From: To: Subject: Date: Attachments: Rana Dershowitz Lucy Denley Fwd: NGB - Athlete Commercial Terms draft USOC policy Monday, November 05, 2012 5:41:22 PM image001.jpg ATT00001.htm USOC Policy regarding NGB commercial policies draft cln.doc ATT00002.htm Begin forwarded message: From: Rana Dershowitz <rana.dershowitz@usoc.org> Date: November 5, 2012, 8:20:29 AM MST To: Jon McCullough <parasoccer@yahoo.com>, Rich Bender <rbender@usawrestling.org> Cc: Christopher Sullivan <Christopher.Sullivan@usoc.org>, Rick Adams <Rick.Adams@usoc.org>, Gary Johansen <Gary.Johansen@usoc.org>, John Ruger <john.ruger@usoc.org>, "Ruby J. Haddock" <Ruby.Haddock@usoc.org> Subject: NGB - Athlete Commercial Terms draft USOC policy Gentlemen – Since 2005, the USOC has had in place guidance regarding appropriate parameters for NGB Commercial Agreements with athletes. John Ruger has been instrumental in working with NGBs and their athletes to make sure these guidelines are generally followed and we believe the process has been working very well. We think it is appropriate to update and formalize the guidelines into an official USOC policy so that all NGBs and athletes are given clear guidance regarding the USOC’s rules and expectations. To that end, attached please find a draft “USOC Policy Regarding NGB Commercial Agreement” adapted from the guidance that has been in place for many years. Before moving forward with this policy, we wanted to give both the AAC and the NGBC the opportunity to review the proposed policy and provide us with feedback and comments. Please circulate this proposed Policy within your respective Councils and give us your feedback by no later than January 31, 2013. We will also have an opportunity to discuss at the NGB Best Practices Seminar and, if desired, at the AAC meeting in January. Note particularly that we have added the ability to have 2 athlete appearances and the ability to use team photos (3 or more athletes) as acceptable commercial terms. We would particularly like your thoughts on these items (as well as the policy as a whole). Please also do not hesitate to call me, Gary Johansen or John with any thoughts, comments or questions. Thanks Rana UNITED STATES OLYMPIC COMMITTEE Policy Regarding NGB Commercial Agreements The USOC recognizes the rights of athletes to control and protect their own personal name, likeness and image (collectively, “Commercial Rights”). Additionally, the USOC recognizes that National Governing Bodies (NGBs) must have certain rights to utilize images of athletes to promote sport. This document sets forth the policy of the USOC with regard to the appropriate parameters pursuant to which NGBs may and may not use athlete images and/or require athletes to sign agreements with regard to Commercial Rights. Defined terms use the definitions found in the Olympic Charter and/or USOC Bylaws as specified below. A. Athlete Obligations 1. For any competition, including Protected Competitions (as defined in the USOC Bylaws), the NGB may ask an athlete to sign a general release permitting his or her person to be photographed, videotaped or otherwise recorded for purposes of memorializing and/or promoting his or her event, the sport, the NGB’s National Team or the NGB in a non-commercial manner. 2. For any competition, including Protected Competitions, the NGB may ask an athlete to sign a Code of Conduct provided such Code of Conduct does not otherwise violate this policy or any other policy of the NGB or the USOC. B. NGB Obligations/Restrictions 1. NGB may not use or authorize the use of an athlete’s individual image, picture, likeness, voice, name or biographical information for the purpose of trade, including any use in a manner that would express or imply an endorsement of any company, product, or service, without the athlete’s express written permission. 2. NGB may not condition participation in any Protected Competition upon an athlete’s signing of an agreement containing “Commercial Terms” (as defined below). 3. NGB may not condition an athlete’s receipt of any “Basic Services” (such services to be determined by the USOC on a sport-by-sport basis after consultation with the NGB and AAC representative for the sport and shall include elements such as coaching by national team coaches, travel to Protected Competitions, invitation and access to key training camps), upon an athlete’s signing of an agreement containing “Commercial Terms.” The Athlete Ombudsman shall be available to both the NGB and the AAC representative for the sport to discuss appropriate parameters of such Basic Services for such sport. 4. “Commercial Terms” means any provision, whether oral or written: a. requiring an athlete to grant the use of his or her image, picture, likeness, voice, name or biographical information for the purpose of trade; b. requiring an athlete to grant the use of his or her image, picture, likeness, voice, name or biographical information in any group photo (which shall mean three or more athletes) of the national team or any other NGB group engagement for purposes of trade, provided that no single athlete is unduly highlighted, and provided, further, that 1 c. d. e. f. g. h. i. such group photo is not used in any manner that would imply the individual athlete’s (rather than the team’s, NGB’s or group’s) endorsement of any company, product or service without the athlete’s express written permission. requiring an athlete to attend functions other than official team practices, team meetings related to competition events or two (2) NGB requested non-commercial functions per year; requiring an athlete to give any right of first refusal to an NGB sponsor; requiring an athlete to reveal the terms of a personal sponsor contract; requiring an athlete to cover up a manufacturer logo on Specialized Equipment (as referenced in the Olympic Charter and defined by the USOC as described below), as long as it complies with the relevant IOC, IPC, PASO and IF rules regarding size and placement; requiring an athlete to put a sponsor name, logo or ad on Specialized Equipment; denying the athlete the right to choose Specialized Equipment; and, requiring an athlete to relinquish legal rights (excepting arbitration clauses, tort releases, and medical or insurance-related releases or assignments). 5. NGB’s remedies for an athlete’s violation of any Commercial Terms are strictly limited to commercial remedies, and cannot include denying the athlete access to Protected Competitions, USOC-provided benefits (including but not limited to funding), access to Olympic Training Centers or Olympic Training Sites, membership on national teams, or Basic Services. C. Athletes’ Right to Use Specialized Equipment 1. The USOC shall have the sole authority, after consultation with the NGB and the AAC representative for the sport to determine the equipment that constitutes Specialized Equipment (also referred to from time-to-time as “Personal Competitive Gear”) for each sport. The Athlete Ombudsman shall be available to both the NGB and the AAC representative for the sport to discuss appropriate parameters of such Specialized Equipment for such sport. 2. An athlete shall have the exclusive right to select his or her Specialized Equipment for use in competitions. D. Media Considerations 1. NGB will respect an athlete’s privacy, time constraints and training and competitive schedule in requesting an athlete to participate in media events. 2. Athlete will attempt to participate in media events allowing for athlete’s desire for privacy and if compatible with athlete’s time constraints and training and competitive schedule, when requested by the NGB. 2 APPENDIX The foregoing policy shall be interpreted in accordance with the appropriate governing laws, rules and regulations, including the Olympic Charter, the Ted Stevens Olympic and Amateur Sports Act and the USOC Bylaws, which as of 2012 contain the following relevant provisions: 1. The entry or participation of an athlete in the Olympic Games shall not be conditional on any financial consideration. (Olympic Charter, 8 July 2011, Bye-law 4 to Rule 40). 2. The USOC and the IOC oppose any political or commercial abuse of sport and athletes. (Olympic Charter, 8 July 2011, Rule 2, Paragraph 10). 3. No member organization of the USOC may deny or threaten to deny any athlete the opportunity to compete in the Olympic, Paralympic or Pan American Games or other “Protected Competition” (as defined in the USOC Bylaws). (USOC Bylaws, Section 9.1). 3. NGBs shall “not have eligibility criteria related to amateur status or to participation in the Olympic Games, the Paralympic Games or the Pan American Games that are more restrictive than those of the appropriate international sports federation.” (Act, 36 U.S.C. §220522(a)(14)). 4. While the USOC/NGBs have the “sole and exclusive authority to prescribe and determine the clothing and uniforms to be worn, and the equipment to be used, by the members of their delegations,” such “exclusive authority does not extend to specialised equipment used by athletes of their delegations during the actual sports competitions.” (Olympic Charter, 8 July 2011, Byelaw to Rules 27 and 28) 5. “Athletes must be given the opportunity to decide what is best for their athletic careers . . . The decision should not be dictated by an arbitrary rule which, in its application, restricts, for no real purpose, an athlete’s opportunity to compete.” (1978 Senate Report on the Act). 3