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AGENTS. Issues Discussed. Conflicts with Players Illegal acts during representation Negligent representation Breach of fiduciary duty Conflicts of Interest Recruiting of college players Enforceability of fraudulently back-dated contracts Criminal penalties Tort remedies
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Issues Discussed • Conflicts with Players • Illegal acts during representation • Negligent representation • Breach of fiduciary duty • Conflicts of Interest • Recruiting of college players • Enforceability of fraudulently back-dated contracts • Criminal penalties • Tort remedies • Regulation of Agents
Dissatisfied Players’ Claims Against Ex-Agents • Seek to avoid hefty commissions • Zinn: standard is reasonable care, not desired result • Key: commission claim is voidable by the player if the agent has acted illegally in terms of non-compliance with regulatory schemes • Note “legal malpractice” claims rare • Why are there so few negligent representation claims? • Should the law make this an easier claim to make? • Should the Players’ Associations do more to police incompetent representation?
Handling the Client • Steve Bartkowski selected in '74 as the #1 pick of the NFL draft by the god-awful Falcons; on draft day, Bart announces that this is a dream come true... he would play for free in the NFL ... he wouldn't think about the WFL; agent fails to pursue WFL offers and can't get close to decent offer from Falcons • What should the agent do?
2/ Negligent Representation • Why was Bob Woolf potentially liable for advising client to sign with rival league, while Howard Zinn was not liable for advising client NOT to? • What result today if an NFL agent acted as Woolf did? • Are the PA regs sensible? • Why should agents get fees for contracts at union scale? Should some players hire contract lawyers at hourly rate instead of agents? Who? • Is there a fairer way to compensate agents for prepping rookies?
Lions v Argovitz • Would contract be enforceable if Argovitz had fully explained conflict to Sims? • Agree with the court that the key breach of duty was failing to seek a final offer from the Lions?
Modern Conflicts • Closer, and more realistic issue, is conflict in representing multiple athletes, especially in sports with salary caps • Is abuse of this situation a serious problem? • How do ethical agents handle these conflicts?
Recruiting • Contrast baseball with basketball/ football • Do football/basketball players have too little time to make informed judgments? What could be done to improve agent-selection decision-making?
Walters v Fulwood • How are disputes arising under NFL agent-player contracts supposed to be resolved? • Why did the judge not follow the contract’s dispute resolution terms? • What is the basis for concluding that the entire transaction was an “illegal contract”? • What is the basis for holding that violating NCAA rules is contrary to the public policy of the State of New York? • What is the pre-existing contract that the judge finds was breached by Fullwood’s agreement with Walters? • Do you agree that this behavior offends your own sense of public policy? Other than causing NCAA problems for schools, what is wrong with cash inducements?
Cash Inducements • Other than causing NCAA problems for schools, what is wrong with agents providing cash inducements to players?
Sleazy Agents and Mail Fraud • Under government’s theory, who was victimized? • Who was the principal defrauded, and who was the co-conspirator?
Agent Regulation • Who are the victims of agent misconduct? • What is the social problem that the Uniform Act and SPARTA are trying to solve?
If time permits … • Continue discussion of college player uniionization