Tips for managing contracts

Question

• Getin writing
• Read the contract thoroughly
• Keep copies of all contract documents
• Use good faith when negotiation
• Note deadline for performance
• Ensure the performance of third parties
• Share contract information with those who need to
know, and educate staff on the consequences
• Resolve ambiguities as quickly and as honestly as
possible
provide sport related example for each

Answer 1

Here’s how each tip for managing contracts can be applied in a sports-related context:

1. Get it in writing:

   • Example: A professional athlete negotiating a sponsorship deal with a sports brand should ensure that all terms, including payment amounts, endorsement commitments, and duration, are documented in a written contract. This protects both parties by clarifying expectations.

2. Read the contract thoroughly:

   • Example: A coach reviewing their employment contract should carefully go through all clauses related to salary, duration, termination, and responsibilities to avoid unexpected obligations or penalties in case of an early departure.

3. Keep copies of all contract documents:

   • Example: A sports team manager should maintain copies of player contracts, sponsorship agreements, and facility rental agreements in a centralized location, ensuring easy access for reference during negotiations or disputes.

4. Use good faith when negotiating:

   • Example: During contract negotiations for a league television rights deal, all parties (the league, networks, and advertisers) should engage transparently, honestly discussing expectations and potential issues to foster a long-lasting and positive partnership.

5. Note deadline for performance:

   • Example: A sports club might have a contract with a player that includes performance benchmarks (e.g., scoring goals or assists) by certain dates. Management needs to track these deadlines to ensure contract compliance and evaluate player performance effectively.

6. Ensure the performance of third parties:

   • Example: A university athletic department hires a third-party vendor to provide catering services for events. The department must ensure the vendor meets all contractual obligations, like food quality and service times, to preserve the university's reputation.

7. Share contract information with those who need to know, and educate staff on the consequences:

   • Example: A sports organization could hold a meeting with all coaches and administrative staff to explain the key points of player contracts, including clauses related to trade and release, so that everyone understands the implications of those contracts on team dynamics.

8. Resolve ambiguities as quickly and as honestly as possible:

   • Example: If a player and management find ambiguous language in a contract about performance bonuses, they should promptly discuss and clarify these terms to avoid misunderstandings that could lead to disputes during the season.