The Student-Athlete Publicity Rights and Fair Compensation Act aims to regulate the compensation of high school athletes for the use of their name, image, or likeness (NIL). The bill introduces new definitions for key terms such as "athlete agent," "high school," and "student-athlete," and allows student-athletes to earn compensation from NIL activities through written contracts that reflect fair market value, with parental consent required for those under 18. It also specifies conditions under which student-athletes cannot enter into contracts, such as those that provide inducements for attending specific schools or conflict with educational missions. Additionally, the bill prohibits governing authorities from imposing restrictions on NIL activities and allows for the establishment of policies to regulate these activities while protecting academic obligations.

Moreover, the bill mandates that organizations regulating interscholastic athletic conferences create rules and penalties for violations, including procedures for investigating allegations and allowing appeals. It empowers student-athletes to seek legal recourse for violations, enabling them to pursue injunctive relief or damages in court. The attorney general is authorized to investigate potential violations and take civil action against offending authorities or organizations. Importantly, the bill includes a provision that protects these governing bodies from liability for damages if they acted in good faith to comply with the new regulations.