If enacted, Alabama SB 10 would require professional sports agents not associated with a players’ association to post a $25,000 athlete agent surety bond in connection with registration. The bill was first introduced on September 4, 2012, and is scheduled to be read for the first time and referred to the Senate Committee on Judiciary on February 5, 2013.
The bond requirement is explained in the following section of SB 10.
“(18) If an applicant sends in the application to act as an agent for athletes in a professional league without a players’ association, or the individual is not required to be certified under Section 8-26A-4 (c) (3), he or she shall show proof that the applicant has posted with the commission a twenty-five thousand dollar ($25,000) surety bond issued by an insurance company authorized to do business in Alabama. The bond shall be in favor of the commission, for the use and benefit of any academic institution within Alabama injured or damaged as a result of acts or omissions by the applicant, including, but not limited to, reasonable costs and attorneys’ fees. The bond shall be in effect for all times that the athlete agent has an active license or conducts business as an athlete agent in this or any state.”
If Alabama SB 10 is passed, some athlete agents in the state will have to post a surety bond to remain in compliance with industry licensing laws. To help you do so, check back here throughout the legislative process of the bill.