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Georgia passes bill to let college athletes get paid for utilization of 'name, image, or likeness'

The legislation contains a provision allowing for institutions to take a portion of the compensation that an athlete earns and place it into a pool from which funds would later be doled out to former student athletes based on the number of months they had been a student athlete.

Updated: May 6, 2021 - 10:26pm

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Georgia Gov. Brian Kemp on Thursday signed legislation that will allow athletes at higher educational institutions to get paid for the utilization of their "name, image, or likeness." 

The bill, which is slated to go into effect on July 1, 2021, states that "participation in intercollegiate athletics should not infringe upon the rights of student athletes to have control over and profit from the commercial use of their name, image, or likeness."

The legislation contains a provision allowing for institutions to take a portion of the compensation that an athlete earns and place it into a pool from which funds would later be doled out to former student athletes based on the number of months they had been a student athlete.

"Team contracts may provide for a pooling arrangement whereby student athletes who receive compensation for the use of their name, image, or likeness pursuant to this article agree to contribute a portion of the compensation they receive pursuant to such contract to a fund for the benefit of individuals previously enrolled as student athletes in the same postsecondary educational institution as such student athlete," the bill states before listing several conditions, one of which is that a player cannot be made to contribute more than 75% of their earnings into the pot.

"Upon graduation or withdrawal for at least 12 months from the postsecondary educational institution, individuals who were student athletes prior to such graduation or withdrawal, shall be eligible to receive a pro rata share of the pooled contributions based on the number of months the individual was a student athlete," the bill states.

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