Bill > HB489

This bill allows high school student athletes in Alabama to receive compensation for the use of their name, image, or likeness (NIL), while establishing strict guidelines to prevent potential abuses. The legislation defines key terms such as "student athlete" as a student enrolled in a K-12 school who participates in athletic activities, and "compensation" as any monetary or in-kind payment. However, the bill imposes several important restrictions: compensation cannot be tied to athletic performance, used as an enrollment incentive, or provided by the school itself. Student athletes are prohibited from using school logos, uniforms, facilities, or trademarks in NIL agreements, and cannot engage in activities that conflict with school policies. Before receiving compensation, student athletes and their parents must receive professional guidance about potential financial and tax implications. Additionally, students must notify their school principal or athletic director at least seven days before entering any NIL contract. The bill is set to take effect on October 1, 2025, and aims to provide high school athletes with opportunities to benefit from their personal brand while maintaining academic and ethical standards.

Business and Industry

https://alison.legislature.state.al.us/bill-search