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  • “America’s Team?” More Like America’s Most Valuable Team

    For the sixth year in a row, the Dallas Cowboys have topped Forbes’ Most Valuable Sports Teams list for 2021. At $6.92 billion, the Cowboys exceeded their 2020 net worth by almost half a billion dollars. Many compare the franchise to Fortune 500 companies due to owner Jerry Jones’s business prowess, including creating partnerships outside those of the NFL, as well as opting out of NFL merchandise deals in order to maximize profit. Jerry Jones’s story with the Dallas Cowboys began in 1989 when he bought the team for $150 million. Since then, Jones has only seen a return on his investment. According to his Pro Football Hall of Fame biography, Jones “became the first owner in NFL history to lead his team to three Super Bowl titles in his first seven years of ownership.” It’s no surprise that Jones has no plans on selling the team any time soon. During an interview with 105.3 The Fan, Jones spoke of how much the Cowboys mean to him: “I’ve sold a lot of things in my time but everybody has heard me say that this is not — these are my heart, this is my legs. This is what we’re about.” Jones’s continued investments in the Cowboys only continues to pay off — especially off the field. The Star, located in Frisco, Texas, is a 91-acre campus containing the Cowboys’ Headquarters and practice facility (opened in 2016). The Star District surrounding HQ is filled with retail, restaurants, and hotels, drawing crowds from all over the Dallas-Fort Worth metroplex. Another factor contributing to the Cowboys’ wealth are their broadcast rights. Sundays are constantly filled with a Cowboys game, with TV networks paying over $250 million to be able to broadcast games. AT&T Stadium, located in Arlington, Texas, replaced the Cowboys Stadium in 2009. The stadium boasts an 80,000 seat capacity, bringing in $100 million for the Cowboys. No matter what the previous season’s win record may have been, an empty stadium is never in sight for the Cowboys. The loyalty of Dallas Cowboys fans is definitely a factor in the wealth Jerry Jones has accumulated for the Cowboys. On the field, the Cowboys have seen less success. With no playoff appearances in the last two seasons and no championship win since 1995, the Cowboys have been pushing to match their on-field success to that off-field. With players like Dak Prescott, Ezekiel Elliot, Amari Cooper, and CeeDee Lamb, things are looking up for Dallas, even with their pricey paychecks: Dak Prescott signed a four-year deal worth $160 million while Ezekiel Elliot’s six-year deal is worth $90 million, and these are only two of their key offensive players. After Dak Prescott’s season-ending injury last year, the Cowboys were desperate for his return. Cowboys fans everywhere celebrated a moral victory after they ended their first regular season game against the Tampa Bay Buccaneers with only a field goal leading to a loss in the last seven seconds. No matter their success on the field, the Dallas Cowboys will undoubtedly be financial superstars off the field for years to come. With the ability to increase their worth by almost half a billion dollars in the midst of a pandemic, the future can only brighten for the Cowboys’ pockets. As the season continues, we’ll see how their on-field success measures up.

  • The NIL Era Does Not Actually Disadvantage Small Sport Student-Athletes

    A major argument against allowing student-athletes to profit off their name, image, and likeness (“NIL”) that was made pre-Alston and is still (somehow) being made post-Alston goes a little something like this: allowing student-athletes to profit off their NIL is unfair and will not actually result in many student-athletes profiting because all of the available deals will go to student-athletes in high revenue generating sports (i.e., football and men’s basketball). Well, once again, that argument has been proven to be a losing one. SmartyStreets announced on September 21st that it would extend an offer to enter into NIL agreements with each and every one of the female athletes at Brigham Young University (“BYU”). Each and every one. The female student-athletes at BYU will have the opportunity to be compensated up to $6,000 by using their NIL and social media accounts to promote SmartyStreets to their fans and followers. Additionally, BYU’s female student-athletes will be compensated for appearing at SmartyStreet company events and activities. Since international student-athletes are currently unable to take advantage of NIL opportunities, the company decided to instead donate to BYU’s international student scholarship fund. (It is unclear in these cases if the international female student-athletes will be responsible for social media posts and appearances or whether they would even be allowed to under current NCAA rules regarding NIL and international student-athletes). Clearly, SmartyStreet sees the value in marketing through student-athletes in non-high revenue generating sports. With over 300 female student-athletes at BYU, this NIL deal could ultimately be valued at over $2 million total.[1] Another aspect of the broader NIL deal with BYU’s female student-athletes is that SmartyStreet committed to donating facility and equipment upgrades to BYU female student-athletes.[2] If I had to guess, more companies will start to structure NIL deals in the same manner where they partner with, for example, every female student-athlete at a university or maybe just a specific sports team at a university and also make donations to improve the quality of the facilities that those student-athletes use. On one hand, the investment in facilities is an investment in the student-athletes themselves – SmartStreets’ Founder and CEO Jonathan Oliver stated that part of their purpose was to “provide an additional spotlight on these athletes to create opportunities for them to build their personal and professional brands.”[3] On the other hand, the investment in facilities is an investment in any NIL sponsor’s own business – better facilities equals better performance which equals more visibility for the student-athlete(s) which thereby increases the value of the marketing and exposure an NIL sponsor receives through its NIL arrangement with a student-athlete. Motivations aside, these types of NIL deals where a company invests in the university and student-athletes themselves is a win-win. An aspect of this NIL deal that is a bit unclear, however, is how the NIL deal with BYU’s female student-athletes is being, as an attorney may colloquially say, papered. In SmartyStreet’s press release, the company stated that it was “entering into [NIL] agreements with all female student-athletes at BYU” and also referred to “NIL agreements with student-athletes.” But then the press release goes on to say that this opportunity had only been presented to BYU’s female student-athletes, which seems to imply that maybe there are still contracts to be signed. [4] Did SmartyStreets enter into a contract with BYU directly that will govern the obligations and compensation to BYU’s female student-athletes who agree to partake into compensable activities? If that is the case, the female student-athletes will have certain protections as third-party beneficiaries of the contract but would have less bargaining power to negotiate and restructure the initial contract offered by SmartyStreets based on their own individual concerns. Or did SmartyStreets make available to all of BYU’s female student-athletes an individual contract that the specific student-athlete could enter into with SmartyStreets directly? If that is the case, the female student-athletes have more protections as direct parties to such agreements, but the university may feel less protected or as if they have less control in managing the relationship between its female student-athletes and SmartyStreets. Or, behind door number three, there may have been two types of contracts sent out: one between SmartyStreets and BYU and another that SmartyStreets would enter into with BYU’s female student-athletes on a student-athlete by student-athlete basis. None of these scenarios even take into account how SmartyStreets and BYU will handle the contracting, if any, for SmartyStreets’ donation of facility and equipment upgrades to BYU’s female student-athletes. Contracting for NIL deals is only going to get more complex, placing more emphasis on the in-house counsel and compliance departments for universities to be involved early on and throughout NIL contract negotiations for its student-athletes, especially when a possible NIL sponsor wants to contract with large groups of student-athletes. This deal also leads us to what might be the next big NIL related question that universities will need to tackle – could some of these deals that are only made available to women, or only made available to men, impact Title IX based on the level of university involvement? [1] SmartyStreets inks deal with all BYU female student-athletes - https://www.smartystreets.com/blog. [2] SmartyStreets inks deal with all BYU female student-athletes - https://www.smartystreets.com/blog. [3] SmartyStreets inks deal with all BYU female student-athletes - https://www.smartystreets.com/blog. [4] SmartyStreets inks deal with all BYU female student-athletes - https://www.smartystreets.com/blog.

  • Breaking the Wheel: How Gable Steveson is Changing the NIL Game Forever

    BY: TOMMY SLETTEN Tick, tick, tick. Six-point-five seconds on the clock and “Golden” Gable Steveson pulled within one point of Georgia’s Geno Petrashvili in the Olympic Freestyle Heavyweight Gold Medal Match. The whistle blows. Both wrestlers come to their feet and reset. Steveson has one last chance to salvage a win. “Fake snap. Fake snap. Fake snap. Fake snap. Fake snap,” five times announcer John Smith calls as Steveson’s heavy hands rip the reigning Gold Medal winner’s arms off his body. “Fake snap, go get it, go get it, go get it,” Smith calls, even more excitedly as Steveson works his way around Petriashvili’s body, wraps his arms around, and pulls Petriashvili to his knees. Steveson looks up at the scorer’s table, motioning for a two-point takedown, to give him the win and the Gold Medal in his first ever Olympic appearance. The referee calls it. Steveson wins 9-8 at the buzzer, and runs to celebrate with his Olympic and collegiate coach, Brandon Eggum. Steveson, weighing in at 265 pounds, celebrated with his trademark backflip after confirming his spot as the Freestyle Olympic Gold Medalist. The win was nothing short of remarkable - Steveson entered the tournament unseeded in his first ever Olympics, knowing he would likely have to face two former Olympic Gold Medalists if he had any hope of claiming the Gold. But Steveson didn’t set out just to be another wrestler. He set out to be the best. And on his way, even if he wasn’t trying to: he was going to break the wheel for collegiate wrestling’s future. It’s no secret that Steveson has high ambitions: He wasted no time in flirting with the NFL. His hometown Minnesota Vikings even promptly replying, referencing the short-lived NFL career of former Gopher wrestler, UFC Heavyweight, and WWE Superstar Brock Lesnar. Because who wouldn’t want a larger than life Olympic Gold Medalist on the biggest stage in wrestling? Then came Steveson’s public courting of Dana White’s WWE, further connecting Steveson and furthering his path from finishing his collegiate eligibility. Because who wouldn’t want to see a powerful athlete facing up with the best of the best in the Octagon in brutal one-on-one combat? To add fuel to the fire, Steveson THEN visited University of Minnesota's football practice, where he was welcomed with open arms by head coach PJ Fleck. Steveson even told the Pioneer Press that Fleck had wanted Steveson to try out for the Golden Gophers and play defensive line. Because, who wouldn’t want to see the 265-pound blackflipping phenom compete at three-technique in one of college football’s most competitive conferences? And then, Steveson tweeted again, showing his interest with Vince McMahon’s WWE. Because who wouldn’t want to see Steveson wow the world with his performances in the ring as a showman? Steveson continued to tease fans about his future and what it held for him with appearances at WWE’s Summer Slam, meetings with Dana White, and at Gopher Football games. Lastly the question remained: What was Steveson to do? And the fact remained: Steveson had an additional year of college eligibility, the year after winning the NCAA Heavyweight championship. And Steveson couldn’t very well stay a college wrestler at Minnesota while pursuing other opportunities, could he? Typically, a collegiate athlete loses his or her eligibility when they are no longer an amateur athlete under the NCAA’s Bylaws under Article 12. Steveson dipping his toes into the NFL or MMA would violate that: Steveson holding a contract to be a professional athlete in their league would make him no longer an amateur athlete. But, Name, Image, and Likeness rules have changed the game. Football players have led the way with getting deals (Alabama quarterback Bryce Young even earning over one million dollars in collective NIL deals). On September 9, 2021, Steveson signed an exclusive Name, Image and Likeness marketing deal with WWE, reportedly worth more than any deal Young has. Under the terms of this deal, Steveson has unique flexibility to grow as an athlete and as a brand. WWE can pay for training and other services for Steveson while he retains his status as an amateur under NCAA rules. You can expect to see Steveson on the big stage with WWE as soon as possible, as long as it does not conflict with his NCAA career. Because of the WWE’s unique status as entertainers and “Stars”, Steveson will not be a professional athlete under the NCAA’s definition, like he would have had he pursued MMA or NFL opportunities. Steveson didn’t just break the wheel for himself: He did so for the future of collegiate superstars with big brands. Brock Lesnar successfully built a brand big enough to conquer collegiate wrestling, the NFL, the WWE, and the MMA. If Lesnar walked so Steveson could run, Steveson is backflipping so the future of wrestling can run. And Steveson isn’t just backflipping on to the scene for a hot second: He, and his brand, are here to stay. Tommy Sletten is third-year law student at Seattle University School of Law and President of the Entertainment and Sports Law Association. He can be found on Twitter @quarantommy

  • DAZN, BT Sport, and The Shifting TV Rights Landscape

    BY: EDVIN OLOF-ORS Reports are coming in that DAZN is interested in buying BT sports that would change the landscape of broadcasting, at least in the UK where Sky Sports and BT have been the two main actors on the scene. As a matter of fact, because of a cross-licensing agreement between Sky and BT has, Sky needs to approve this sale if it would ever become a reality.(1) DAZN started in 2016(2) and has quickly expanded its sports rights portfolio. It's been reported that DAZN in Italy paid €1 billion per year for the rights to Serie A, the top-division flight of Italian soccer in a deal that stretches for 3 years. (3). In July this year, DAZN announced that it will be the global broadcaster of the UEFA women's Champions League for the next 4 years (4). Last year, Sky Sports and DAZN secured the domestic rights to broadcast Bundesliga, the top division in Germany, in a deal worth €4.4 billion per season. In 2019, DAZN Canada acquired the rights for the English Premier League, the top flight division in England, in a 3-year deal. DAZN already owned the right to the UEFA Champions League and the UEFA Europa League in Canada at that point as well(6). Not only has DAZN acquired some serious sought sports rights, they have also expanded to countries such as; Austria, Germany, Switzerland, Japan, Italy, Brazil, Spain, Canada and the USA(7). It has been reported that DAZN is thinking about going global soon with plans to be available in over 200 countries worldwide(8). It is quite remarkable how fast DAZN has been able to grow from a small streaming operation to being a very serious and large actor in the sphere of sport broadcasting rights. It is not hard to recognize the similarities between DAZN and Netflix(9) considering how it has changed the media landscape. A consumer is no longer forced to pay for a TV package just to watch a few games per month when they now can easily pay a small monthly fee to DAZN instead. DAZN is owned by Leonard Blavatnik, the richest person in the UK with a £23 billion fortune who made his money in the oil and metal in Russia. Besides DAZN, the Ukrainian born billionaire also owns Warner Music(10). DAZN currently has around 15 million subscribers worldwide (reportedly, since it is a private company, they are not forced to disclose the exact amount) and it is believed that this number will keep growing in the coming years. While all of this seems impressive, DAZN was forced to borrow $1 billion from Blavatnik because of the Pandemic and it had $1.8 billion in losses in 2019(11). This could just be a strategy from DAZN to get as many attractive sports rights as possible to attract consumers that will later turn the red number black. The media landscape for sport is not always easy. For example, MediaPro, who owned the domestic rights for Ligue 1 and 2 together with BeIN Sports could not make the payments (they only lasted 4 months until they could not make the payments) needed for the rights because of the pandemic. It was a deal that was worth a staggering €814 million per year(12). A new deal was formed and it is reported that the French League will receive almost 50% than what was expected with the new deal in place(13). It is impossible to say what will happen in the future when it comes to sports broadcasting rights but it is fair to say that DAZN has been able to change the sports media landscape in the same way Netflix was able to change the landscape for movies and TV shows. Other companies caught on the Netflix wave and now it seems like every media conglomerate has its own streaming service, Disney+, HBO, Hulu, and Peacock just to name a few. It would not be surprising if we will soon another actor come to the scene to compete against DAZN in the world of sports streaming. If the deal between BT Sports and DAZN goes through, it will be the end of a decade long battle between BT and Sky in England and it may lead to more streaming consumers in the UK which might accelerate the competition when it comes to sports streaming Sources: (1)https://www.ft.com/content/8c0ffe51-3fee-4cd6-88ab-54401e62dada (2)https://media.dazn.com/en/welcome-to-the-dazn-media-centre-2/who-is-dazn/ (3)https://variety.com/2021/global/news/streaming-dazn-sports-europe-1234968092/ (4)https://www.dazn.com/en-US/news/soccer/dazn-confirm-four-year-deal-for-worldwide-uefa-womens-champions-league-rights/1tcboazoennya17beeh9oxfs5u (5)https://www.sportspromedia.com/news/bundesliga-sky-dazn-tv-rights-germany-value/ (6)https://www.theglobeandmail.com/sports/soccer/article-streaming-service-dazn-makes-english-premier-league-broadcast-deal/ (7)https://www.dazn.com/en-US/help/articles/where-is-dazn-available (8)https://www.sporttechie.com/dazn-streaming-platform-expansion-200-countries-territories/ (9)https://www.bloomberg.com/news/articles/2016-12-22/blavatnik-s-netflix-of-sports-targets-murdoch-s-sky-in-europe (10)https://www.bbc.com/news/business-57199171 (11)https://www.bbc.com/news/business-58219424 (12)https://www.sportspromedia.com/news/ligue-1-tv-rights-telefoot-lfp-mediapro-2020-canal/ (13)https://www.sportspromedia.com/news/ligue-1-tv-rights-canal-plus-mediapro-lfp/ https://www.theguardian.com/football/2020/dec/15/ligue-1-clubs-stare-financial-abyss-tv-deal-collapses-mediapro

  • National Soccer Federations are Playing Chess not Checkers

    The coronavirus pandemic has in many ways tested the regulations of sporting bodies and the Brazil vs Argentina World cup qualifier on 9/5 provided another example of how clubs and countries are struggling to cope. Just minutes into the Brazil vs Argentina World Cup qualifier in Brazil the unthinkable happened. A group of Brazilian government officials stormed the field to detain four Argentinian players. These players were Emilio Martinez, Emi Buendia, Giovanni Lo Celso and Christian Romero, who are all based in the UK. They were accused by Brazilian health authorities of defying Brazil’s health rules by lying to enter the country. People from the UK are not currently allowed in Brazil and the players entered via a flight from Venezuela. The game would end up being suspended altogether. There is even a chance it will not be replayed. Brazil also had its own player problems. Several of their players based in England simply did not make the trip. The reason actually has nothing to do with Brazil’s health regulations. The English Premier League stopped players from joining up with their national teams if it required traveling to countries on the British government's "red list," which triggers a 10-day hotel quarantine on return. While the appearance of the government officials on the field created drama and chaos, it is the action of the Premier League to stop players from travelling to play for their country that is of concern here. Due to the Premier League’s action, eight Brazilian players as a result were unable to make the trip to Brazil; these include Ederson, and Gabriel Jesus of Manchester City Fabinho, Alisson, and Firmino of Liverpool Raphinia of Leeds Fred of Manchester United Thiago Silva of Chelsea A huge uproar erupted in response. These weren’t just any international games, but key World Cup qualifiers in a South American region that is extremely difficult to qualify from. It was surprising that some sort of exception could not be made in this scenario. Fortunately, national federations are not helpless. In full, Annexe 1, Article 5 of FIFA's Regulations on the Status and Transfer of Players states: “A player who has been called up by his association for one of its representative teams is, unless otherwise agreed by the relevant association, not entitled to play for the club with which he is registered during the period for which he has been released or should have been released pursuant to the provisions of this annexe, plus an additional period of five days.” Several national teams invoked this rule against Premier League clubs. These included the Brazil, Chile, Paraguay, and Mexican Federations. At the time of the writing of this article, the Mexican FA withdrew their ban request. This allowed Mexican forward Raul Jiminez to be eligible for Wolves this weekend. Also, Fred of Manchester United was not named to the squad for tomorrow's game vs Wolves. It is being widely reported now that some premier league clubs are preparing to defy the ban and play their banned players anyway. If they go ahead with that rumored threat, I would imagine there would be some sort of penalty involved with that. This move from the federations was brilliant and shows the importance of having a comprehensive set of rules that regulate a sport. Imagine such a rule was not on the books. The national federations would have essentially been powerless and at the mercy of the Premier League. While all the national teams may end up withdrawing their ban requests, it is effectively a threat. It is a threat that should an alternative not be made during the next qualifying window, the Premier League clubs can count on these particular international players not being available for club games commencing after the international break. There is no doubt the league will want to avoid the chaos of the last week as club managers, league officials, plead with federations to withdraw their bans which must have made match preparation a nightmare. Hopefully, all players will end up being available for their clubs this weekend. However, with the importance of World Cup qualifying, I would be surprised if alternative arrangements are not made possible by the next international window.

  • Female Athletes to SCOTUS: Protection of Abortion Rights are the Protection of Our Rights

    BY: EMILY COSTANZO On Wednesday, December 1, 2021, the Supreme Court of the United States will hear oral arguments for the case Dobbs v. Jackson Women’s Health Organization. This case, one that will ring a bell in the minds of anyone who follows any type of news outlet, will consider the constitutionality of a Mississippi law which bans abortions after 15 weeks into a woman’s pregnancy. What does this case—one finding its roots all the way back in the landmark 1973 Roe v. Wade decision—have to do with sports? According to the over 500 female athletes who signed an amicus brief in opposition to the law on Monday, a lot. This group of athletes—one comprised of 26 Olympians, 73 professional athletes, 276 collegiate student-athletes, the players’ unions of both the WNBA and NWSL, the Athlete Ally organization, and more—argue that these infringements upon their right to legally receive an abortion have “broader Title IX implications” and cite a “direct connection between reproductive rights and gender equality.”[1] Some notable signees include, but are not limited to, Diana Taurasi, Megan Rapinoe, Brittney Griner, Sue Bird, and Breanna Stewart.[2] Though each of these women made the brave and empowering decision to sign, one signee chose not only to attach her name to the filing, but also her personal story. Crissy Perham, an Olympic swimmer who earned two gold medals for the United States, discussed her decision to receive an abortion during her time in college.[3] She stated, “I was able to take control of my future and refocus my priorities. I got better in school, I started training really hard, and that summer, I won my first national championship.”[4] To be sure, no woman—athlete or otherwise—makes the decision to receive an abortion lightly. However, as the language of the brief states, the opposition to this Mississippi law and those like it rests in the importance of “bodily integrity and decisional autonomy” for women’s bodies, careers, and lives at large.[5] When further examining the relevance of this decision to the world of female athletics, these signees highlight the correlation between women embracing the rights constitutionally afforded to them and the forward progression of the women’s game in all arenas. The brief states: “Women’s increased participation and success in sports has been propelled to remarkable heights by women’s exercise of, and reliance on, constitutional guarantees of liberty and gender equality, including the right to reproductive autonomy…Continued access to, and reliance on, those rights will empower the next generation of girls and women to continue to excel in athletics and beyond, strengthening their communities and this nation.”[6] In an era that is finally emphasizing the importance of women’s sports—be that emphasis through increases in televised competitions, improvements in labor contracts, greater opportunities to purchase gear or tickets, or equality in wages—we must not forget that these women will one day step off the pitch, or out of the pool, or away from the arena, and when that day comes, they, like every other woman that stands alongside them, deserve the right to make their own decisions about their bodies. As Megan Rapinoe so aptly states, “Physically, we push ourselves to the absolute limit, so to have forces within this country trying to deny us control over our own bodies is infuriating and un-American and will be met with fierce resistance.”[7] [1] https://www.usatoday.com/story/sports/2021/09/20/supreme-court-mississippi-abortion-law-women-athletes-warning/8418765002/ [2] https://www.washingtonpost.com/sports/2021/09/21/female-athletes-supreme-court-abortion-rights/ [3] https://www.si.com/wnba/2021/09/21/female-athletes-ask-supreme-court-to-protect-abortion-rights [4] Id. [5] https://www.usatoday.com/story/sports/2021/09/20/supreme-court-mississippi-abortion-law-women-athletes-warning/8418765002/ [6] https://www.washingtonpost.com/sports/2021/09/21/female-athletes-supreme-court-abortion-rights/ [7] https://www.si.com/wnba/2021/09/21/female-athletes-ask-supreme-court-to-protect-abortion-rights

  • Bail’s (Not) To Mendy

    BY: MICHAEL MILLSTEIN The concerningly long list of current athletes facing serious allegations of sex crimes has acquired a new member, Manchester City’s left-back, Benjamin Mendy. Since joining Manchester City from Monaco for a reported €52,000,000 ($61,342,580) in 2017, the French international has produced various headlines for his sumptuous play on the field.[1] However, for reprehensible conduct outside the lines, Mendy now finds his name cast in a poor light as he faces allegations consisting of four counts of rape and one count of sexual assault. The first three counts of rape stem from isolated incidents back in October of 2020, with the most recent allegation occurring just this past week.[2] Although three of the alleged victims are under the age of 18, the laws governing the age of consent in England and America vastly differ. England’s legislature has set the age of consent at 16, with no “Romeo and Juliet” clause. This means that a 27-year-old, like Mendy, can legally have sexual relations with a girl who is at least 16.[3] Nevertheless, to make matters worse for Mendy, who was previously out on bail, the new rape allegation has placed him in violation of the conditions of his bail. Now, he is currently remanded by British authorities.[4] With the police investigation now underway, Manchester City released a statement in which they informed the public that Mendy is suspended pending the outcome of the investigation.[5] In spite of his current suspension from the club, Mendy’s legal team still is pursuing a bail application so Mendy can at least handle these matters from the comfort of his home.[6] Mendy noted that being placed into police custody taught him a “tough lesson” and enlightened him on how to act going forward. In an act of good faith, Mendy offered to surrender €50,000 ($58,982) to the court and subject himself to electronic monitoring. Despite Mendy’s attempts at reconciliation, given the nature of the charges pending against him and his previous falters in adhering to bail conditions, district judge, Jack McGarva denied bail.[7] The judge reasoned that he simply cannot trust Mendy to not repeat the same course of action.[8] With Judge McGarva’s decision, Mendy spent a the coming weekend locked up, and remained behind bars until his next court date on September 10. Since then, the court has announced a trial date for Mendy, set for January 24, 2022.[9] Manchester City and manager Pep Guardiola have since turned to the veteran Ukrainian, Oleksandr Zinchenko to replace Mendy. However, a recent injury to Zincehnko has left City struggling to find a replacement, and they are having trouble scoring league goals as a result. With the transfer window set to reopen in January, if Manchester City either cannot get Zinchenko back healthy nor anticipate Mendy’s return if the charges are dropped, look for them to potentially target a new wing back to serve as Zinchenko’s understudy. An interesting target whose name I expect to circulate in the coming days is Atletico Madrid’s star Brazilian left-back, Renan Lodi. Lodi will not, however, come cheap. So, if City are looking to be conservative with their spending, they may inquire about either Napoli’s Mario Rui or Roma’s Matias Vina. Whether or not Manchester City pull the trigger on Mendy’s replacement is a decision that will have to be made prior to knowing his legal outcome, and the sports world will be excitedly awaiting the outcome. [1] Sky News, “Benjamin Mendy: Manchester City defender appears in court after being charged with four counts of rape and one of sexual assault.” Sky News, Aug. 27, 2021. https://www.skysports.com/football/news/11679/12392150/benjamin-mendy-manchester-city-defender-appears-in-court-after-being-charged-with-four-counts-of-rape-and-one-of-sexual-assault [2] Id. [3] “Children and the law.” NSPCC, Apr. 13, 2021. https://learning.nspcc.org.uk/child-protection-system/children-the-law [4] Benjamin Mendy, supra note 1. [5] “Club Statement.” Manchester City, Aug. 26, 2021. https://www.mancity.com/news/club/club-statement-63765586 [6] Josh Halliday, “Benjamin Mendy: footballer remanded in custody on rape charges.” Aug. 27, 2021. https://www.theguardian.com/uk-news/2021/aug/27/benjamin-mendy-footballer-remanded-in-custody-on-charges [7] Id. [8] Id. [9] Manchester City defender Benjamin Mendy to stand trial for rape in January, France 24 (Oct. 09, 2021) https://www.france24.com/en/sport/20210910-manchester-city-defender-benjamin-mendy-to-stand-trial-for-rape-in-january.

  • Houston, You Have a Problem: Oilers IP Belongs To Titans

    The Tennessee Titans will be celebrating their Houston Oilers roots during Week 3 of the NFL season at Nissan Stadium. As much as enraged fans, talking heads , and news outlets want their division rivals, the Houston Texans, to own the history of the city’s former franchise, it is, in fact, owned by the Titans - the original and owner of the name and trademark. For the uninitiated, the Houston Oilers moved to Tennessee in 1997 when the City of Houston would not greenlight a new home for the Oilers after several decades in the Astrodome. The Oilers relocated to Tennessee and spent the next couple of seasons in the Volunteer State as the Tennessee Oilers, before changing their name t the Titans. A name which moves away from one which is inherently Texas, to one which is more appropriate for “Athens of the South.” It is well established that there is a direct chain of custody from Oilers to Titans. This is not a situation akin to the original Cleveland Browns moving to Baltimore, becoming the Ravens and completely relinquishing the identity, while another franchise picked it up. The Oilers/Titans ownership group never abandoned the Oilers trademark. USPTO filings dating back to the 1970s show that Houston Oilers, Inc., who have offices in both Houston and Tennessee, have kept their trademarks active. There have been previous attempts by Texans ownership to lay claim to the Oiler name. Before settling on the Texans as a name, the ownership group in Houston petitioned to become the Oilers. However, it belonged to the owners, the Adams family, and it remained in their hands. The mark was never abandoned because it remains a business commodity for merchandising and other purposes. More importantly, they are owned by the people who created the mark, not by the city who did not try hard enough to keep the team around. The US Trademark system does not simply transfer ownership of marks because some feelings are hurt. The Titans have not donned the Carolina Blue and White since the AFL anniversary season in 2008, but for good reason. The league has mandated for teams to only have one helmet design for the season. However, Titans Majority Owner Amy Adams Strunk has said when the league adopts their new rule, which has been passed for upcoming seasons, the Titans will wear their originals in select games. When you see the 80+ former Oilers get honored in Nashville during Week 3 of the NFL season, know it is being done by the owners of the original “Luv Ya Blue” franchise, and not by an attempt at stolen history and IP.

  • Sports Law Program Spotlight: Oregon

    BY: LEVI LORENZ The University of Oregon boasts one of the most recognizable brands in amateur athletics thanks to Phil Knight’s sportswear giant headquartered just over an hour away on I-5. The Nike connection is why we never see the Ducks wear the same uniform twice, and it also distinguishes Oregon as the premier sports law school in the Pacific Northwest. It is not considered a “blue blood” to the likes of Tulane, ASU, and Marquette, but the NIL era may very well launch Oregon into that conversation. Despite only having a handful of professional sports franchises in the state (Portland Trailblazers, Portland Timbers), Oregon Law students have opportunities to work and network with attorneys and executives from two of the biggest athletic brands in the world. Nike and Adidas are both headquartered in the Portland area and offer summer internships to those interested in the business of sports. Want to work on contracts for Kanye? Oregon Law is the place for you. Sports-minded law students at the University of Oregon also have the opportunity to enroll in the Summer Sports Law Institute. This six-week program begins the first week of July and gives rising 2Ls and 3Ls a closer look into the industry, specifically; IP/licensing, antitrust, labor, Title XI, compliance, and international arbitration. In previous years, the program featured prominent figures such as Andrew Brandt, Gabe Feldman, and Timothy Davis hosting lectures and offering professional insights. The SSLI complements top-tier sports law curriculum taught by notable figures in the industry. Paul Loving is an experienced entertainment litigation attorney and currently holds a senior counsel position at the distinguished firm of Holland & Knight. He is rumored to have Snoop Dogg on speed dial and was acquainted with Phil Knight during his time at Nike. Rob Illig is a resident “sports law expert”; specializing in business acquisitions and contract law; Illig is amongst Oregon’s most prominent faculty when it comes to sports. According to 3L Summer Huber, President of Oregon’s Sports Law Club, these are just two of many knowledgeable and experienced faculty in the industry. Like most schools, Oregon’s athletic compliance office offers a wide range of internship opportunities for sports law students. If you’d rather get away from the University for a Summer, Oregon Law students have worked externships with virtually every type of athletic entity in the area such as the Portland Trailblazers, Seattle Seahawks, Nike (and Adidas), the Pac-12 Conference, and even Major League Baseball. So you’re interested in sports law but not sure where to begin? The Oregon Sports Law Club is a great starting point. Whether it’s hosting tailgates on game days, presenting guest lecturers who share insights about the international Court of Arbitration for Sport in Lausanne, Switzerland, or traveling to Los Angeles for an MLB arbitration moot court competition… The sports law club at Oregon spotlights an up-and-coming university with regional connections to any legal sports career imaginable. Many thanks to Summer Huber (3L, President of Sports Law Club) for providing information about the program.

  • Note to Business Student-Athletes: Don’t Forget Taxes

    BY: RJ CURINGTON The National Collegiate Athletic Associations and the National Association of Intercollegiate Athletics new name, image, and likeness (“NIL") rules allow student-athletes with thousands, and some with millions, of followers to profit off of the use of their NIL. Including through sponsorship deals to represent companies and their products while maintaining eligibility. Many lucrative NIL deals have already surfaced. A few months after enactment of the NIL rules and multiple lucrative NIL deals later, it’s safe to say that student-athletes can now be considered business-athletes, effectively making them entrepreneurs and small business owners. With the ability to now generate revenue comes great responsibility.[i] Business student-athletes will soon realize or remember that with income comes taxes, contracts need to be reviewed, and compliance is a concern to deal with. Students signing NIL deals should consider consulting with attorneys, accountants, and personal advisers.[ii] While smaller deals may be easier to navigate and simple enough to report on a 1040 tax form, that will become more challenging as the dollars increase.[iii] Further, since athletes are unlikely to be hired as employees, their taxes will not be taken out the way they would if the athlete was getting a regular paycheck. This is advantageous to get the larger gross checks and to have cash management potential. However, it’s disadvantageous if the athlete believes that check is all for them. Up to half or more could go to the IRS and their state.[iv] Business student athletes should consider that cash is not the only thing that is taxed. The “free” stuff, like a car, the products, or travel is taxed as well. These benefits are generally taxed at the fair market value, which creates even more issues as athletes can have taxable income without even receiving cash.[v] The companies write off all of the gifts on their taxes. The value of these items are usually income to the athletes too. In a cash payment for specific actions contract, the fees might be bundled for certain services, or listed as a dollar amount for each item from appearances, autograph signing, media posts, and endorsements.[vi] Merchandise allowances for services also are taxed, based on the value of the merchandise.[vii] The sponsor who wants the athlete to wear their gear is required to issue IRS Forms 1099 each year for the value of the gear. IRS Forms 1099 are sent in January for the prior calendar year. Federal taxes apply with a top rate of 37%. Additionally, state income taxes apply. But which state gets to tax this income, the athlete’s home state, or where he or she attends college? Income earned across multiple states generally requires filing multiple state income tax returns. An appearance in a nearby state could create a need to file a return for that state. Income will likely need to be apportioned to different states if the athlete lives in different states during the year. Another consideration is self-employment tax. The tax code imposes three different taxes on self-employment income: a 12.4 percent Social Security tax, a 2.9 percent Medicare tax, and a 0.9 percent Medicare surcharge tax.[viii] For 2021, the Social Security tax applies to self-employment income up to $142,000.[ix] The Medicare tax is imposed on an individual’s self-employment income, and the Medicare surcharge tax is imposed on self-employment income exceeding $200,000, or in the case of a joint return, $250,000.[x] Collectively, these three taxes make up self-employment tax. In most cases, athlete income is likely to be considered self-employment income. Besides the filing of annual tax returns, there is a compliance burden. There are quarterly estimates to make, so athletes pay into the IRS four times a year. Planning ahead is crucial so a business student-athlete doesn’t end up unable to pay their taxes. Business student-athletes should consider forming their own companies that in turn will get paid, and that will pay them. As a C corporation, S corporation or LLC, their entities may do much of the contracting, and they can open up added tax and other benefits.[xi] This new generation of business-athletes will need to make sure to keep track of their income and where it comes from. Additionally, they will want to keep track of all their expenses as those will help offset the income that they receive. Expenses such as travel, meals, phones, and internet are deductible if incurred as part of their business.[xii] New business student-athletes should consider the tax implications of their NIL endorsement deals which may require a full team effort. [i] Laird, P. Brent, STUDENT ATHLETES: NAME, IMAGE, LIKENESS, & TAXES https://kernuttstokes.com/industries/college-athletics-athletes/ (July 2021) [ii] Moody, Josh, Name, Image, Likeness: What College Athletes Should Know About NCAA Rules, US News, https://www.usnews.com/education/best-colleges/articles/name-image-likeness-what-college-athletes-should-know-about-ncaa-rules (Aug. 9, 2021, at 10:27 a.m.) [iii]Id. [iv] Wood, W. Robert, College Athletes Cutting New Name Image Likeness Deals Could Be In For A Tax Shock, Forbes, https://www.forbes.com/sites/robertwood/2021/08/30/taxing-college-athlete-name-image-likeness-deals/?sh=39575452c65a (Aug 30, 2021,11:40am EDT) [v] Laird, P. Brent, STUDENT ATHLETES: NAME, IMAGE, LIKENESS, & TAXES https://kernuttstokes.com/industries/college-athletics-athletes/ (July 2021) [vi]Id. [vii]Id. [viii] Wood, W. Robert, College Athletes Cutting New Name Image Likeness Deals Could Be In For A Tax Shock, Forbes, https://www.forbes.com/sites/robertwood/2021/08/30/taxing-college-athlete-name-image-likeness-deals/?sh=39575452c65a (Aug 30, 2021,11:40am EDT) [ix]Id. [x]Id. [xi] Laird, P. Brent, STUDENT ATHLETES: NAME, IMAGE, LIKENESS, & TAXES https://kernuttstokes.com/industries/college-athletics-athletes/ (July 2021) [xii]Id.

  • BREAKING: Mark Hunt Scores Big Court Win Against UFC and Dana White

    In 2016, former UFC fighter Mark Hunt sued the UFC, Dana White, and Brock Lesnar on the heels of UFC 200. Hunt claimed that the UFC and White, specifically, knew that Brock Lesnar had taken performance-enhancing drugs and let him fight anyway. Lesnar won the fight, but the decision was overturned when it was revealed that Lesnar failed a drug test. With that, Hunt alleged a slew of wrongdoings, including fraud, unjust enrichment, breach of contract, battery, and breach of the implied covenant of good faith and fair dealing. In 2019, the United States District Court for the District of Nevada dismissed the majority of Hunt's claims. All claims against White and Lesnar were dismissed. The only claim that remained was the alleged breach of the implied covenant of good faith and fair dealing. However, that claim was later thrown out after the UFC secured a summary judgment. Now, on September 24, 2021, the United States Court of Appeals for the Ninth Circuit brought the case back to life. The Ninth Circuit reversed the district court's dismissal of two of his claims: fraud and battery. The 2019 dismissal of Hunt's claims of unjust enrichment, racketeering, breach of contract, and breach of the implied covenant of good faith and fair dealing was affirmed. Still, this serves as a massive breakthrough for Hunt, as the district court will have to re-hear his claims for fraud and battery with new instruction from a higher court. As for the fraud claim, the Ninth Circuit held that Dana White's statement promising that Lesnar "will be the most tested athlete on this card" could form a basis for fraud as it was a false representation of material fact. While the district court felt that any damages arising out of fraud were too speculative (projecting Hunt's purse had he won and Lesnar not taken PEDs), the Ninth Circuit took a different route. The court envisioned damages through a different lens than wins and losses: withdrawal. Had Hunt known of the doping scheme, he claims he would have dropped out of UFC 200. With that, damages become a bit easier to discern, according to the court. This theory of damages is "far more susceptible to proof." As for Hunt's other revived claim, battery, the court hashed out the doctrine of assumption of the risk in sport. A battery is an intentional and offensive touching of a person who has not consented to the touching. Did Brock Lesnar commit a battery by fighting Mark Hunt in the octagon? Would the UFC be vicariously liable? The Restatement identifies assumption of risk as "[c]onsent to conduct that is merely negligent, creating an unreasonable risk of harm." In the NFL, for example, a running back cannot claim that a linebacker committed a battery after a routine tackle caused an injury. Athletes assume the inherent risks of the game. But did Mark Hunt assume the risk that he would have to fight someone taking performance-enhancing drugs? It's a question I look forward to the U.S. District Court in Nevada answering. The Ninth Circuit also reversed the dismissal of Hunt's civil conspiracy claim, as it is predicated on the fraud and battery claims. Conduct Detrimental will keep tabs on this lawsuit as it makes its way back to the district court on remand. It has been a busy year for the UFC and litigation. UPDATE: Mark Hunt caught wind of this article and posted the following on Instagram: The caption reads: "This was never about money 💴 and it never ever will be, if it was I would have made different decisions leading to this point. This was about a fair and even playing field for ALL fighters. Dana White, Lorenzo Fertita, Frank Fertita @ufc never ever gave me and many other fighters an even playing field to compete. The battle is back on and at least some justice has been served. UFC fighters are still fighting for peanuts 🥜 16 percent (shared) is nothing considering you are putting your life in the hands of another when you enter the octogon. A UFC belt should hold prestige but it’s worthless when fighters are cheating and it takes away the integrity of the sport. What do you think people??? I love seeing your thoughts 💭 good or bad 😎" Jason Morrin is a third-year law student at Hofstra Law School in New York. He is the President of Hofstra’s Sports and Entertainment Law Society. Additionally, he is a Law Clerk at Geragos & Geragos. He can be found on Twitter @Jason_Morrin.

  • In NIL, College Coaches Might Only Be As Good As Their Local Businesses

    When NIL came into effect, many people predicted there would be a plethora of “unintended consequences'' in the college athletics landscape as a result. While many agree that student athletes should’ve been allowed to profit off their name, image, and likeness long ago, there are a wide range of opinions on how NIL deals should be handled. Over the history of college athletics, we’ve seen schools like SMU, Miami, USC, and many others get busted for illicit payments to student athletes. Even today, you would be naive to think that high profile recruits don’t receive any benefits for attending a particular school. However, with NIL, some of these previously “under the table” payments can be made more overtly to the public eye. Some businesses have even gone as far as offering every single member of the roster a NIL deal. With the proliferation of these deals around the country, student athletes are obviously interested in where they can go to secure the biggest NIL deal. Alongside NIL, another recent development in the college athletics landscape has been the Transfer Portal. Previously, all football, men’s and women’s basketball, men’s ice hockey, and baseball players had to sit out a season if they transferred from their previous institution to another. However, this past Spring, The NCAA Board of Directors ratified a one-time transfer legislation allowing these athletes immediate eligibility. As a result, the combination of NIL and the one-time transfer rule makes life even more difficult for college coaches trying to manage their roster. One coach made that clear in a message last week. Sometimes, people criticize coaches for mincing their words and not expressing their real feelings towards a particular subject. However, longtime TCU head coach Gary Patterson didn’t fall into that characterization in a recent “NIL Open House” hosted by TCU. In his message, he encouraged local business leaders and TCU supporters to embrace the NIL era in college athletics. Patterson implied that if his players don’t receive sufficient NIL offers, they are likely to utilize the one-time transfer rule to find a school where they could cash in on deals. “We’re going to have to be up and running for my group by the end of November,” Patterson said, “or I have a chance to lose 25, 30 guys. That’s as plain and simple as I can speak of it.” Since July 1st, (when NIL came into effect) most coaches have skirted around questions about NIL and have stuck to talking about football, but Patterson’s honesty is refreshing because it’s the truth. At the end of the day, student athletes, just like any of us, will go where the most money is. Whether it’s a high-profile high school recruit or an established player already on a college roster, everyone will always be looking for a situation in which they’ll be better off. The fact of the matter is that if a school is unable to present their student athletes significant NIL offers, they will likely look to go somewhere that does. This new reality in college athletics is going to make a coach’s job to manage their roster extremely difficult. Even a coach as good as Gary Patterson can be undermined by a lack of support from local businesses. These days, coaches are often lauded and judged on how they develop their players’ talent. Patterson, along with Iowa State’s Matt Campbell and Northwestern’s Pat Fitzgerald are extolled for competing for conference titles with inferior talent in comparison to their peers. However, as important as development is, it’s extremely difficult to compete at the highest level consistently without an abundance of 4- and 5-star players on the roster. The ability to win relies just as much (if not more) on the ability to bring in talent than talent development and in game coaching. The correlation between annual recruiting rankings and on field success is obviously strong. A coach can have the best game plan and scheme for a particular opponent, but if the other team has better players, the game plan will often fall short. With NIL playing a huge part in the recruiting process now, I think coaches see it as a variable outside of their control that will have a huge impact on their ability to win. Their ability to set a culture, develop players, and effectively plan for games is still definitely important, but it might not be enough in today’s landscape. If a coach doesn’t have the support of local businesses willing to offer his or her players with NIL deals comparable to their competition, their on-field success will likely be negatively impacted. Along with the other traits we associate with good coaches, developing relationships with local business leaders might be just as important in the NIL era.

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