Guideline on Amateur Status and Ways in Which to Lose Eligibility to Play College Tennis
My professional experience in representing athletes has been confined to representation of tennis players. More particularly junior tennis players who have aspired to become professional tennis players on the ATP and WTA tours. Such representation has included contracts with tennis centers and training facilities, coaches, racket and clothing companies, and professional management/agencies. There are a number of issues and/or questions that the parents and/or legal guardians of talented junior tennis players have when debating whether to have the player play college tennis in the United States or make a direct effort to play professionally on one of the tennis tours. Two critical issues that often arise are:
What the junior player cannot do if they wish to preserve their eligibility to play college athletics.
Can the junior tennis player receive pay for his or her athletic skills before participating in intercollegiate athletics or while participating in intercollegiate athletics.
A.
NCAA GENERAL RULE ON AMATEUR STATUS OF STUDENT ATHLETES
12.1.2 Amateur Status. An individual loses amateur status and thus shall not be eligible for intercollegiate competition in a particular sport if the individual:
(a) Uses his or her athletics skill (directly or indirectly) for pay in any form in that sport;
(b) Accepts a promise of pay even if such pay is to be received following completion of intercollegiate athletics participation;
(c) Signs a contract or commitment of any kind to play professional athletics, regardless of its legal enforceability or any consideration received, except as permitted in Bylaw 12.2.5.1; (Revised: 4/29/10 effective 8/1/10)
(d) Receives, directly or indirectly, a salary, reimbursement of expenses or any other form of financial assistance from a professional sports organization based on athletics skill or participation, except as permitted by NCAA rules and regulations;
(e) Competes on any professional athletics team per Bylaw 12.02.8, even if no pay or remuneration for expenses was received, except as permitted in Bylaw 12.2.3.2.1; (Revised: 4/25/02 effective 8/1/02, 4/29/10 effective 8/1/10)
(f ) After initial full-time collegiate enrollment, enters into a professional draft (see Bylaw 12.2.4); or (Revised: 4/25/02 effective 8/1/02, 4/24/03 effective 8/1/03)
(g) Enters into an agreement with an agent. (Adopted: 4/25/02 effective 8/1/02)
What is not often understood and what is a fertile ground for ineligibility is the signing of any type of contract with any sports marketing company and/or with an agent. The large sports management/marketing companies are fairly well-known i.e. IMG, Octagon, etc., etc. It should, however, be noted there are a number of agents who are not affiliated with large sports management companies, but by signing with that individual agent, the player has effectively lost his or her eligibility.
NCAA BYLAWS ON AGENTS
12.02.1 Agent. An agent is any individual who, directly or indirectly: (Adopted: 1/14/12)
(a) Represents or attempts to represent an individual for the purpose of marketing his or her athletics ability or reputation for financial gain; or
(b) Seeks to obtain any type of financial gain or benefit from securing a prospective student-athlete’s enrollment at an educational institution or from a student-athlete’s potential earnings as a professional athlete.
12.02.1.1 Application. An agent may include, but is not limited to, a certified contract advisor, financial advisor, marketing representative, brand manager or anyone who is employed or associated with such persons.
(Adopted: 1/14/12)
12.3 Use of Agents.
12.3.1 General Rule. An individual shall be ineligible for participation in an intercollegiate sport if he or she ever has agreed (orally or in writing) to be represented by an agent for the purpose of marketing his or her athletics ability or reputation in that sport. Further, an agency contract not specifically limited in writing to a sport or particular sports shall be deemed applicable to all sports, and the individual shall be ineligible to participate in any sport.
12.3.1.1 Exception—Baseball—Prior to Full-Time Collegiate Enrollment. [A] In baseball, prior to full-time collegiate enrollment, an individual who is drafted by a professional baseball team may be represented by an agent or attorney during contract negotiations. The individual may not receive benefits (other than representation) from the agent or attorney and must pay the going rate for the representation. If the individual does not sign a contract with the professional team, the agreement for representation with the agent or attorney must be terminated prior to full-time collegiate enrollment. (Adopted: 1/15/16)
12.3.1.2 Representation for Future Negotiations. An individual shall be ineligible per Bylaw 12.3.1 if he or she enters into a verbal or written agreement with an agent for representation in future professional sports negotiations that are to take place after the individual has completed his or her eligibility in that sport.
12.3.1.3 Benefits from Prospective Agents. An individual shall be ineligible per Bylaw 12.3.1 if he or she (or his or her relatives or friends) accepts transportation or other benefits from: (Revised: 1/14/97)
(a) Any person who represents any individual in the marketing of his or her athletics ability. The receipt of such expenses constitutes compensation based on athletics skill and is an extra benefit not available to the student body in general; or
(b) An agent, even if the agent has indicated that he or she has no interest in representing the student-athlete in the marketing of his or her athletics ability or reputation and does not represent individuals in the student-athlete’s sport. (Adopted: 1/14/97)
12.3.1.4 Exception—Career Counseling and Internship/Job Placement Services. A student-athlete may use career counseling and internship/job placement services available exclusively to student-athletes, provided the student-athlete is not placed in a position in which the student-athlete uses his or her athletics ability. (Adopted: 4/28/11)
12.3.2 Legal Counsel. Securing advice from a lawyer concerning a proposed professional sports contract shall not be considered contracting for representation by an agent under this rule, unless the lawyer also represents the individual in negotiations for such a contract.
12.3.2.1 Presence of a Lawyer at Negotiations. A lawyer may not be present during discussions of a contract offer with a professional organization or have any direct contact (in person, by telephone or by mail) with a professional sports organization on behalf of the individual. A lawyer’s presence during such discussions is considered representation by an agent.
12.3.3 Athletics Scholarship Agent. Any individual, agency or organization that represents a prospective student-athlete for compensation in placing the prospective student-athlete in a collegiate institution as a recipient of institutional financial aid shall be considered an agent or organization marketing the individual’s athletics ability or reputation.
12.3.3.1 Talent Evaluation Services and Agents. A prospective student-athlete may allow a scouting service or agent to distribute personal information (e.g., high school academic and athletics records, physical statistics) to member institutions without jeopardizing his or her eligibility, provided the fee paid to such an agent is not based on placing the prospective student-athlete in a collegiate institution as a recipient of institutional financial aid.
Bottom line is, the junior player should not sign any type of contract with any person or entity that makes reference to or in any way relates to development or organization for income-producing activity for that player by that agent. It’s fine to sign contracts with coaches and, as is noted here, players can certainly be represented by an attorney when considering professional sports contracts. However, if and when the days comes when a contract is presented to that tennis player and he or she signs same and/or his or her parent and/or guardian signs same, the eligibility of that player to play intercollegiate tennis is over.
NCAA CASE STUDY
Facts:
While in high school, an international prospective women’s tennis student-athlete signed an agreement with a sports management agency, in which she agreed that the agency would develop, negotiate and organize income producing activities arising from her profession as a tennis player. The agreement was signed by both the student-athlete, who was 16 years old, and by the student-athlete’s father. The agreement was terminated three years later and the student athlete enrolled at an NCAA Division I member institution, where she sought to compete as a tennis student-athlete. The student-athlete stated that she did not fully understand the terms of the agreement she had signed and did not realize that signing the agreement would jeopardize her amateur status. According to the student-athlete, none of the activities described in the agreement were ever performed, and she believed that the agreement would make it easier for her to get equipment. The prospective student-athlete never profited from her participation in tennis tournaments during the term of the contract.
Outcome:
The institution sought to have the student-athlete reinstated for intercollegiate competition. The NCAA student-athlete reinstatement staff and committee determined that the act of signing with an agent carries with it an intention to pursue a professional sports career and is considered a serious violation of NCAA amateurism principles. As a result, the student-athlete was not reinstated.
B.
The second issue is whether or not a player can receive pay and/or some type of enumeration and still keep his or her amateur status and thus eligibility to play college tennis. There is a whole group of by-laws of the NCAA related to what is pay and whether it is actual or necessary expenses and the definition of same (see By-Law 12-02-2.) Whether a student athlete can accept pay for his or her participation in professional sports i.e. tennis tournaments without losing his or her amateur status depends a lot on the sport they are playing, and the amount of money that they’ve received and from who they received the money.
By-Law 12-1-2.2 states: participation for pay in competition that involves the use of overall athletics skill constitutes the violation of the NCAA’s amateur status regulations and therefore an individual participating for pay in such competition is ineligible for intercollegiate competition in all sports. There are some exceptions. The exceptions to the amateur rule include as follows:
12.1.2.4.2 Exception for Prize Money—Tennis.
12.1.2.4.2.1 Prior to Full-Time Collegiate Enrollment. In tennis, prior to full-time collegiate enrollment, an individual may accept up to $10,000 per calendar year in prize money based on his or her place finish or performance in athletics events. Such prize money may be provided only by the sponsor of an event in which the individual participates. Once the individual has accepted $10,000 in prize money in a particular year, he or she may receive additional prize money on a per-event basis, provided such prize money does not exceed the individual’s actual and necessary expenses for participation in the event. The calculation of actual and necessary expenses shall not include the expenses or fees of anyone other than the individual (e.g., coach’s fees or expenses, parent’s expenses). (Adopted: 4/26/12, Revised: 1/19/13 effective 8/1/13)
12.1.2.4.2.2 After Initial Full-Time Collegiate Enrollment. In tennis, after initial full-time collegiate enrollment, an individual may accept prize money based on his or her place finish or performance in an athletics event. Such prize money may not exceed actual and necessary expenses and may be provided only by the sponsor of the event. The calculation of actual and necessary expenses shall not include the expenses or fees of anyone other than the individual (e.g., coach’s fees or expenses, parent’s expenses). (Adopted: 1/19/13 effective 8/1/13)
12.1.2.4.3 Exception for Payment Based on Team Performance. An individual may accept payment from his or her amateur team or the sponsor of the event based on his or her team’s place finish or performance, or given on an incentive basis (e.g., bonus), provided the combination of such payments and expenses provided to the individual does not exceed his or her actual and necessary expenses to participate on the team. The calculation of actual and necessary expenses shall not include the expenses or fees of anyone other than the individual (e.g., coach’s fees or expenses, parent’s expenses). (Adopted: 10/28/10, Revised: 1/19/13 effective 8/1/13)
For aspiring juniors, the first revel of professional tournaments is futures events and then there are challenger’s events, and finally there are WTA or ATB tour events. The futures events tend to be events that have no more than $10,000 in prize money and the challenger’s events have typically $25,000 – $50,000 in overall prize money. Exceptional juniors tend to do well in the futures events especially when they first start as they are not defending any points. Their rankings can rise relatively quickly and therefore they will receive better seeds and if all goes well, they move into larger pools of prize money. It is critical that the parents understand that the prize money cannot exceed actual and/or necessary expenses and can only be provided by the sponsor of the event. Further, the calculation of those expenses cannot include expenses of fees of anyone other than the individual. This can be a tricky situation when there are coaches and/or trainers and hitting partners who expect to be paid.
The NCAA has sports-specific by-laws and most of this particular article is related to tennis. However, the NCAA has a certain core amateur status regulation/by-law for each and every athlete no matter what their sport. It cannot be overstated that very few teenagers go on to make a living playing a professional sport. Ironically, a whole lot of teenagers play a whole lot of sports and a whole lot of them aspire to become professional athletes. This paradox can result in mistakes being made by the teenager and/or the parents/guardians of the teenager that can forever limit that teenager’s ability to attend a prestigious college and/or university.
