POSTGRADUATE DIPLOMA IN SPORTS MANAGEMENT

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POSTGRADUATE DIPLOMA IN SPORTS MANAGEMENT

• UCT
• 2007
• Andrew Breetzke
• BA LLB, PG Dip Sports Law

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INTRODUCTION

• Simon Barnes
• Rather meet Eric Cantona than .

WORLD CUP USA 1994 79m
WORLD CUP FRANCE 1998 135m
WORLD CUP KOREA 2002 1.18b
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INTRODUCTION - PERSPECTIVE

• Ryan Leaf San Diego Charges

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SPORTS LAW

• So what is sports law?

It is nothing more than the application of legal
principles to the field of sport. Law is a
fundamental part of every facet of life. It is
no different in sport.
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EXAMPLE
South Africa v All Blacks Newlands, Cape Town
WHERE DOES THE LAW PLAY A ROLE? CONTRACT/LEGISLATI
ON?
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SOME BASICS IN LAW
PUBLIC LAW The law applied between the state and
the citizens
PRIVATE LAW The law applied between citizens
EXAMPLE You drive through a red robot and smash
into a vehicle causing extensive damage. What
area of law applies?
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Legislation governing SA Sport

• National Sport and Recreation Act
• SA Institute for Drug Free Sport Act
• SA Boxing Act
• Prevention and Combating of Corrupt Activities
  Act
• Safety at Sports and Recreational Events Bill

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Rules and Regulations of Sporting Codes

• IRB
• FIFA
• IOC
• IAAF
• FIA
• etc
• Specific competition rules

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CONTRACT

• Vast majority of obligations in sport occur
  within the context of contract.
• Contract only binds those who are a party to the
  contract
• Failure to understand the law of contract is a
  fundamental weakness in many sports.

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REQUIREMENTS FOR A VALID CONTRACT

• AGREEMENT (Consensus) Without agreement there is
  no contract
• Unequivocal indication willing to conclude
  contract
• Must contain essential elements
• Offer and acceptance
• Errors

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REQUIREMENTS FOR A VALID CONTRACT

• CONTRACTUAL CAPACITY
• Person must have the capacity to contract
• Age major issue in sport

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REQUIREMENTS FOR A VALID CONTRACT

• LEGAL POSSIBILITY contract must not promote
  conduct contrary to public policy or unlawful.
• Eg provision of steroids
• Constitutional issues - Cloete

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REQUIREMENTS FOR A VALID CONTRACT

• POSSIBILITY OF PERFORMANCE must be possible to
  deliver on the terms
• Must be careful in sport
• Injured sportman?

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REQUIREMENTS FOR A VALID CONTRACT

• FORMALITIES In general law requires few
  formalities.
• Parties may agree to certain formalities
• Property transactions

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BREACH OF CONTRACT

• When a party breaches a contract, the other party
  has the option of
• Canceling the contract or
• Specific performance
• Damages (together with 1, or 2.)

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CONTRACTS Player Contracts

• Normal contractual terms apply
• Some unique elements in sport
• Employment, extent of services
• Compensation
• Exclusivity/other activities
• Physical condition/injury
• Rules and regulations behaviour

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ENFORCEMENT

• Team as against player
• Damages?
• Player against team
• Discipline/Fitness
• Can one claim specific performance?

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NB!

• Player contract are prevalent in professional
  sport
• There are numerous other forms of contract in
  sport, professional and amateur
• Do not think that because you are in an amateur
  code that contract is irrelevant

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CORPORATE GOVERNANCE IN SPORT

• What is it?
• System by which entities are directed and
  controlled
• Has become an important issue in sport.
• Masterbond, Fidentia, Leisurenet etc
• More of a problem in amateur codes

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CORPORATE GOVERNANCE

• Discipline
• Transparency
• Independence
• Accountability
• Responsibility
• Fairness
• Social Responsibility

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THE CLASSIC EXAMPLE

• SA RUGBY

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CONTRACTS AGENCY

• What is it?
• Principal, Agent, Third Party
• Very common in sport
• Be careful
• Authority most NB contract term
• Termination of authority
• NB remember that most sporting codes govern
  agency activities

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CONTRACTS AGENCY

• EXAMPLE AGENCY CONTRACT

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CONTRACT ENDORSEMENTS/SPONSORSHIPS/LICENSING

• Endorsements
• 2006 amount to 897m in 2006
• What is it?
• Sportsmen/women endorsing products
• Sports personalities with a profile?

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TYPES OF DEALS

• Equipment endorsements athletic shoes, clothing,
  bats, pads, gloves, golf clubs etc
• Equipment Licensing specific products linked to
  the athlete
• Non-Sport Equipment Endorsements clothing, food,
  drinks etc Non-Sport
• Licensing clothing, posters etc
• Group/Team Endorsements

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CONTRACT TERMS Endorsements

• Product involved
• Granting of individual rights of the athlete
• Compensation
• Behaviour/conduct
• Promotional activities

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LICENSING and SPONSORSHIP

• Sponsorship occurs where a specific trademark
  (corporate) is placed on a specific
  sports/sporting product. This is different to
  Licensing where a sports trademark is placed on a
  sporting/non-sporting/corporate product.

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SPONSORSHIP
AMBUSH MARKETING
Ambush Advertising occurs where the non-sponsors
take advantage of the status and popularity of a
specific sporting event. The important thing is
that at no time do these companies pretend to be
official sponsors of the event. The non-sponsor
can also get mileage out of an event whilst
paying a small percentage of what the sponsor
paid for exclusivity. It occurs most commonly
during the Olympic Games
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SPORTS INJURIES

• Public and players
• Public law issue and/or private law issue
• Insurance
• Private law Law of Delict
• One of the faster growing issues in sports law

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SPORTS INJURIES Delict (Wrongful Act)

• 5 Elements of Delict
• Conduct
• Unlawfulness
• Fault
• Damage/loss
• Causation
• Negligence is the most common ground upon which
  action is taken

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SPORTS INJURIES Negligence

• Failure to act with the duty of care expected of
  a reasonable person in that position.
• Smoldon v Whitworth
• Vowles v Evans
• Bolton v Stone
• Case Study
• Consent to injury
• Assumption of Risk

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NEGLIGENCE Be Careful

• Instruction and supervision in sport
• Facilities and equipment
• Emergency and medical care
• Travel and transportation
• Insurance
• Remember you have a duty of care

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EMPLOYMENT LAW

• Controversial role in sports law
• Remember it applies to all employees
• Administrators
• Players
• Employee vs Independent Contractor
• Legislation
• Employee is closely related to the product

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EMPLOYMENT LAW Issues

• Performance
• Employment law recognises performance and not
  form
• Nature of the Contracts
• Fixed term
• Permanent
• Victor Matfield

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EMPLOYMENT LAW Discipline

• As an employee subject to disciplinary
  processes
• Rules of Natural Justice
• Audi alterem partem
• Nemo iudex in sua causa
• Contractual requirements e.g. appearances,
  practices, behaviour etc

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NEGOTIATION DISPUTES in SPORT

• Most disputes in sport are resolved through
  negotiation
• It is the most important skill to acquire if you
  are working in this field
• Disputes and contracts
• Three phases
• Preparation
• Bargaining
• Closing

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Negotiation Common Elements

• Information
• Leverage
• Timing
• Goals and Expectations
• Type of Negotiation
• Plan of Action

PREPARATION

• Opening Offers
• Unanticipated events
• Tactics
• Concessions
• Impasse
• Contract Zone
• Deadlock

BARGAINING

• Agreement
• Implement the Agreement

CLOSING
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DRUGS and DOPING

• Doping is the use of an expedient (substance or
  method) which is potentially harmful to athletes
  health and/or capable of enhancing performance,
  or the presence in the athletes body of a
  prohibited substance or evidence of the use
  thereof or evidence of the use of a prohibited
  substance (IOC)

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DRUGS and DOPING Strict Liability

• Contentious issue
• Violation occurs when substance is found in
  athletes sample no other evidence is required
• Sanction is the inevitable consequence once
  offence established
• Is rebuttable by the athlete

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CASE STUDY

• Actual case, currently in litigation
• Two groups
• Plaintiff
• Defendant
• 15 min prep
• Present argument

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• Andrew Breetzke
• BA LLB
• PG Dip Employment Law
• 021 880 2361
• 082 823 7496
• andrew_at_dims.co.za