As with any contract, it is important that the parties think carefully about the time they want and put in to have the contractual relationship. This is especially important when you`re contracting with a new agent or agency company. Given that the Federal Court is reviewing Williamson`s complaint and the expected defenses and possible counter-claims from Prime Sports (which, in a preliminary letter to Williamson`s attorney, affirmed the potential for $100 million in damages), the significance of Gina Ford`s failure to register as an agent with the state of North Carolina prior to her first meeting with Williamson could be critical in determining the applicability of the agreement between Williamson and Prime Sport. The decision on whether or not to exclusivity of the agency contract depends entirely on the circumstances of the parties. Alternatively, either party may prefer the flexibility of a rolling agreement. This allows for greater freedom to end the relationship, usually with set notice. However, agents will generally be cautious prior to this type of relationship if the agent is required to assign existing representational contractual relationships with players/athletes to the Agency or to terminate and establish a new direct relationship between the players/athletes and the Agency. If a continuous duration is preferred by the parties, clear rules of termination and termination are essential to treat these players/athletes. In particular, I have not included clauses concerning financial services such as credit and investment. Financial services are such a broad subject that it warrants a separate contract. In addition, not all agents offer financial services because the risks to which the agent is exposed are greater. Some leagues have separate requirements for financial advisors, such as the NFL. Due to the increased risk, the specific rules and the breadth of services that could include financial services, it is in the best interest of the agent to establish a separate agreement on all financial services offered.
Many of the clauses I`ve described contain ideal situations for agents, but players might want to renegotiate some conditions. As with all contract negotiations, it is important to know the difference between the conditions you need and the conditions you want to have. The relationship between a player and an agent is based on trust, and no agent wants to start that relationship badly by participating in a controversial negotiation over the terms of their representation agreement. Termination provisions are the most important clauses we design in agency contracts, as this is the area in which the greatest number of disputes occur. Although, when concluding an agreement, it may seem counterintuitive to think about how it will end, there are some very important consequences if these clauses are not formulated carefully. This site is intended for self-training purposes only. Nothing on this site should be construed as legal advice or recommendation. In addition, the content of this site may be outdated and erroneous. Always consult an experienced lawyer, especially before making a deal! This is the first preview article in a series focused on the football agency market.
Brabners LLP works for a large number of agents, agencies and their player clients (with football clubs and non-players) and has advised on many important commercial and legal issues in the sports agency market, often in both controversial and non-controversial contexts. A sports agent is a person who procures and negotiates employment and endorsement contracts for an athlete. In return, the agent receives a commission which is usually a percentage of the contract, although this number varies. In addition to looking for incoming sources, agents often take care of public relations matters for their clients….