H378 - Various Education Law/Tax Accounts/Name, Image, and Likeness Changes. (SL 2025-46)

NIL contracts are defined as contracts between the student‑athlete and another entity where the student‑athlete receives consideration in exchange for use of the student‑athlete's name, image, or likeness. The Part authorizes a student‑athlete to enter into a contract, called an NIL agency contract, with a registered athlete agent to negotiate NIL contracts. Those contracts must contain a warning to student‑athletes that an NIL contract conflicting with law or institutional policies could have negative consequences. The NIL agency contract can be cancelled by the student within 14 days. These contracts are distinguished from professional sports services agency contacts, where an athlete entering into an agreement to negotiate a professional sports contract would lead to the loss of amateur status.

This Part also prohibits athlete agents who currently or within the prior two years have been in an employment or contractual relationship with an educational institution from entering into NIL agency contracts with student‑athletes enrolled in that educational institution. Additionally, any NIL agency contract with an athlete agent who has such a connection to an educational institution is void if the student‑athlete subsequently enrolls in that educational institution.

Part VII became effective July 1, 2025, and applies to NIL agency contracts entered into on or after that date.