Intro to Sport Management Chapter 11

Conflicts of Interest
Situations in which one’s own interests may be furthered over those of the principal to whom one owes a fiduciary duty (e.g., the athlete being represented by the agent)
Freestanding sport management firm
A full-service sport management firm providing a wide range of services to the athlete, including contract negotiations, marketing, and financial planning
income mismanagement
A form of unethical behavior by a sports agent that consists of mishandling a client’s money, whether by incompetence or criminal intent
Law practice only
A type of sport management firm that deals only with the legal aspects of an athletes career, such as contract negotiation, dispute resolution legal representation in arbitration or other proceedings, and the preparation of tax forms.
Mark McCormack
Founder of IMG (International Management Group) who invented the modern sports agency. He built IMG from one client in 1960 to a global sports, entertainment, and media company with 2200 employees in 70 offices in 30 countries at the time of his death in 2003. IMG at the time billed itself as the worlds largest, most diverse, and truly global company dedicated to the marketing and management of sport and leisure lifestyle.
Overly aggressive client recruitment
A form of unethical behavior by sports agents that includes such behaviors as paying athletes to encourage them to sign with agents early and promising athletes things that may not be achievable
Reserve clause
A clause in a player’s standard contract that gives a team the option to renew the player for the following season
Reserve list
A list of reserved players that was sent to each team in the MLB; the teams had a gentleman’s agreement not to offer contracts to any player on this list, thus keeping players bound to their teams.
Reserve system
A restrictive system used to limit a free and open market so that owners retain the rights to players and control salary expenditures
Scott Boras
Founder of the Scott Boras Corporation and innovator in baseball representation. He is known for his free market philosophy, the use of data in negotiations, his level of preparation, and his knowledge of the game and rules.
Sport Agent
A person who acts as a representative of an athlete or coach to further the client’s interests
Sports event managers
Personnel who administer, promote, and operate any type of events related to sport
Sport management firm affiliated with a law firm
A type of arrangement in which a freestanding sport management has a working relationship with a law firm so that each entity can fill a void by providing the services the other does not offer
Sports marketing representative
A person who coordinates all of the marketing and sponsorship activities for sport properties, which include sporting events run by the agency firm and athletes represented by the firm.
Standard of uniform player contract
An individual contract used by a league for its professional athlete employees in which all terms are standardized except for the time period and salary