Sponsorship Agreements Within The Sport Industry

Sponsorship Agreements Within The Sport Industry

Sponsorship agreements often offer exclusivity over certain products. For example, MasterCard was the official sponsor of the 2006 World Cup tournament in Germany, so if you wanted to buy tickets for the event, you could only use a MasterCard. A corporate sponsor of a sporting event usually receives exclusive use of the trademarks and marks associated with the event. The organizer of an event must implement an extensive rights protection and enforcement program to ensure that other companies do not violate these rights by using the trademarks or similar marks, which may make the public believe that they are an official sponsor of the event. To date, sponsors have acted patiently and silently to request discounts or refunds of sponsorship fees from their sponsors. However, it is only a matter of time before such demands are put on the table and, therefore, commercial and legal discussions begin. From a legal point of view, Spanish contract law (civil law system) provides the promoter with mechanisms to readjust the financial terms of the sponsorship contract, ranging from the moderation of the sponsorship fees to be paid to a possible early termination of the contract. In other countries, such as the United States or Great Britain (common law system), the scope of the concept of force majeure and court jurisprudence is essential. Regardless of jurisdiction or country, it is necessary to review the Sponsorship Agreement and understand the spirit of such an agreement, in order to assess a potential successful claim of the Sponsor or to protect the Sponsor from claims. However, this has been the subject of much criticism from a German consumer organisation. Therefore, many organisers who have similar agreements with credit card sponsors will authorise other means of payment in order to avoid conflicting with Article 81 EC, which prohibits anti-competitive agreements. Brands and companies from a wide range of sectors (e.g.

B betting companies, beverages, telecommunications, etc.) seek sports sponsorship as an important marketing tool to associate and promote their values and products or services with events, teams and athletes. However, for some of these categories of sponsors, 2020 is a blow and significant losses are expected, such as airlines. B, public tourism agencies or even betting companies. Sponsorship reports are mixed: some suggest that Covid-19 will not impact current sponsors, but only how their rights will be activated; while other reports are much more pessimistic. Sponsorship of management bodies: Some companies sponsor a sports federation, for example Adidas is the sponsor of FIFA. This means that all FIFA garments are made by Adidas and the logo appears on promotional material. This leaves a large number of questions unanswered and one of them is of particular importance as to how sports sponsorship is concerned. Sponsors are an important representative of the sports industry in Spain and the United States. Their choice of behaviour will therefore certainly have an impact on the short- and medium-term future of the sports industry due to the economic importance of these revenues for events, teams and athletes. Athlete Sponsorship: Many unique players and athletes will attract different types of sponsorship.

For example, only one footballer will be provided by the sponsor – as part of the sponsorship contract – with the necessary sports equipment, such as football boots and jerseys (the tools in his field). Since sponsorship contracts in the sports sector exist only for a specific period of time (e.g. B a certain number of seasons for a club or player or for the 4-year Cycle of the World Cup for a body like FIFA), it is often preferable to include a right to renew the contract. In some cases, this may give rise to litigation.

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