PRINTER'S NO. 1078
No. 954 Session of 1997
INTRODUCED BY COLAFELLA, TULLI, MARSICO, ROBERTS, BELARDI,
GODSHALL, YOUNGBLOOD, BOSCOLA, DeLUCA, SHANER, GLADECK,
READSHAW, VAN HORNE, TRELLO, McCALL, ROONEY, PISTELLA,
SANTONI, HALUSKA, COY, MICHLOVIC, DEMPSEY, KENNEY, SEMMEL,
MIHALICH, FICHTER, SCHULER, ITKIN, MELIO, SATHER, PRESTON AND
FAIRCHILD, MARCH 19, 1997
REFERRED TO COMMITTEE ON PROFESSIONAL LICENSURE, MARCH 19, 1997
AN ACT
1 Amending Title 5 (Athletics and Sports) of the Pennsylvania
2 Consolidated Statutes, providing for the licensing of
3 athletic agents; and imposing a penalty.
4 The General Assembly of the Commonwealth of Pennsylvania
5 hereby enacts as follows:
6 Section 1. Title 5 of the Pennsylvania Consolidated Statutes
7 is amended by adding a part to read:
8 PART II
9 ATHLETIC AGENTS
10 Subpart
11 A. General Provisions
12 B. Licensing of Athletic Agents
13 SUBPART A
14 GENERAL PROVISIONS
15 Chapter
16 31. Preliminary Provisions
1 CHAPTER 31
2 PRELIMINARY PROVISIONS
3 Sec.
4 3101. Short title of part.
5 3102. Definitions.
6 3103. Rules and regulations.
7 § 3101. Short title of part.
8 This part shall be known and may be cited as the Athletic
9 Agent Licensing Act.
10 § 3102. Definitions.
11 Subject to additional definitions contained in subsequent
12 provisions of this part which are applicable to specific
13 provisions of this part, the following words and phrases when
14 used in this part shall have the meanings given to them in this
15 section unless the context clearly indicates otherwise:
16 "Agent contract." Any contract or agreement pursuant to
17 which a person authorizes or empowers an athletic agent to
18 negotiate or solicit on behalf of the person with one or more
19 professional sports teams for the employment of the person by a
20 professional sports team or to negotiate or solicit on behalf of
21 the person for the employment of the person as a professional
22 athlete.
23 "Athletic agent." A person who directly or indirectly
24 recruits or solicits a person to enter into an agent contract or
25 professional sport services contract or who procures, offers,
26 promises or attempts to obtain employment for a person with a
27 professional sports team or as a professional athlete. The term
28 does not include the coach or trainer of a secondary or
29 postsecondary school athlete, provided the coach or trainer is
30 performing his work-related responsibilities.
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1 "Commission." The State Athletic Commission.
2 "Conviction." A finding of guilt by a judge or jury, a plea
3 of guilty or a plea of nolo contendere.
4 "Department." The Department of State of the Commonwealth.
5 "Institution of higher education." A public or private
6 college or university, including a community college.
7 "Person." An individual, sole proprietorship, partnership,
8 association, corporation or other legal entity.
9 "Professional sport services contract." A contract or
10 agreement pursuant to which a person is employed or agrees to
11 render services as a player on a professional sports team or as
12 a professional athlete.
13 § 3103. Rules and regulations.
14 The commission shall have the power and duty to adopt and
15 revise regulations, in accordance with the act of June 25, 1982
16 (P.L.633, No.181), known as the Regulatory Review Act, as are
17 reasonably necessary to administer and effectuate the purposes
18 of this part.
19 SUBPART B
20 LICENSING OF ATHLETIC AGENTS
21 Chapter
22 33. Licensing.
23 CHAPTER 33
24 LICENSING
25 Sec.
26 3301. Athletic agent licenses.
27 3302. Application for license.
28 3303. Qualifications for license.
29 3304. Issuance of license to certain persons prohibited.
30 3305. Unlawful actions by athletic agents.
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1 3306. Suspension and revocation of licenses.
2 3307. Bonding requirements.
3 3308. Exemption from licensing and bonding requirement.
4 3309. Penalty; injunctive relief.
5 3310. Disposition of commission receipts.
6 3311. Records.
7 3312. Transferability of license.
8 § 3301. Athletic agent licenses.
9 A person shall not directly or indirectly serve or offer to
10 serve as an athletic agent unless the person has first procured
11 an athletic agent license from the commission.
12 § 3302. Application for license.
13 (a) Procedure.--Every application for an athletic agent
14 license shall:
15 (1) Be in writing on a form supplied by the commission
16 and approved by the department.
17 (2) Be verified by the applicant.
18 (3) Contain the information required by this chapter and
19 such other information as the commission may reasonably
20 require.
21 (4) Include an application or process as may be
22 necessary to request the Pennsylvania State Police to provide
23 a copy of the applicant's criminal history record to the
24 commission.
25 (5) Be submitted together with a processing fee of $50.
26 (b) Fees.--
27 (1) The annual license fee which shall accompany the
28 application for an athletic agent license shall be as
29 follows:
30 (i) Individual or sole proprietor - $100.
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1 (ii) Partnership, association, corporation or other
2 legal entity - $200.
3 (2) The fee for each duplicate license shall be $20.
4 (3) If the revenue raised by fees, fines and civil
5 penalties imposed in accordance with the provisions of this
6 chapter are not sufficient to match the expenditures
7 necessary to carry out the provisions of this chapter, the
8 commission shall increase those fees by regulation so that
9 the revenues will match the expenditures.
10 (c) Term.--Licenses shall be issued on an annual basis and
11 shall expire on December 31 of each year.
12 (d) Out-of-State agents.--An unlicensed out-of-State agent
13 representing an athlete shall be allowed to negotiate
14 professional sport services contracts in this Commonwealth
15 provided:
16 (1) the out-of-State agent has never had a license
17 issued under this chapter revoked by the commission;
18 (2) the out-of-State agent notifies the commission of
19 his intention to apply for a license within seven days of
20 commencing negotiations with a Commonwealth professional
21 sports team or promoter; and
22 (3) the out-of-State agent completes the required
23 application within 30 days of commencing negotiations with a
24 Commonwealth professional sports team or promoter.
25 § 3303. Qualifications for license.
26 The commission shall not issue an athletic agent's license to
27 a person unless the following qualifications are met:
28 (1) The applicant is 21 years of age or older.
29 (2) The applicant possesses good moral character.
30 (3) The applicant, neither at the time of application
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1 nor within ten years prior to the time of application, has
2 been involved in any conduct that led to the imposition of
3 sanctions against an athlete, institution of higher education
4 or professional sports team by any association or
5 organization that establishes rules for the conduct of
6 amateur or professional sports.
7 § 3304. Issuance of license to certain persons prohibited.
8 (a) Prior criminal acts.--The commission shall not issue an
9 athletic agent license to or renew the athletic agent license of
10 a person who has been convicted of any of the following
11 offenses, or any comparable offense in another jurisdiction,
12 within ten years of the date of application:
13 (1) An offense under the act of April 14, 1972 (P.L.233,
14 No.64), known as The Controlled Substance, Drug, Device and
15 Cosmetic Act.
16 (2) An offense under the following provisions of 18
17 Pa.C.S. (relating to crimes and offenses):
18 Section 902 (relating to criminal solicitation).
19 Section 908 (relating to prohibited offensive weapons).
20 Section 2502 (relating to murder).
21 Section 2901 (relating to kidnapping).
22 Section 3121 (relating to rape).
23 Section 3126 (relating to indecent assault).
24 Section 3923 (relating to theft by extortion).
25 Section 4109 (relating to rigging publicly exhibited
26 contest).
27 Section 4302 (relating to incest).
28 Section 4304 (relating to endangering welfare of
29 children).
30 Section 4305 (relating to dealing in infant children).
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1 Section 4701 (relating to bribery in official and
2 political matters).
3 Section 4902 (relating to perjury).
4 Section 5501 (relating to riot).
5 Section 5504 (relating to harassment by communication or
6 address).
7 Section 5512 (relating to lotteries, etc.).
8 Section 5513 (relating to gambling devices, gambling,
9 etc.).
10 Section 5514 (relating to pool selling and bookmaking).
11 Section 5901 (relating to open lewdness).
12 Section 5902 (relating to prostitution and related
13 offenses).
14 Section 5903 (relating to obscene and other sexual
15 materials and performances).
16 Section 5904 (relating to public exhibition of insane or
17 deformed person).
18 Section 6301 (relating to corruption of minors).
19 Section 6312 (relating to sexual abuse of children).
20 Section 7107 (relating to unlawful actions by athlete
21 agents).
22 (b) Prohibited practices.--The commission shall not issue a
23 license to any person who has been found by the commission to
24 have engaged in the activities of an athletic agent without
25 acquiring a license as required by this chapter within 12 months
26 prior to the date of application.
27 § 3305. Unlawful actions by athletic agents.
28 An athletic agent shall be prohibited from engaging in the
29 following actions:
30 (1) Entering into an oral or written agent contract or
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1 professional sports services contract with a student athlete
2 before the student athlete's eligibility for collegiate
3 athletics has expired.
4 (2) Giving, offering or promising anything of value to a
5 student athlete or any member of the student athlete's
6 immediate family before the student athlete's eligibility for
7 collegiate athletics has expired.
8 (3) Entering into an oral or written contract which
9 would require the athletic agent to give, offer or promise
10 anything of value to any employee of an institution of higher
11 education in return for a referral of a student athlete by
12 the employee.
13 (4) Engaging in the activities of an athletic agent
14 without a current valid license.
15 (5) Violating any provision of this part or regulation
16 of the commission.
17 § 3306. Suspension and revocation of licenses.
18 (a) Investigation.--The commission or its designee may
19 review the operations of all licenses and shall prepare a
20 written report for review by the commission.
21 (b) Cease and desist order.--The commission may issue an
22 immediate cease and desist order against an athletic agent who
23 has been found preliminarily by the commission to have committed
24 a violation of 18 Pa.C.S. § 7107 (relating to unlawful actions
25 by athlete agents) or a violation of this chapter. Within 20
26 days of issuance of the cease and desist order, the commission
27 shall conduct a hearing to determine whether the cease and
28 desist order should be dissolved or made permanent.
29 (c) Sanctions.--Upon finding that a licensee has violated
30 any provision of this chapter or a regulation of the commission
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1 or any comparable offense in another jurisdiction, the
2 commission may suspend, revoke, restrict or otherwise limit a
3 license as determined by the commission.
4 (d) Conduct of hearings.--The commission shall conduct all
5 hearings in accordance with 2 Pa.C.S. Ch. 5 Subch. A (relating
6 to practice and procedure of Commonwealth agencies).
7 § 3307. Bonding requirements.
8 (a) Amount.--Before any athletic agent license is issued,
9 the applicant shall be required to execute and file a surety
10 bond with the commission in such reasonable amount, but not less
11 than $20,000, as the commission shall require.
12 (b) Bond forms.--All bonds shall be upon forms supplied by
13 the commission and which have been approved by the department.
14 All bonds shall be accompanied by a $25 filing fee.
15 (c) Conditions of bonds.--The surety bond shall be
16 conditioned upon the following:
17 (1) Compliance with this chapter.
18 (2) The payment of all sums due a person at the time the
19 sums are due and payable.
20 (3) The payment of all damages suffered by any person as
21 a result of intentional or unintentional misstatements,
22 misrepresentation, fraud, deceit or unlawful or negligent
23 acts of the athletic agent while acting as an athletic agent.
24 (d) Alternate security.--
25 (1) In lieu of a surety bond, a licensee may deposit
26 with the commission cash, a certified check or a letter of
27 credit in an equivalent amount. The provisions of this
28 section regarding bonds shall apply to the alternate security
29 provided for in this subsection.
30 (2) The security shall not be returned to a licensee
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1 until one year after the athletic agent's license has
2 expired. After this time, if there are no claims against the
3 license, the alternate security shall be returned to the
4 depositor.
5 (e) Recovery on bond.--Recovery may be had on a bond or
6 deposit of alternate security in the same manner as penalties
7 are recoverable at law.
8 § 3308. Exemption from licensing and bonding requirement.
9 (a) Immediate family members.--Athletic agents who are
10 representing an immediate family member are exempt from the
11 provisions of this chapter.
12 (b) Definition.--As used in this section, the term
13 "immediate family" means a parent, spouse, brother, sister, son
14 or daughter.
15 § 3309. Penalty; injunctive relief.
16 (a) Penalty.--The commission may impose a civil penalty of
17 not more than $5,000 for each violation or conviction against
18 any person who violates this chapter or who is convicted of a
19 violation of 18 Pa.C.S. § 7107 (relating to unlawful actions by
20 athlete agents).
21 (b) Injunctive relief.--The commission may, in the name of
22 the people of this Commonwealth, through the Office of Attorney
23 General, apply for injunctive relief in any court of competent
24 jurisdiction to enjoin any person from committing any act in
25 violation of this chapter. Such injunctive relief shall be in
26 addition to and not in lieu of all penalties and other remedies
27 in this chapter.
28 § 3310. Disposition of commission receipts.
29 All fees, civil penalties, forfeitures and other moneys
30 collected under this chapter and the regulations of the
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1 commission shall be paid into the Athletic Commission
2 Augmentation Account.
3 § 3311. Records.
4 A record of all persons licensed under this chapter shall be
5 kept in the office of the commission and shall be open to public
6 inspection and copying upon payment of a nominal fee for copying
7 the record.
8 § 3312. Transferability of license.
9 No license issued under this chapter shall be assignable or
10 transferable.
11 Section 2. This act shall take effect in 60 days.
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