What is a Texas Athlete Agent Bond?

Texas Athlete Agent Bond

Become an Athlete Agent in Texas immediately with our help!

We can help you acquire one of the essential requirements of becoming an Athlete Agent in the state of Texas: a surety bond.

Prospective athlete agents who want to conduct business in the said state are governed by the provisions of both the Texas Occupations Code and the Texas Administrative Code.

 

How much is the bond amount?

There are two types of athlete agents bond regarding the bond amount and what each constitutes. One is $50,000, and the other is $100,000.

It is stated in Section 2051.151 of the Occupations Code that before an athlete agent can perform the duties of the profession, such as starting a contract with the athlete or even approach one; the agent must deposit a surety bond amounting to $50,000 to the secretary of the state.

The higher bond amount ($100,000) is for an athlete agent who wishes to enter into a financial services contract with the athlete. The Occupations Code mandates that the agent should deposit a $100,000 surety bond to the secretary of state.

If the athlete agent does not wish to enter into a financial services contract with the athlete, it is required by the Texas Administrative Code that he/she shall submit an Affidavit instead of Financial Service Bond.

 

What’s an Athlete Agent Bond for? 

Just like all other surety bonds, this particular bond is designed to ensure that the principal (athlete agent) will act according to certain rules and to safeguard any losses as well.

Let’s elaborate on those by dividing the conditions per bond amount.

The $50,000 bond will ensure that the athlete agent will do the following:

  • Abide by the provisions of the Occupations Code.
  • Pay any administrative penalty.
  • Pay any damages granted to the athlete or institution due to the athlete agent offering or providing a thing of value to the athlete or the athlete’s family members.

The $100,000 bond will ensure that the athlete agent will do the following:

  • Abide by the provisions of the Occupations Code.
  • Pay any administrative penalty.
  • Pay damages to the athlete due to intentional misrepresentation or any unlawful act within the conditions of the financial services contract.

 

How long should I maintain the bond?

If any of the following conditions occur, the athlete agent is required by the Occupations Code to retain the bond for not less than two (2) years:

  • After the date, the athlete agent discontinues providing financial services to the athlete.
  • The date the athlete agent’s certificate of registration expires or is revoked.

 

How do I get a Texas Athlete Agent bond?

By contacting us today! We will be more than willing to help you get one.

One of our expert underwriters will assess your credentials first, and from there we can move forward to securing the bond that you need! Get your FREE quote today!

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