Jump to Section
A sports agency contract is a legal document between a professional athlete and a sports agency specifying obligations, services and others. The team may have a separate contract with the agency, but it is separate from the athlete’s contract. Sports contracts are no different from contracts in ordinary life. A lawyer for sports agency contracts is significantly important because professional athletes, like everyone else, are rewarded for their efforts with pay. This section investigates the nature of professional athletes' services contracts.
Even amateur athletes, however, must cope with serious contract difficulties. Given the enormous rise in money that may be gained in sports, athletes are sometimes forced to make difficult decisions. Some professional athletes get paid far more in a year than most individuals earn their whole lives.
Legal Obligations of Sports Agents
A duty of loyalty arising from agency law binds sports agents. The term "agency" is defined in common law as a fiduciary connection between a principal and an agent in which the principal openly or implicitly permits the agent to operate on their behalf to enter into contractual agreements with third parties.
Because of the fiduciary nature of the relationship, agents owe specific obligations to principals, such as loyalty, good faith, sincerity, full disclosure, abstaining from self-dealing, operating with rigorous integrity, and exercising reasonable care and all required skill to promote the principal's interests. However, specific obligations vary depending on the jurisdiction and the terms of the agency agreement. Agents who violate their fiduciary responsibility may be held financially accountable for all losses caused by the principal due to the violation.
Role of Lawyers and Agents in Professional Athlete Contracts
When it comes to acquiring and negotiating contracts for professional athletes, sports agents play an important role. Lawyers who work with athletes often receive training in the principles of contracts and should be aware of how much their clients are currently worth compared to other athletes competing in the same sport. To secure deals for the athlete, it should be highlighted that neither employing a lawyer nor an agent is necessary.
For several reasons, including needing to pay commissions or other expenses connected with the representation, some athletes choose not to work with an agent. Athletes' contracts fall under the category of personal services contracts since they possess special talents, skills, and abilities.
A personal service contract cannot generally transfer to another party. The assignment of rights under a contract is the transfer of such rights from one party to another. Why is it impossible to assign a personal service contract? An athlete has special skills. Peyton Manning, for instance, was not permitted to transfer his contract to another player. His skills are very exceptional. Such a task would not be honored by the team owner. However, there are exceptions to this rule, such as trades or transfers between teams.
Player-Agent Relationship
Since the player is occasionally so preoccupied with his sport that he doesn't have time to negotiate the contract and handle everything, the player-agent interaction is important in sports contracts. The terms of the contracts might occasionally be confusing to the athlete as well. In that case, the player needs someone they can rely on to look at and handle their business ties.
- Player: A player is a person who actively engages in any endurance-based sport.
- Agent: An individual with a fiduciary connection with a player is called an agent. An agent negotiates contracts for professional players, manages funds, and manages public relations.
Why Sports Contracts Are Different
Even while conventional contract rules apply to sports contracts, these agreements are frequently so significant to the league or community that each has a strong financial and emotional stake in their team's success. Of course, not all sports have the same level of popularity and support from the general population.
Principles of General Contract Law
A legally binding agreement is a contract. The agreement of the parties is reflected in a contract. The same contract formation principles apply to sports contracts as to any other employment arrangement.
For a contract to be enforceable and legally binding, certain factors are required:
- An agreement between parties who are competent
- Founded on the parties' mutual consent;
- Backed by consideration;
- To achieve a legal object;
- In the manner prescribed by law.
Express contracts are the norm in sports contracts. Any agreement between parties demonstrated by their spoken or written words is said to be expressed. While rare, there are implied contracts in the sports industry. Implied contracts are where one parties’ behavior and actions serve as proof of the contract.
The Contract is said to be ambiguous when it is unclear what the party's intentions were, and there is room for more than one fair interpretation. Sometimes the introduction of prima facie evidence helps clarify vague language.
The principle that an unclear contract is read against the person who drafted it is also upheld by courts. The side that did not draft the Contract will, in other words, be given the benefit of the doubt.
Categories of Contracts
Three broad categories may be used to classify sports contracts:
- Contracts for professional services
- Contracts for appearances
- Endorsements Contracts
Individual Contracts Against Team Contracts
Professional athletes often sign a conventional Player's contract when they join a team. He typically has the same Contract as the rest of the squad, except for compensation, bonuses, and the right to renegotiate.
Contracts in Sports Industry
Similar to the contracts we see daily, sports contracts are agreements between two or more parties that legally bind them. Generally, a contract in the sports sector is made between a player or athlete and a sports organization or agent. It outlines the duties and rights of the many players in the professional sports industry.
Oftentimes, a sports contract is a written or verbal agreement between the parties to enter into the terms of the Contract through an offer, acceptance, and consideration of the Contract. However, implied contracts may still be recognized and enforced in certain situations, such as when there is a longstanding relationship or course of dealing between parties.
Why Hire a Sports Lawyer
Specifically, sports attorneys who are also admitted to the bar practice contracts, intellectual property, negotiations, litigation, and similar areas of law. Whether you are a sports lawyer or a generalist lawyer depends on your clientele and the cases you handle for them. Legal professionals must adhere to high ethical and professional standards, and those who do so risk being disciplined or disbarred.
One of the most specialized attorneys in the complex sports industry is the sports lawyer. Sports lawyers support professional athletes in all facets of their careers, including contract negotiations, litigation, and marketing.
The sports attorney manages all aspects of an athlete's life, including commercial growth, social media, and sponsorship opportunities. An athlete is a commodity with many stakeholders from the start, all of whom have different goals and ambitions for their brand.
In addition to understanding what makes a successful business work, the lawyer must also be able to negotiate with many stakeholders, move about in that ecosystem, and make choices on behalf of his clients.
Key Terms
- Negotiation: A negotiation is a strategic discussion that involves two or more parties that resolves an issue in a way that each party finds acceptable
- Endorsement: An endorsement is an amendment or special clause to a document or contract, an authorizing signature, or a public declaration of support. Specific types include insurance, signature, and license endorsements.
Conclusion
A lawyer for a sports agency contract is crucial because a player interacts with executives and other associated decision-making entities. When teams participate, they acquire the mindset of all other auction participants. An arbitrator or judge will not determine the fair market worth of free agents. It has more of an impact to prepare a presentation that explains how a particular number is justified than it does to request one. Get your contract secure with a ContractsCounsel with complete guidance.
Meet some of our Sports Agency Contract Lawyers
March 29, 2024
Charles D.
I have practiced civil law for 13 years and have concentrated my practice serving the construction and real estate industries.
April 8, 2024
Steve H.
Steve has 20+ years of IP and litigation experience, including 10+ years of experience at two of the most prestigious large U.S. law firms, Greenberg Traurig LLP, (AMLAW 10) and Sheppard Mullin LLP (AMLAW 100). Steve has been a licensed U.S. Patent and Trademark Office registered attorney and litigator since 2002. Steve’s extensive experience and interpersonal skills have given him the skills that allow him to provide his clients with the very best quality and service. Steve has successfully represented clients achieve their goals in a variety of IP, patent, trademark and trade secret disputes. He has successfully obtained many hundreds, if not over a thousand, valid and enforceable U.S. and international patents and trademarks applications for his clients over the years. As a result, he has strong, longstanding relationships with many of the Examiners at the USPTO and works with an international team of foreign associates to secure foreign rights and litigate abroad whenever needed. Many of Steve’s clients have been a client of Partners Law Group for 5+ years. More than a few have been clients for 15+ years. Steve prides himself on providing accurate results and efficiency-driven advice on complicated IP, litigation, and real estate matters in a clear and concise way; helping his clients make the best decisions possible when dealing with complex and sensitive legal matters. Steve has successfully negotiated hundreds of complicated licensing and pre-litigation IP, patent, trademark, business, real estate cases and matters for various clients large and small. Steve’s IP practice focuses on all aspects of intellectual property and covers various technical disciplines. He has extensive experience in medical devices, pharmaceuticals, internet or business methods and processes, broadband and 5G technologies, data acquisition, migration, monitoring and protection, piracy, nutritional supplements, sports and nutrition products, herbal products, pharmaceuticals, orthodontics, and surgical procedures and devices, health-related products to computer hardware and software, music, and mobile device applications, hardware and software, business methods, industrial machinery, mechanical devices to other technologies he understands and believes he can help the client achieve his or her goals.
April 10, 2024
Gordon F.
30+ Years counseling clients in entertainment, media and the arts and representing them in transactional, structural and strategic matters.
April 17, 2024
Eugene S.
I have experience with the protection and monetization of intellectual property, negotiating license agreements that have earned several hundred thousand dollars in revenue, and I have negotiated multiple multi-million dollar agreements. Additionally, I have worked with various client to incorporate intellectual property strategies into their underlying business plans. I have been working remotely for over seven years and I have a home office dedicated to my work. I am available to travel to clients on an as needed basis. I enjoy working with clients in this manner because the costs are reduced, and I have the freedom to travel to my clients as needed.
April 11, 2024
Kelly C.
Hello! I'm an attorney who practices mainly landlord/tenant law (eviction, both plaintiff and defendant side); and criminal law (misdemeanor). I also work as appearance counsel to fill in at hearing when conflicts arise for other lawyers.
April 11, 2024
Kevin A.
Since 2005, I have been practicing commercial real estate law. I have worked for AM 100 Law firms and highly respected in-house corporate real estate legal departments. I come with a broad array of experience and can get on the ground running immediately. I pride myself in the quality and efficiency of my work product.
April 15, 2024
Song L.
In her professional life, Song Lo brings in a depth experience as general counsel to various companies and organizations in business and the real estate arena. Over the last 26 years, she has advised both companies and individuals in the areas of corporate investments, real estate development and contracts across multiple markets.Song has extensive experience in understanding how the law impacts companies wherever they might be in their age and stage. Important to investor and entrepreneur efforts, she has advised in the acquisition and transfer of shareholder stocks and assisted in the restructuring of private companies. Her specific areas of expertise are in corporate organization, mergers and acquisitions, employment, investments and real estate development. Specifically in real estate, Song participated in all aspects of development including pre-development and successfully gaining entitlements necessary for residential, senior housing and commercial projects. She holds experience both as legal counsel and as co-developer of real estate development projects. She was an owner and developer of senior cooperatives in Minnesota, with the LifeStyle Communities Group, promoting innovation and active living for all seniors. And, she brings all of this experience to the table at Raven Enterprise Group and RJP Development to enhance and support its services to consult and develop meaningful real estate development projects.
Find the best lawyer for your project
Browse Lawyers NowQuick, user friendly and one of the better ways I've come across to get ahold of lawyers willing to take new clients.
View Trustpilot ReviewHow It Works
Business lawyers by top cities
- Austin Business Lawyers
- Boston Business Lawyers
- Chicago Business Lawyers
- Dallas Business Lawyers
- Denver Business Lawyers
- Houston Business Lawyers
- Los Angeles Business Lawyers
- New York Business Lawyers
- Phoenix Business Lawyers
- San Diego Business Lawyers
- Tampa Business Lawyers
Sports Agency Contract lawyers by city
- Austin Sports Agency Contract Lawyers
- Boston Sports Agency Contract Lawyers
- Chicago Sports Agency Contract Lawyers
- Dallas Sports Agency Contract Lawyers
- Denver Sports Agency Contract Lawyers
- Houston Sports Agency Contract Lawyers
- Los Angeles Sports Agency Contract Lawyers
- New York Sports Agency Contract Lawyers
- Phoenix Sports Agency Contract Lawyers
- San Diego Sports Agency Contract Lawyers
- Tampa Sports Agency Contract Lawyers
Contracts Counsel was incredibly helpful and easy to use. I submitted a project for a lawyer's help within a day I had received over 6 proposals from qualified lawyers. I submitted a bid that works best for my business and we went forward with the project.
View Trustpilot ReviewI never knew how difficult it was to obtain representation or a lawyer, and ContractsCounsel was EXACTLY the type of service I was hoping for when I was in a pinch. Working with their service was efficient, effective and made me feel in control. Thank you so much and should I ever need attorney services down the road, I'll certainly be a repeat customer.
View Trustpilot ReviewI got 5 bids within 24h of posting my project. I choose the person who provided the most detailed and relevant intro letter, highlighting their experience relevant to my project. I am very satisfied with the outcome and quality of the two agreements that were produced, they actually far exceed my expectations.
View Trustpilot Review