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Memorandum 1 (December 7, 2011)

handle is hein.nccusl/nccpub4388 and id is 1 raw text is: 





MEMORANDUM


TO:     Committee on Scope & Program
       John A. Sebert, ULC Executive Director

FROM:   Richard C. Hite
       Jerry L. Bassett
       Harvey S. Perlman
       Dale G. Higer

DATE:   December  7, 2011

RE:     Proposed Study Committee  on Revisions to the Uniform Athlete Agents Act

1. Background and Potential Proposal for a Study Committee

The Uniform  Athlete Agents Act (UAAA) was  promulgated  by the Uniform Law  Commission  (ULC) in
2000, and drafted in response to the urging of the National Collegiate Athletic Association (NCAA). With
the immense   amount  of money  at stake for a wide variety of professional athletes and those that
represent them, the commercial marketplace in which athlete agents operate is extremely competitive.
While seeking to best position one's clients and to maximize their potential income is both legal and
good  business practice, the recruitment of a student-athlete while he or she is still enrolled in an
educational institution can and will cause substantial eligibility problems for both the student and the
school, which can in turn lead to severe economic sanctions and loss of scholarships for the institution.
The problem becomes  even more  acute where an unscrupulous agent misleads a student, and especially
where  the athlete is not aware of the implications of signing the agency agreement or where agency is
established without notice to the athletic director of the school.

In general, the UAAA does the following:

        *  Defines athlete agent and sets the scope of the act to apply narrowly to the conduct of
           directly or indirectly inducing or attempting to induce a student-athlete into an agency
           contract. However,  the act applies broadly to any type of individual that engages in such
           conduct.

        *  Except under  limited and temporary circumstances, prohibits a person from acting as an
           athlete agent without registering in the state. The act provides for a uniform registration
           system  and criminal history disclosures, including required disclosure of their training,
           experience, and education, whether they or an associate have been convicted of a felony or
           crime of moral turpitude, have been administratively or judicially determined to have made
           false or deceptive representations, have had their agent's license denied, suspended, or
           revoked  in any state, or have been the subject or cause of any sanction, suspension, or
           declaration of ineligibility.

        *  Requires agents to maintain executed contracts and other specified records for a period of
           five  years, including information  about   represented  individuals and  recruitment
           expenditures, which are open to inspection by the state.


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