H.B. No. 126 amends the Education Code to enhance the rights of student athletes at certain institutions of higher education regarding their name, image, and likeness (NIL). The bill prohibits institutions from adopting policies that prevent student athletes from earning compensation for their NIL when not engaged in official team activities or from obtaining professional representation for related contracts. New subsections clarify that these provisions apply only in cases of conflict with existing contracts or regulations from governing athletic organizations. Additionally, the bill establishes that individuals or entities cannot enter into NIL arrangements with prospective student athletes under 17 years of age.

The bill also outlines specific conditions under which student athletes may enter contracts for the use of their NIL, including the requirement to disclose proposed contracts to their institution and restrictions on the nature of compensation. It repeals certain existing provisions and clarifies that the changes apply only to compensation paid after the bill's effective date. The act will take effect immediately if it receives a two-thirds vote from both houses; otherwise, it will take effect on September 1, 2025.

Statutes affected:
Introduced: Education Code 51.9246 (Education Code 51)
House Committee Report: Education Code 51.9246 (Education Code 51)
Engrossed: Education Code 51.9246 (Education Code 51)
Senate Committee Report: Education Code 51.9246 (Education Code 51)
Enrolled: Education Code 51.9246 (Education Code 51)