June 8, 2020
Law 360 Sports and Betting
In an article published in Law360 Sports and Betting on June 8, attorneys Jay Fee and Katherine DeStefano discuss the rights and benefits corporate sponsors have now from a legal perspective as sports resume and how sponsors can protect themselves should there be a new widespread outbreak of COVID-19. Specifically, the authors ask:
1. What sponsorship assets and benefits originally included will still be available and valuable to our business once play resumes?
2. Can this agreement, as structured, still materially assist our business in achieving its objectives and generate the return on investment envisioned when the sponsorship began?
“Answering these inquiries will depend on the outcome of a joint legal and business analysis. From a legal perspective, it would be useful to review provisions such as grounds for termination, force majeure, suspension of performance, substitution for unavailable benefits and adverse material change, to determine if such clauses still reflect the intent of the parties going forward for the balance of the term,” Fee and DeStefano explain.
“The challenges of this global pandemic remain formidable; however, stakeholders in the sports industry now have an opportunity to adapt sports sponsorships to the new normal in creative and meaningful ways,” the authors write.
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