Sports Agent Responsibility and Trust Act ("SPARTA")

  On September 24th, President Bush signed the Sports Agent Responsibility
  and Trust Act ("SPARTA"), Public Law No. 108-304.  We strongly urge all
  agents involved in advising or recruiting amateur athletes to
  familiarize themselves with its provisions and to take appropriate steps
  to ensure that not just they, but all those who communicate with student
  athletes on their behalf, comply with its provisions.

  What follows is not legal advice.  It is, rather, an attempt to give you
  an initial description of the statute's coverage and requirements.
  Please read the statute.  Questions about its interpretation should be
  referred to legal counsel.

  The Act defines an "athlete agent" as any individual who enters into an
  agency contract with a student athlete, or directly or indirectly
  recruits or solicits a student athlete to enter into an agency contract.
  It excludes from the definition a spouse, parent, sibling, grandparent,
  or guardian of the student.  A person hired to give legal counsel for
  purposes other than that of representative agency, and any individual
  acting solely on behalf of a professional team or organization are also
  excluded.

  The Act prohibits an "athlete agent" from: (1) directly or indirectly
  recruiting or soliciting a student to enter into an agency contract by
  giving false or misleading information, making a false promise or
  representation, or providing anything of value to the student or anyone
  associated with him; (2) entering into an agency contract with a student
  without providing a required disclosure document; or (3) predating or
  postdating an agency contract.


  The disclosure document must include a notice that if the athlete agrees
  orally or in writing to be represented by an agent, he or she may lose
  eligibility to compete as a student athlete.  It also requires both the
  student athlete and the agent, within 72 hours or before the athlete's
  next athletic event, whichever occurs first, to notify the athletic
  director of the athlete's educational institution that the athlete has
  entered into the contract.


  Violations of the statute are treated as unfair or deceptive acts or
  practices under the Federal Trade Commission Act and the FTC is
  empowered to enforce the law.  The statute also authorizes civil actions
  by State Attorneys General to enjoin violations and enforce compliance
  with the Act and to recover damages on behalf of the residents of the
  State. The Act also grants educational institutions the right to bring a
  civil action against an athlete agent for damages...read entire Act