certified the suit,eligibility includingof, reasonableor attorneys'otherwise fees.permitted, a student who engaged in the conduct described in subsection (2) of this section to participate in an intercollegiate athletic competition;

Inor(ii) addition,Did thenot courtcertify may, in its discretion, increase the awardeligibility of damagesa upstudent to anparticipate amountin notan tointercollegiate exceedathletic threecompetition timessolely thebecause actualhe damagesor sustained.(3)she Anengaged institutionin ofthe higherconduct educationdescribed mayin bringsubsection a(2) cause of actionthis forsection.(b) injunctiveFor relief,the damages,purposes reasonableof attorneys'this fees,subsection and(6), costs"discipline" ifincludes, abut collegiateis associationnot takeslimited adverseto, actionterminating or otherwisesuspending retaliatesthe againstmembership theof an institution of higher education forand aprohibiting studentother filingmembers afrom causeparticipating ofin actionintercollegiate againstathletic thecompetitions collegiatewith association.(4)an institution of higher education.(7) The legislature finds that the practices covered by this section are matters vitally affecting the public interest for the purpose of applying this chapter.

AViolations collegiate association prohibiting a student from receiving compensation or being represented by an agent and retaliating against an institution of highersubsections education(3) forthrough a(6) student filing a cause of actionthis section are not reasonable in relation to the development and preservation of business,business. are unfair or deceptive acts in trade or commerce, and are unfair methods of competition for the purpose of applying this chapter.(5) For the purposes of this section:(a) "Adverse action" includes, but is not limited to, terminating or suspending the membership of the institution of higher education in the collegiate association or prohibiting other members of the collegiate association from participating in intercollegiate athletic competitions with the institution of higher education;(b) "Collegiate association" means any organization, unincorporated association, or other entity that has institutions of higher education, conferences, or other affiliated organizations as members and that promotes, sponsors, or regulates intercollegiate athletic competitions;(c) "Damages" include, but are not limited to, compensation offered to the student and permitted under subsection (1) of this section, even if the student has not accepted the compensation;(d) "Institution of higher education" includes any entity that is an institution of higher education as defined in RCW 28B.10.016 and any other degree-granting institution in this state as defined in RCW 28B.85.010;(e) "Interference" includes, but is not limited to, prohibiting the student from engaging in conduct permitted by subsection (1) of this section and prohibiting the student from competing in an intercollegiate athletic competition sponsored by the collegiate association or otherwise penalizing the student because the student engaged in conduct permitted by subsection (1) of this section;

and(f)Violations "Student"of meanssubsections any(3) studentthrough enrolled(6) atof anthis institutionsection are unfair or deceptive acts in trade or commerce and unfair methods of highercompetition education.NEWfor SECTION.  Sec.the purpose of applying this chapter.--- END ---

3.

This act takes effect if, and on the date states representing at least fifteen percent of the population of the United States have enacted legislation that prohibits a collegiate association from denying the eligibility of a student to compete in intercollegiate athletic competitions organized or sponsored by the collegiate association on the basis of such student having received monetary compensation.NEW SECTION.  Sec.

4.

The office of the attorney general must provide written notice of the effective date of this act to affected parties, the chief clerk of the house of representatives, the secretary of the senate, the office of the code reviser, and others as deemed appropriate by the office of the attorney general.--- END ---