Esports Star Sues Team Over “Oppressive” Deal

One of the biggest star athletes in esports is suing his pro team FaZe Clan over what he calls a contract that is “oppressive, onerous, and one-sided.”

In the complaint filed in California Superior Court in Los Angeles, Turner “Tfue” Tenney charges that FaZe Clan, with teams competing games such as Call of Duty, Fortnite Battle Royale and Counter-Strike, has players sign gamer agreements so that it will “essentially ‘own’ Tenney and other content creator/streamers and professional gamers.”

Mike Snider of USA Today reports:

A popular streamer on YouTube and Twitch, Tenney, 21 years old,  signed an agreement with FaZe Clan when he was 20. He says in the suit that FaZe Clan takes up to 80% of revenue paid by third parties for Tenney’s services such as sponsored online videos.

Tfue, who recently qualified for the $30 million Fortnite World Cup Finals in July in New York, has more than 10.7 million followers on YouTube, more than 6 million followers on Twitch, and 5.5 million Instagram followers.

“Anti-competitive provisions” in the agreement prevent Tenney from pursuing other deals, the suit charges. FaZe Clan violates state law because it acts as a talent agency but does not have “the requisite talent agency license,” the complaint charges.

The esports organisation also forced Tenney to drink alcohol at parties before he turned 21, the suit charges. Tenney wants the court to void the contract with FaZe Clan and award any suitable damages.

“Until now, FaZe Clan has enjoyed the fruits of this illegal business model with impunity because no one could or was willing to stand up to Faze Clan,” the suit says. “Those days are over. Through this action, Tenney seeks to shift the balance of power to the gamers and content creators/streamers, those who are actually creating value and driving the industry. As a result of this action, others will hopefully take notice of what is going on and help to clean up esports.”

In response to the suit, FaZe Clan issued a statement that it had not collected any revenue from Tenner’s tournament winnings, Twitch revenue, YouTube revenue or any social platform during their partnership. “We’re shocked and disappointed to see the news of Tfue’s press article and lawsuit,” the statement said.

“In fact, we have only collected a total of $60,000 from our partnership, while Tfue has earned millions as a member of FaZe Clan. While contracts are different with each player, all of them – including Tfue’s – have a maximum of 20% to FaZe Clan in both tournament winnings as well as content revenue, with 80% to the player. In Turner’s case, neither of those have been collected by FaZe Clan. …  We’re proud of what we’ve accomplished together over the past year with Turner and will continue to support him.”

Such a suit “was a long time coming in esports,” tweeted Ryan Morrison, an attorney who specializes in esports and video games law. “The industry has shown little to no respect to actual labour or fair competition laws. Faze getting the blame for what has become industry standard. Repeated to death, but all players should have an agent and a lawyer.”

THE TICKET: “The Elders & The Entrepreneurs”

Sydney-based Tracey Holmes, a long-time reporter and commentator known for her forthright coverage of the sports business, does a podcast for the Australia’s ABC NewsRadio called The Ticket.

At the recent SportAccord in Gold Coast, Tracey was the emcee of the Opening Ceremony, and in the exhibition area, she conducted numerous interviews (see the photo) of delegates on all and sundry interesting topics.

List to her enjoyable overview of the big event here.

Rugby League World Cup 2021 Names Commercial Director

Jonathan Neill has been appointed as the Commercial Director of Rugby League World Cup 2021.

Neill will develop and implement the commercial strategy for RLWC2021 and lead the commercial department with responsibility for sponsorship/partnerships, broadcasting, hospitality, licensing, merchandise and domestic/overseas travel.

The role will include appointing, securing, managing and activating a range of partners to ensure that the RLWC2021 delivers a tournament which meets its strategic goals, including being the most attended and viewed Rugby League World Cup ever.

On his appointment, he said: “The vision and narrative of the RLWC2021 is built around engaging themes such as inclusivity, innovation, inspiration and legacy, which will all deliver a transformative impact.

“Our commercial strategy will be tailored to create meaningful, connected and sustainable partnerships that meet mutually beneficial objectives for the tournament and our partners.

“Across all areas of commercial there is a huge opportunity for organisations to partner with us, and join the likes of Unicef, Eversheds Sutherland and Deloitte who are already on board.”

Neill started his career at a marketing agency working on a variety of sports – one of which being rugby league.  After two Director level sponsorship agency positions, managing clients such as Aviva, Barclays, The World Rally Championship, Wrigley’s, QBE and The Co-operative, Neill moved to Barclays.

As Head of Sponsorship Partnerships and Relationship Management at Barclays, Neill was responsible for leading Barclays’ global sponsorship strategy and portfolio, including properties such as the Barclays Premier League, Barclays ATP World Tour Finals, The O2 and the British Museum.

For the last 18 months, Neill has been running his own consultancy that works with agencies, brands and rights holders across sport. He will start his Commercial Director position at the RLWC2021 on 1 July 2019.

Jon Dutton, Chief Executive at RLWC2021, said: “Jonathan brings a superb breadth of commercial experience and strategic understanding, and I am looking forward to him contributing to our shared goals for the tournament.

“As our new Commercial Director, Jonathan will actively contribute to RLWC2021’s values of being bold and brave, world class, authentic and inclusive, while working with existing and new commercial partners and suppliers to help deliver the biggest and best Rugby League World Cup ever.”

 

UEFA President: “Solidarity Means The Biggest Leagues Too”

In Budapest, facing a floor-to-ceiling window that offered sweeping views of the Danube, the river that flows through 10 European countries, Aleksander Ceferin paused for a moment to consider his words.

Tariq Panja of the New York Times reports:

Ceferin, a Slovenian lawyer elected in February to a second term as the leader of UEFA, European soccer’s governing body, has become accustomed to carefully tempering his comments, to steering clear of trouble in whatever he chooses to say publicly, but this month he knows his every word will be parsed even more than usual.

In the past week alone, UEFA has found itself fighting fires on three fronts. First, there was criticism of a behind-the-scenes effort to reshape the Champions League, club soccer’s most important competition and UEFA’s financial engine, by effectively excluding most of Europe from the tournament. Then came anger from England over the choice of Azerbaijan’s capital, Baku, as the host of next week’s Europa League final. But the loudest fury arrived on Monday, when the newly crowned English champion Manchester City learned, through a report by The New York Times, that it could be facing a Champions League ban related to an investigation into its finances.

Each problem sat squarely on the desk of Ceferin last week in his temporary office, a converted suite in a luxury hotel in Budapest. And each will test his ability to balance the competing interests of rich clubs and small leagues, to defend his integrity amid serious accusations from powerful interests, and to navigate a difficult moment for European soccer in which some are questioning UEFA’s ability — and even its willingness — to enforce its rules.

“Sometimes,” Ceferin said, “we forget how dirty this industry is.”

Ceferin, 51, is still relatively new to this world. The former president of Slovenia’s soccer federation, he emerged from obscurity to become one of the most powerful men in sports after a scandal removed his predecessor, Michel Platini, from office in 2015. Now three years into the job, Ceferin is facing perhaps the most crucial period of his tenure, and he knows the decisions he and UEFA soon will take could define the future of the European game for a generation or more.

The Champions League is perhaps the most significant issue, since the plan put forward earlier this month — proposed and favoured by a group of the biggest clubs from the richest leagues — could upend an already-frayed ecosystem in which resource-poor clubs risk being pushed further to the margins, and all but excluded from the continent’s elite tournaments.

The plans leaked after a meeting Ceferin and his executive committee held with a group representing Europe’s domestic leagues. The leagues denounced the plan, with the most vocal of their leaders, Javier Tebas of the Spain’s La Liga, darkly suggesting that UEFA had no interest in listening to stakeholders beyond a small cartel of top clubs.

Tebas’s reaction, according to Ceferin, was designed to stoke public anger. If so, it worked. Fans and commentators almost immediately took to social media to reject the proposal. Ceferin likened some of the loudest voices to a new breed of politicians who stoke anger to fuel their movements.

“Look,” he said, “one way of operating is shouting, ‘The rich will take everything!’ And this is typical of the populist shouting in European politics.”

“He’s loud,” Ceferin added of Tebas. “I think it’s part of his tactics to operate like that. But I don’t think it’s very productive.”

Neither Tebas nor anyone else, he noted, had proposed an alternative. And anyway, Ceferin insisted, nothing has been decided yet — except for the fact that matches in European competitions will not be played on the weekends, a guarantee that was announced Friday. The bigger clubs had sought those windows to maximize the attractiveness and value of Champions League games to broadcasters, even if it threatened to severely damage the marketability, and perhaps even the viability, of domestic leagues.

Ceferin was elected on a platform that championed support for Europe’s small- and medium-sized soccer nations, regions that have seen the power of their clubs eroded by the ubiquitous popularity of a handful of top teams and leagues whose televised matches are often more popular than the in-person domestic alternative. That influence is the real imbalance, Ceferin said.

While UEFA, which pays $240 million each year to Europe’s national leagues in so-called solidarity payments, the continent’s behemoths — the Premier League, Bundesliga and La Liga — pay nothing to their continental counterparts. Ceferin suggested that must change.

“Solidarity means not only solidarity from the UEFA’s side, but also the Big Five leagues who sell rights to the small countries and affect directly the revenues of the local leagues,” he said.

With so much at stake, and opponents circling, Ceferin’s personal conduct — particularly his close friendship with the Juventus president Andrea Agnelli, who helped draw up the Champions League restructuring plan — has come under scrutiny.

He says that he has heard the stories about how Agnelli arranged for Ceferin to take a spin in a Ferrari (Ceferin said that he has never sat in one); about the private jet trips on the Italian’s plane (they have never even flown commercial together, Ceferin said); and even the whispers about the motivation behind Agnelli’s decision to choose Ceferin to be the godfather to his six-month old daughter (Ceferin called it an “honour,” one that transcended soccer).

Still, the close relationship between the men and their families and his decision to accept Agnelli’s offer to serve as godfather at such a delicate time professionally has raised eyebrows in soccer circles, given the high stakes of the Champions League negotiations, with several officials privately raising the issue in recent weeks.

“Those rumours in football that are shared all the time are so illogical, and so stupid,” he added. “One day it is Agnelli is important, and he can influence everything because of my personal friendship with him. Next day P.S.G. is, because they are buying our rights. Then the third day we help only Real Madrid, and that’s why they were four times in the final.”

Meting out potential punishment to Manchester City is a different, and potentially more serious, problem for Ceferin and UEFA. City, a global billboard of sorts for the ruling family of Abu Dhabi, has vowed to defend itself to the bitter end in the face of a potential Champions League ban. If it succeeds in avoiding punishment, as Qatari-owned P.S.G. has done while facing similar accusations of violating financial controls, that could alter the balance of power in European soccer in an era of nation-state club owners.

Ceferin said he would not comment on the case while it is continuing, and besides, he added, it’s in the hands of an independent panel whose work he has no control over. But he rejected the suggestion that UEFA would shy away from sanctioning any club, whether it was an exceedingly wealthy one like Manchester City or a rich and well-connected one like P.S.G., whose chairman, Nasser el-Khelaifi, sits on UEFA’s executive committee at the same time he controls the organization’s broadcast partner beIN Sports.

“If you do it right, you don’t sell yourself, if you are not involved in any strange business, if you are not corrupted, then you go straight forward and be fair to anyone,” Ceferin said.

European Tour: “Innovation Is The Key To Standing Out In The Golf Market”

The major tours in the fragmented world of golf should be working together to grow the game commercially, according to Rufus Hack, Chief Content Officer of the European Tour and the Ryder Cup.

But one area where “there will always be a natural competitive tension” is the scarce resource of top players, he said in this exclusive interview with iSportconnect.

The European Tour (which actually plays in 31 countries, not only in Europe) has three windows in the year when it provides a viable alternative for players from the American PGA Tour.

And starting this year, because of changes in the PGA Tour calendar, it looks especially strong from September with a great line-up expected for the BMW PGA Championship from September 19-22 at Wentworth Golf Club in Surrey, where iSportconnect TV filmed this exclusive interview.

“It’s not a question of how we compete with the PGA Tour, but how we divide up the golfing calendar,” he said.

In the interview with show host Darran Phillips, he said the European Tour has made innovation the focus of its efforts to create a stand-out identity in a crowded market.

This can range from producing quirky short-form content, introducing new formats like Golf Sixes.

Rufus also talks about the opportunities of the Ryder Cup, whose last edition in France was a smash hit by any standards, with 600 million viewing households and 21 billion social impressions.

One of the greatest things that the event has going for it is that “it really matters to the players.”

Enjoy the interview from Wentworth, which might make you want to get your golf clubs out.

Hookit Rankings: Latin American Footballers Ride High In Interactions

Players from Spain’s La Liga – coming from Latin America – are the most numerous in the latest list of social media interactions among athletes from sports sponsorship analytics and evaluation platform Hookit.

Arturo Vidal (Barcelona and Chile), Marcelo Vieira (Real Madrid and Brazil) and Lionel Messi (Barcelona and Argentina) all appear in the top 10 for April, with Messi at number one.

The list also includes two players from another European league (watch the video to see which one) as well as two popular figures from the gaming world, including the person who ranks number two on the list.

CAS Chief Matthieu Reeb: “We Are Hearing A Different Case Every Day”

The volume of cases brought before the Court of Arbitration for Sport (CAS) has continued to grow year after year, and the Lausanne-based body, which sometimes hits the headlines with its decisions on disputes in sport, will be moving to larger premises to accommodate the rising workload.

In 1995, when Matthieu Reeb, the current Secretary General, joined CAS, it was hearing about 100 cases per year. That grew almost threefold after 2004, when FIFA recognised the authority of the court for a wide range of activities. Now the number is up to about 600 per year, and it will no doubt continue to grow.

“As long as dispute is related to sport, we are ready to take it on,” he said. “There only needs to be an agreement between the parties to recognise the jurisdiction of CAS.”

With a current staff of over 30 people, CAS will move from its current premiers to a wing of the Palais de Beaulieu in Lausanne when renovations are complete  in 2021.

Enjoy this exclusive iSportconnect interview.

PUMA Dresses AC Milan In Classic Stripes

Sports company PUMA and AC Milan present the new home kit, which takes inspiration from one of the club’s most successful years to celebrate the Rossoneri’s 120th anniversary.

The 2019/20 AC Milan Home kit celebrates the successes of 1969, with a bold and elegant design that honors the game-changing style of play the club demonstrated 50 years ago.

In 1969, AC Milan took centre stage in global football by winning their second European Cup in Madrid in May, before being crowned Intercontinental Cup champions in October. In the same year, for his personal performances, club icon Gianni Rivera won the Ballon d’Or award, becoming the first of six Rossoneri winners of the coveted prize.

The design features classic narrow Rossoneri stripes, and a black round collar for a modern interpretation of the classic 1960s AC Milan kit.

The jersey features PUMA’s dryCELL technology, a moisture-controlling technology that is incorporated into the material to draw sweat away from the skin to the surface, ensuring a dry interface on the body even during strenuous exercise.

The new shirt made its on-pitch debut on May 19 during the club’s final Serie A home fixture at the San Siro.

The home shirt is available all PUMA stores, AC Milan official stores (Casa Milan Store, Milan Store Galleria San Carlo, San Siro Store), sports retailers, puma.com, and store.milan.com.

Roland Garros Adds Ultra HD Option In German Markets

Tennis fans in Austria and Switzerland will be able to watch the French Open 2019, which starts today in Paris, in Ultra HD.

Swisscom TV in Switzerland Austria’s LIWEST and simpliTV have made carriage deals with Discovery Deutschland for the distribution of event channel Eurosport 4K on their networks during the competition.

Eurosport 4K will show all matches taking place on the centre court live in Ultra HD between May 26 and June 9, 2019.

In Germany, where Eurosport will have exclusive coverage, be the event channel’s coverage can be received on DTH platform HD+ (owned by SES).

Public broadcasters SRG SSR in Switzerland and ORF in Austria are also showing the tournament.

The tournament will be shown on France TV in the host market. Complementing the Eurosport coverage, it will also be on ITV in the UK.

NBC and the Tennis Channel are showing the event in the USA. Chinese viewers can watch on CCTV.

PwC Scale | Sport Tech Programme Reveals Participants

Following the launch of the PwC Scale | Sport Tech programme this month, iSportconnect is pleased to unveil the list of companies that have been selected to take part in the first edition.

Scale | Sport Tech is a new PwC initiative bringing a much-needed focus on helping companies that have already progressed beyond the start-up phase.

The expert programme is specifically tailored for later stage companies with validated products, finance and scalability — “scale-ups.”

The participating companies are:

  • BODYGEE is a body analytics company for the acquisition, analysis and 3D visualization of body data.
  • Choicely enables businesses to better engage & monetize their customers through advanced, modular & highly engaging tools.
  • MyCustomerLens is the continuous feedback platform you need to reach, engage and retain more customers.
  • IAMBOT provides an AI, conversational and hyper-personal engagement solution that enables instant interaction between consumers and brands, and fans and sports clubs, to drive sales and increase loyalty.
  • Instant Sponsor connects sponsors and the rights holders allowing brands of any size to capitalize on global sponsorship opportunities through a democratized real-time marketplace that is data and analytics driven
  • POWA Index delivers AI sponsorship valuation and digital benchmarking for the sports industry.
  • PumpJack Dataworks develops software for rights holders to acquire, secure, query, value, and trade data.
  • SportZblock is a collaborative ecosystem that offers Clubs the virtual infrastructure to create private global fan networks to leverage the new shared economy model whilst transforming the value in digital media, advertising and sponsorship to the clubs via source data attribution.”

If you’d like to see these exciting companies pitch on click here