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New Alabama Uniform Athlete Agent Law May Include Cam Newton Clause

The Alabama Uniform Athlete Agents law may soon be modified.  Alabama state Senators Gerald Allen and Gerald Dial have sponsored a bill, which has already been approved by the Senate Judiciary Committee, that would change the definition of an “agency contract.”  If passed, an agency contract will also be established if a student-athlete authorizes a third party to “negotiate or solicit enrollment at an educational institution.”  If this sounds familiar, it is because the concept of broadening the types of actions deemed illegal by third party involvement in negotiations concerning student-athletes is nothing new.

Last year, the NCAA’s Amateurism Cabinet’s introduced a proposal to expand the NCAA’s athlete agent definition to include:

1. Anyone who represents or attempts to represent a prospective or current student-athlete in the marketing of his or her athletics ability or reputation for financial gain; or

2. Anyone who seeks to obtain any type of financial gain or benefit from securing a prospect’s enrollment at an institution or a student-athlete’s potential earnings as a professional athlete.

Also, in July 2011, The Athlete Agent Reform Act of 2011 (a new sports agent law in Tennessee) took effect, which states that “Athlete agent” does not include a parent or legal guardian, unless the parent or legal guardian of the student athlete accepts a form of a financial benefit or gift on behalf of the student athlete.

The NCAA and various states (including Tennessee and now Alabama) are extremely concerned with corking the Cam Newton loophole, which is good to hear so long as proper measures are undertaken.

One thing (which happens to have nothing to do with Cam Newton) that certainly sticks out about the proposed Alabama law is that Senators Gerald Allen and Gerald Dial wish to prevent individuals from becoming certified as athlete agents in Alabama prior to being certified by at least one professional league players’ association.  I do not quite understand the logic of such a provision.  The state should be proving incentives to drive up registrations to be able to better enforce its regulations.  Further, it then unjustifiably restricts agents who are not licensed by a players’ association from recruiting athletes in the state.  Would this effectively prevent lawyers who are not licensed by the MLBPA from advising baseball players leading up to and following the MLB Rule 4 Draft?  Hopefully concerns about this unique players’ association provision will be addressed in the future.

By Darren Heitner

Darren Adam Heitner, Esq., is a preeminent sports attorney and the founder of Heitner Legal, P.L.L.C., a Fort Lauderdale-based law firm specializing in sports law, contract negotiations, intellectual property, and arbitration. He earned his Juris Doctor from the University of Florida Levin College of Law in 2010 and a Bachelor of Arts in Political Science, magna cum laude, from the University of Florida in 2007, where he was named Valedictorian of the College of Liberal Arts and Sciences. Admitted to practice in the state bars of Florida, New York, and the District of Columbia, as well as multiple federal courts, Darren also serves as a certified arbitrator with the American Arbitration Association.

As an adjunct professor, Darren imparts his expertise through teaching Sports Law at the University of Florida Levin College of Law and Name, Image, and Likeness (NIL) at the University of Miami School of Law in the Entertainment, Arts, and Sports Law LL.M. program. His scholarly contributions include authoring several books published by the American Bar Association, such as How to Play the Game: What Every Sports Attorney Needs to Know, and numerous articles in prominent publications like Forbes, Inc. Magazine, and Above the Law. His thought leadership in NIL has earned him recognition as one of the foremost experts by The Wall Street Journal, USA TODAY, and On3, and he has been lauded as a “power player in NIL deals” by Action Network and a “top sports trademark attorney” by Sportico.

Darren’s passion for sports law led him to establish Sports Agent Blog on December 31, 2005, initially titled “I Want To Be A Sports Agent.” The platform, created as a New Year’s resolution, has grown into a cornerstone of the sports agency community, offering in-depth analysis of industry trends, legal disputes, and agent-player dynamics. His commitment to the field is further evidenced by his representation of numerous athletes and sports agents, as well as his prior role as an Adjunct Professor at Indiana University Bloomington, where he developed and taught a course on Sport Agency Management from 2011 to 2014.

Darren’s contributions have been recognized with prestigious honors, including the University of Florida’s 40 Under 40 Award, the University of Florida Levin College of Law’s Outstanding Young Alumnus Award, and designation as the best lawyer in Fort Lauderdale by Fort Lauderdale Magazine. He remains an active voice in the sports law community, sharing insights through his weekly NIL newsletter and his X posts, engaging a broad audience on legal developments in sports.