In the past 12 years, Manchester City has seen a dramatic rise to the European Elite. In 2008, Sheikh Mansour, who has ties to the United Arab Emirates’ royal family, took over ownership of the club. Following the take-over, Manchester City has gone on to win 10 major trophies. On February 14, 2020, Manchester City was handed a two year ban on European competitions, as well as a $32.5 million fine. This is the largest fine ever by Union of European Football Associations (“UEFA”), the governing body of European Football. The UEFA found that Manchester City overstated its sponsorship revenue in its accounts. This, according to the Adjudicatory Chamber of the Club Financial Control Body, is a “serious breach” of Licensing and Financial Fair Play. If the ban is upheld, Manchester City would be fined approximately $232.5 million, a sum of the initial fine plus potential winnings in European Football competitions. According to Simon Chadwick, director at the Centre for the Eurasian Sport Industry, “UEFA must win this ban, if it doesn’t then its position on Financial Fair Play beings to unravel.” This is a pivotal moment in UEFA’s history as a governing body.
Sarah Suddarth Associate Editor Loyola University Chicago School of Law, JD 2021 Student athletes across the nation are praised, admired, and in some cases, made famous for their athletic performances. Although, behind those athletes are young people dealing with the typical struggles of college and early adulthood. Student athletes face the pressure of recognition, high …
On October 25, 2019, the National Collegiate Athletic Association (“NCAA”) unanimously voted to begin changing the rule to allow colleges athletes to profit off their name, image, and likeness. This progressive move is a big deal for the organization, which has previously kept an extremely firm line between amateurism and professionalism for their athletes. Despite opposition by some to change the current model, public opinion is strongly in favor of these types of changes.
On September 30, 2019, California signed into law the biggest change to college athletics in the modern era of the National Collegiate Athletic Association (“NCAA”). Senate Bill 206 will allow college athletes to profit from the use of their name, image, and likeness, as well as protect the athletes from sanctions by the NCAA for violations stemming from the profits. One of college athletics’ core tenants has been the amateurism of their athletes and the emphasis on scholarship. This monumental change will have far reaching and lasting impact on college athletics and may disrupt the whole system as we know it.
In February, California State Senators Nancy Skinner and Steven Bradford presented SB-206, titled the Fair Pay to Play Act, to the California State Senate. Founded on the principle of amateurism, which prohibits paying participants, the NCAA has never allowed intercollegiate student-athletes to earn any form of compensation. This bill seeks to end that prohibition in California and provide student-athletes the rights to their names, images, or likenesses (NIL). In May, the State Senate voted in favor of the bill, 31-5. After the necessary committees reviewed and amended the bill, the State Assembly unanimously passed the Fair Pay to Play Act in a 72-0 vote. Due to the changes, the amended bill went back to the State Senate, where it was unanimously approved, 39-0, on September 11. Governor Gavin Newsom has 30 days to sign, veto, or take no action and allow the bill to become law.
In March 2019, charges were brought against a number of National College Athletic Association (“NCAA”) athletic department personnel. These officials were found partaking in a fraudulent scheme which allowed affluent young adults to gain admission to elite universities under false pretenses, like fake test scores and phony athletic prowess. The actions of these athletic directors and coaches call into question the effectiveness of the NCAA monitoring and reporting methods to combat misuse and abuse of the athletic system. The NCAA and their institutions must learn from this most recent scandal to identify the problems in athletic compliance that allowed this fraud.
The Dr. Larry Nassar abuse scandal recently rocked the world of sports. Dr. Nassar, in his role as athletic trainer for the USA Gymnastics team, is alleged to have abused over 250 girls and young women, though he has only admitted to ten of the accusations. The resulting fallout has brought to light many issues in the world of amateur sports, unfortunately an issue that affects young adults and children. In particular, the US Olympic Committee is now facing multiple lawsuits from athletes who were abused by Dr. Nassar. Aly Raisman, the two time-Olympian who has become the face of Nassar’s victims, alleges that the Committee knew or should have known that Dr. Nasser was abusing her and other young girls.
For the National Collegiate Athletic Association (NCAA), March is supposed to be a showcase of the best about college sports, and the ideals the NCAA claims up uphold. March is about student-athletes representing their schools, in a tournament full of upsets, uplifting stories, and some of the more dramatic moments in sports. However, this March, the spectacle of March Madness is overshadowed by headlines of criminal conduct, corruption, rules violations, and plenty of criticism for the NCAA. While many of these stories are just beginning to unfold, there are several ethical and compliance issues raised, which have application to all areas of compliance.
Starting with the 2017 season, the National Hockey League (NHL) expanded to add the Vegas Golden Knights. If hearing “NHL” and “Golden Knights” confused you, you might not be alone – the Army parachute team is also named the Golden Knights. And that potential for confusion has caused the Army to file notice in the Patent and Trademark Office and request that the PTO refuse to register Vegas’ trademark.
NCAA regulation is highly restrictive of the compensation of amateur athletes. Recent class actions have challenged the equity of such policies in light of the high levels of revenue generated by the organization and schools. Challenges to NCAA regulation may provide student-athletes greater ability to negotiate their compensation and to make money independently.