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Sports Law > Sports Law midterm > Flashcards

Sports Law midterm Flashcards

1
Q

Alternative Dispute Resolution (ADR)

A

A procedure for setting a dispute outside the courtroom. Most forms of ADR are not binding, and involve referral of the case to a neutral party such as an arbitrator or mediator

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2
Q

Amicus Curiae

A

Latin for “friend of the court.” It is advice formally offered to the court in a brief filed by an entity interested in, but not a party to, the case

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3
Q

Appeal

A

A request made after a trial by a party that has lost on one or more issues that a higher court review the decision to determine if it was correct. To make such a request is “to appeal” or “to take an appeal.” One who appeals is called the “appellant;” the other party is the “appellee.”

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4
Q

Brief

A

A written statement submitted in a trial or appellate proceeding that explains one side’s legal and factual arguments

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5
Q

Case law

A

The law as established in previous court decisions. A synonym for legal precedent. Akin to common law, which springs from tradition and judicial decisions

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6
Q

Class Action

A

A lawsuit in which one or more members of a large group, or class, of individuals or other entities sue on behalf of the entire class. The district court must find that the claims of the class members contain questions of the law or fact in common before the lawsuit can proceed as a class action

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7
Q

Common Law

A

Relies on the articulation of legal principles in a historical succession of judicial decisions. Common law principles can be changed by legislation

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8
Q

Damages

A

Money that a defendant pays a plaintiff in a civil case if the plaintiff has won. Damages may be compensatory (for a loss or injury) or punitive (to punish and deter future misconduct)

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9
Q

Precedent

A

A court decision in an earlier case with facts and legal issues similar to a dispute currently before a court. Judges will generally “follow precedent” - meaning that they use the principles established in earlier cases to decide new cases that have similar facts and raise similar legal issues. A judge will disregard precedent if a party can show that the earlier case was wrongly decided, or that it differed in some significant way from the current case

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10
Q

Procedure

A

The rules for conducting a lawsuit; there are rules of civil procedure, criminal procedure, evidence, bankruptcy, and appellate procedure

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11
Q

Statute of limitations

A

The time within which a lawsuit must be filed or a criminal prosecution begun. The deadline can vary, depending on the type of civil case or the crime charged

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12
Q

Tort

A

A civil, not criminal, wrong. A negligent or intentional injury against a person or property, with the exception of breach of contract

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13
Q

Venue

A

The geographic area in which a court has jurisdiction. A change of venue is a change or transfer of a case from one judicial district to another

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14
Q

Writ of certiorari

A

An order issued by the U.S. Supreme Court directing the lower court to transmit records for a case which it will hear on appeal

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15
Q

Antitrust Laws/Anti Competition Laws

A

Statutes developed by governments to protect consumers from predatory business practices by ensuring fair competition exists in an open-market economy

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16
Q

Arbitration Procedures

A

A contractually agreed to process. The process will be laid out in the contract between the parties (in sports often the CBA). This is a voluntary dispute mechanism that is mutually agreed to by the parties. It is a mandatory subject of bargaining

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17
Q

Collective Bargaining Agreement (CBA)

A

Agreement between management (the employer(s)) and a union (employees) that regulates the terms and conditions of employment

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18
Q

Copyright

A

The legal right that gives the creator of an original work (book, song, movie) the exclusive control over how their work is used

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19
Q

Patent

A

The legal right that gives the inventor exclusive control over their invention for a certain period of time

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20
Q

Trademark

A

Symbol, word, phrase, design that identifies and distinguishes the goods or services of one company from those of others (ex: Nike swoosh or coca-cola word)

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21
Q

Substantive Law

A

Law that defines rights, duties, and obligations of citizens and government

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22
Q

Procedural Law

A

Law that addresses the methods of enforcing rights and duties of substantive law

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23
Q

Public Law

A

Law that regulates relationships between individuals and the government. There are 3 types of Public Law: Criminal, Constitutional, and Administrative Law

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24
Q

Criminal Law

A

Law that identifies crimes and prescribes punishments

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25
Constitutional Law
Law that addresses issues pertaining to the Constitution, including the Charter of Rights and Freedoms.
26
Private Law (Civil Law)
Law that governs relationships between private individuals and organizations. There are many types of civil law including tort, contract, family etc
27
Contract law
Law that regulates agreements between people and/or organizations
28
Family Law
Law that regulates the relationships, rights and responsibilities of people in their family law. Examples include marriage, divorce, custody and access, adoption, etc
29
Wills and Estates
Laws that determine the division and distribution of property after a person dies
29
Property Law
Laws that govern rights, responsibilities and ownership of property
30
Employment Law
Laws that govern relationships and conditions in the workplace
31
Restraint of Trade
An action that interferes with free competition in the marketplace
32
Sherman Act - Section 1 violation has 3 elements
1. An Agreement 2. Which unreasonably restrains competition 3. And which affects interstate commerce
33
Common Law Test
Step 1. Plaintiff has to show restraint has significant anti-competitive effects; *if they can then... Step 2. Defendant can then put forward the pro-competitive effects of the restraint; *if they can then... Step 3. Plaintiff then to show that any legitimate, pro-competitive objectives can be achieved in a substantially less restrictive manner
34
Curt Flood case study
Curt Flood traded to the Philadelphia Phillies and he didn't want to go Reserve clause in baseball meant that teams could trade players anywhere without their consent Flood refused the trade and challenged the reserve clause in court and believed that players should have more freedom in where they work Significant because the reserve clause limited players to being locked to 1 team which limits your ability to earn money and seek out future opportunities. Flood lost the case but paved the way for free agency which gives players the most control possible
35
Licensing
To permit the use of something or to allow an activity to take place
36
Grant of Rights
Is it exclusive or not exclusive? What property/product(s) are being granted (everything? event specific? product specific? distribution channel specific? Territory?) Term Approval Rights Protection of Trademarks and Other IP
37
Sponsorship
A form of affinity marketing that provides certain rights and benefits to the buyer or "sponsor" Usually in conjunction with a property, venue, personality, or event Most often sponsors may use the images and logo of the partner and call themselves an official sponsor of the property Sponsorship is particularly effective when the sponsor and the property have similar goals, values and vision
38
Atlanta Braves Case Study
Atlanta Braves owned by Liberty Media Signed TV deal in 2021 worth $80M; worth as much as $120M in 2027 Total includes parking, concessions, MLB share Shows RSN and traditional TV is changing in the future and teams and media companies are needing to pivot
39
Ambush Marketing
A marketing technique in which advertisers work to connect their product with a particular event in the minds of potential customers, without having to pay sponsorship expenses for the event
40
What is in an SPC that is in a typical employment contract?
Compensation and Salary; Term and Duration; Duties and Responsibilities
41
What is in an SPC that may not be in a typical employment contract?
Guaranteed Salaries; Trades and Transfers; Salary Arbitration
42
What makes a contract guaranteed?
Agreed upon salary and benefits for the full duration of the contract
43
Do all leagues have guaranteed contracts?
Only the NHL, NBA, MLB have fully guaranteed contracts
44
What happens to pay in event of a lockout or strike?
No play, no pay
45
What is guaranteed in an NHL, NBA, MLB, NFL/CFL contract?
Base Salary; Signing Bonus; Salary if injured
46
What are bonuses?
Additional payments in a player's contract that are often guaranteed or conditional, depending on the league and contract structure
47
What are incentives?
Performance-based bonuses that players earn if they meet specific conditions outlined in their contracts
48
What bonuses or incentives can go into each leagues contract?
Signing bonus; Performance-based bonus
49
What does an agent do?
Represent players that are part of the league. They negotiate marketing deals, contracts, financial and legal advice,
50
Is an agent in a conflict of interest if they have multiple clients?
Yes because if the players are on the same team competing for the same position then negotiating the salary cap space the team has to offer might benefit one player and hurt the other
51
What are benefits of decertification?
No cap; No drafts; No max year contracts
52
What are the negatives of decertification?
No agent regulation No minimum salary No grievance process No guaranteed benefits (all individually negotiated)
53
Right of Publicity in CANADA
A right granted through the common law and/or state/provincial statute that allows an individual to control the commercial use of their identity
54
Krouse v Chrysler Canada LTD - Case Study
First recognized common law right of appropriation of personality in circumstances of unauthorized use of a likeness in association with commercial products
55
Athans v Canadians Adventure Camps LTD et al - Case study
Court recognized that despite no association between the public and Athans, the use of his photo caused him commercial loss
56
Joseph v Daniels - Case Study
Court clarified the classification of the misappropriation tort to be proprietary and not privacy. Protection provides an individual exclusive use over their own identity. To claim misappropriation of personality Plaintiff must prove Defendant took advantage of his name, reputation, likeness or some other component of the person's individuality associated by the public with their identity (not a property right)
57
Right of Publicity in USA
State based right which differs from other federally protected intellectual property rights (Trademarks, Copyright, Patents, Industrial Design) US Supreme Court acknowledged the right as a common law right in 1977 19 states recognize through an additional state statute 28 states recognize the right through the common law
58
Haelan Laboratories v Topps Chewing Gum - Case Study
Haelan Laboratories had exclusive contracts with baseball players to use their photos on trading cards Topps Chewing Gum ignored those contracts and used the players' images on their own cards Haelan sued, arguing that they had the exclusive right to use those images The court ruled in favour of Haelan, recognizing that individuals (like athletes) have a "right of publicity", meaning they can control and sell rights to their image This case was important because it confirmed that people (especially celebrities) can profit from their image and prevent others from using it without permission
59
Zacchini v Scripps-Howard Broadcasting Company - Case Study
Zacchini was a human cannoball performer TV station recorded and broadcasted his entire act without his consent Zacchini sued, arguing that this hurt his ability to make money because people could just watch it on TV instead of paying to see it live The US Supreme Court ruled in favour of Zacchini, saying that broadcasting his full act violated his right to control and profit from his performance This case is important because it established that the media doesn't have unlimited rights to use someone's performance if it harms their ability to earn a living
60
Comedy III Productions Inc v. Gary Saderup Inc.
Court develops transformative test to balance the plaintiff's right of publicity claim with the defendant's first amendment right to expression
61
Transformative test
Does the work contain a significant transformative element or is the value in the work derived primarily from the celebrity's fame?
62
NIL Collectives
Independent entities or groups that raise funds to provide college athletes with financial support for their NIL activities. They may work directly with schools, boosters, alumni to facilitate deals with athletes such as promoting products They have emerged post-NIL legislation which happened in 2021 to allow athletes to profit from their name, image, and likeness. It's also a revenue opportunity for college athletes
63
What is the transfer portal?
The transfer portal gives athletes the opportunity to seek out a different school if they are offering you a better spot on the team or more opportunity to earn NIL. More freedom for the athletes
64
When did Canada first set up the Collective Bargaining Agreement?
Adopted in Canada post-WW2 at provincial level (e.g., Ontario Labour Relations Act)
65
What does the CLC (Canada Labour Code) apply to
Broadcasting, telecommunications, chartered banks, postal services, air, road, and railway transport, shipping, navigation, military
66
What is the National Labor Relations Act in the USA?
Comprehensive model for governing workplace relations between employers and trade unions Legalizes union activity Unions certified by government agency to represent employees in a specified bargaining unit
67
What is a collective agreement?
Contract between the employer and the union that represents a bargaining unit. Collective agreements are only in effect for a defined period of time. They set out terms and conditions of employment, such as pay and leave, for employees in that bargaining unit
68
What is a bargaining unit?
Includes 1+ occupational groups that share a collective agreement and are represented by the same union
69
Mandatory bargaining
Wages, hours, benefits (health care, pensions), grievance, arbitration procedures
70
Permissive/Voluntary bargaining
Subjects that relate to the nature and direction of the business/industry, pensions for retired members
71
Illegal bargaining
Discriminatory practices
72
What are the 3 subjects of bargaining?
Mandatory, Permissive/voluntary, illegal
73
Is the union the exclusive bargaining agent for players?
Yes. They reserve the right to negotiate terms and conditions of employment. The union negotiates Collective Bargaining Agreements. The union serves as Players' collective bargaining representative in all aspects of their employment
74
What is the union's exclusive bargaining authority?
Right to negotiate collective bargaining agreements. The purpose of that is to aggregate individuals' bargaining powers The right and obligation to enforce the provisions of the Collective Bargaining Agreement. Individuals do not have individual contracts with their employer
75
What is labour arbitration
Exclusive method of contract enforcement Decisions of arbitrator final and binding Effect of this: provides access to enforcement for CBA rights, limited access to courts, limited rights of appeal
76
Collective Bargaining in professional sports
Represented by union that is exclusive bargaining agent for Players Union negotiates CBAs that establish terms and conditions of employment for all bargaining unit members Union administers the CBA for members Leagues serve as collective bargaining agent for Clubs (Players are employed by clubs) CBAs establish terms of Players' employment with Clubs CBAs establish rules governing relationship between Union and League
77
What are the differences with non-sports collective bargaining?
Clubs (employers) represented by the league CBAs establish framework for operation of Leagues Operation of and limitations on reserve rights, free agency, contract lengths, rookie deals, salary caps, revenue sharing
78
Are individuals permitted to negotiate certain terms of their employment
Yes they are
79
O'Bannon v NCAA - Case Study
NCAA was using college athletes players name, image and likeness in video games and not paying them. O'Bannon argued that the NCAA's rules, which prevented athletes from getting paid for their name, image, and likeness were unfair and illegal He said that the NCAA was violating antitrust laws by stopping athletes from profiting from their own identity The court agreed with O'Bannon, ruling that the NCAA's rules were anti-competitive, but instead of allowing full payment, it allowed athletes to receive a small share of money for their likeness used in video games This case changed the way college athletes were treated when it came to earning money from their image, eventually leading to the NCAA allowing athletes to make money from endorsements and NIL deals starting in 2021
80
House v NCAA
House argued that the NCAA's rules, which limit the amount of money athletes could receive in scholarships and benefits, were unfair and violated antitrust laws He claimed that the NCAA's restrictions created an unfair monopoly by limiting how much colleges could offer athletes in scholarships and other benefits The court ruled that the NCAA's rules were anti-competitive and violated antitrust laws because they kept athletes from receiving more benefits This case helped push for more freedom and opportunity for college athletes, contributing to the movement toward allowing college athletes to receive more benefits and compensation, especially in areas like scholarships and NIL rights
81
What 2 primary components were included in the May 2024 settlement by the NCAA?
Monetary Compensation: NCAA will distribute $2.8B in damages to current and former Division 1 athletes who participated since 2016. These payments are scheduled over a 10-year period, with annual installments of $280M Policy Changes: Member institutions are now permitted to directly compensate student-athletes. For the 2025-26 academic year, schools can allocate up to approximately $20.5M for athlete compensation, with this cap expected to increase in subsequent years.
82
MLB Salary Arbitration
More than 3 years and less than 6 years of service Player and Team present a number, arbitrator picks one or the other
83
NHL Salary Arbitration
Most players can file after 4 years Player and Team present a number, arbitrator can pick either number or any number in between
84
What role does the CBA play in NHL and MLB Salary arbitration?
Dictates if there is salary arbitration Dictates what evidence can be used Dictates entire arbitration process
85
What is Escrow?
Safe middle ground that makes sure the deal goes through as agreed
86
Why is Escrow needed?
Escrow creates trust, minimizes risks, and ensures that both parties fulfill their part of a deal, making it especially important in high-stakes or complex transactions
87
Is there a way to cap escrow?
Yes there is but it depends on terms of the agreement
88
NHL and NBA have escrow, why don't other leagues?
NFL and MLB have different financial structures that don't require escrow, relying more on things like bonuses, luxury taxes, and different types of revenue-sharing to manage player pay
89
What is the Jock Tax?
When an athlete plays a game in a city or state, they are required to pay a tax on the income they earn from that game or event
90
Court of Arbitration of Sport (CAS)
International arbitrator body set up to settle sport related disputes
91
Sports Gambling
1992 Congress passed PASPA (Professional and Amateur Sports Protection Act) which banned sports gambling in all states where it was not legalized prior to Act passing New Jersey challenged the constitutionality of the law. SCOTUS strike down law as unconstitutional in 2018. Doesn't make it legal in every state, but means each state can decide on their own
92
How did sports gambling become legal in Canada
Bill C-218 come into effect August 27, 2021 allowed for single game sports betting Ontario was the first province in Canada to legalize sports betting. Provinces have to enact their own laws

Sports Law (2 decks)

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