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What does California law require of sports agents?

By McKinley Malbrough III, J.D., MS-HRM · Certified WNBA player agent · Former certified NBA agent

Published October 1, 2026. Last updated October 1, 2026.

Which law governs sports agents in California?

California uses its own statute, the Miller-Ayala Athlete Agents Act, in Chapter 2.5 of Division 8 of the Business and Professions Code, beginning at Section 18895, per the statute text published by USC Athletics Compliance. More than 40 other states use the Uniform Athlete Agents Act instead, per the NCAA, so an agent working across states follows two kinds of law.

State law sits on top of union certification. A certified NBA or WNBA agent still files in California, and a California filing does not certify anyone to represent professional players. The certification side is covered in how to become an NBA agent and how to become a WNBA agent.

Who counts as an athlete agent in California?

An athlete agent is anyone who recruits or solicits an athlete to sign an agent contract, endorsement contract, financial services contract or professional sports services contract, or who for pay tries to get a person a job with a professional team, per the statute text. Endorsement deals count, so the law reaches people who arrange NIL-style endorsements, not only contract negotiators.

Lawyers, financial planners and other professionals are exempt only while doing their usual professional work. Once they recruit an athlete into an agent or endorsement contract, the law applies to them. A person acting only for a spouse, child or grandchild is exempt.

The definition of a student athlete is broad. It includes students in elementary and secondary schools, not only college players, who compete or plan to compete for their school. That makes the act a high school issue as much as a college one.

Something agents learn early: the statute looks at what a person does, not the title on the business card. Plenty of people use the word agent. Some hold union certification, some are managers or marketing consultants, and some who call themselves advisers or NIL managers fall under this law the moment they recruit a student into an agent or endorsement contract.

How do agents register with the California Secretary of State?

California calls it a disclosure filing rather than a license. Before working as an athlete agent, the agent files information with the Secretary of State about the agent and each person acting as an agent in the firm, per the statute text. The Athlete Agent Disclosure Statement costs $30 to file and an amendment costs $20, per California Code of Regulations Title 2, Section 21920.

• Security. $100,000 in insurance or equivalent security, per Athlete Contact.
• Trust account. Any payment an agent receives for an athlete goes straight into a trust account at a state or federally chartered institution.
• Written contracts. Every agent contract is in writing, with the services and a fee schedule.
• First-contact notice. On first contact with an athlete or family member, the agent gives written notice that disclosure information is on file with the Secretary of State and how to get it.

Families rarely ask to see the filing, much as clients rarely ask a lawyer whether they passed the bar. It is still a fair first question. A family can ask which union, if any, certifies the agent, and ask for the disclosure notice the law requires at first contact. An agent who has done the work hands both over without hesitation. The Bay Area scouting guide explains how one Oakland agent keeps that work local.

What are the rules for contacting a student athlete in California?

The default is no contact. An agent may not contact a student athlete or close family members unless one of two exceptions applies, per the statute text:

1. Written materials may be sent if an identical copy goes to the president or chief administrator of the student’s school at the same time or earlier.
2. Student-initiated contact may continue, but the agent must notify the school’s president in writing by the next business day.

Agents may not give a student athlete money or anything of value, and may not pay a school employee for referrals. When a student signs, the agent notifies the school within 48 hours and the student within 72 hours or before the next practice or game, whichever comes first.

Every contract a student athlete signs must carry a boldface warning beside the signature: signing likely ends eligibility, the school must be told, and the student may cancel in writing by the 15th day after signing, though cancelling may not restore eligibility. For families, that warning box is a quick legitimacy test. The guide to verifying an agent, an NIL advisor or a recruiting service covers the other checks.

What happens when an agent breaks California’s agent law?

A student athlete or school harmed by an agent may sue for actual damages or $50,000, whichever is higher, plus punitive damages, costs and attorney’s fees, per the statute text. The agent also forfeits anything given to the athlete and refunds what the athlete paid.

A violation is also a misdemeanor punishable by a fine of up to $50,000, up to one year in county jail or both, and a court may suspend or revoke the right to work as an athlete agent. Agents may not post false advertising, make false promises about employment, split fees with a team or sign postdated contracts.

The law protects professional athletes too. An agent who gives investment advice must disclose any ownership interest in the investment and any commission earned on it, and may not own a financial interest in an entity directly involved in the same sport as a client, per the statute text.

The simplest test a California family has is the paperwork the statute already requires: a disclosure notice, a written fee schedule and the boldface warning beside the signature line. Whether a particular arrangement falls under the law depends on its facts, so a family holding a specific contract should have a California attorney read it.