Current Legal and Ethical Issues in Sports and Entertainment
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Current Legal and Ethical Issues in Sports and Entertainment Tuesday, June 25th, 2019 Eckstein Hall, Marquette University Law School Sponsored by: 1 2 Table of Contents Page # Description 3 Table of Contents 4-5 Seminar Schedule 6 Wifi Information and Seminar Website Instructions 7-10 Professor Dodds Materials 11-13 Attorney Brown Materials 14-17 Attorney Andresen Materials 18-21 Attorney Strand Materials 22 Sports Law Information 3 Seminar Schedule 7:30 – 8 am Room 433 Registration and Continental breakfast 8 – 8:05 am Room 444 Welcome Professor Paul Anderson (L’95), Director, Sports Law Program and National Sports Law Institute, and Chair and Founder, Sports Law Alumni Association, Marquette University Law School, Milwaukee, WI 8:05 – 8:55 am Room 444 Using the Law to Combat Sport Corruption Professor Mark Dodds (L’05) Associate Professor, Sport Management Department, SUNY Cortland, Cortland, New York 8:55 – 9:00 am Break 9 – 9:50 am Room 444 Professional Leagues Management of Athlete’s Biometric Data Attorney Sarah Brown (L'14) Graduate Research and Teaching Assistant, Sports Management – Health and Kinesiology, Texas A & M University, College Station, Texas 9:50 – 10 am Break 4 10 – 10:50 am Room 444 Building a Successful Sports Law Practice: The Good, the Bad and the Ugly (While Following the Rules of Professional Conduct) Attorney Scott Andresen founder, Andresen & Associates, Legal Counsel for Businesses, Entrepreneurs, Sports and Entertainment Professionals and more, Chicago, Illinois 10:50 – 11:00 am Break 11:00 – 11:50 am Room 444 Entertainment Law Ethics: The Challenge of the Four Cs: Competence, Conflict, Confidentiality, & Compensation. Attorney Peter Strand Partner, Mandell Menkes LLC, Chicago, Illinois 11:50 – 11:55 am Room 444 Announcements and End of Program 12:00 – 12:30 pm Room 433 CLE and Seminar check out 5 SEMINAR MATERIALS WEBSITE Speaker presentations and supplementary materials for this seminar are available on a seminar website that can be found at https://law.marquette.edu/national-sports-law-institute/summer- 2019-cle-seminar-materials or https://tinyurl.com/yytrlokf. MU GUEST WI-FI Campus visitors can use MU Guest Wi-Fi for access to the internet. The MU Guest Wi-Fi network is not encrypted and cannot reach university restricted e-resources. From your device's Wi-Fi settings, select MU Guest. The MU Guest Acceptable Use Policy page appears. Review the terms and conditions. The Accept button will become actionable when you scroll through the terms. If you agree, click or tap Accept. For MU Guest Wi-Fi assistance Call the IT Services Help Desk at (414) 288-7799 Visit the IT Services Help Desk in Cudahy Hall 293 Or email [email protected] . 6 Using the Law to Combat Sport Corruption Professor Mark Dodds (L’05) Associate Professor, Sport Management Department, SUNY Cortland, Cortland, New York Mark Dodds is a Professor teaching sport marketing and sport law at the State University of New York, College at Cortland. He holds a J.D. from Marquette University Law School, a M.B.A. from Robert Morris University and a B.S. in Marketing Management from Syracuse University. While at MULS, he earned a Sport Law Certificate from the National Sport Law Institute. His research area is focused on legal issues in sport business, international sport, sponsorship activation, and legal issues with internships. He has published articles in journals such as: Journal of Brand Strategy, Journal of Sponsorship, Marquette Sports Law Review, Case Studies in Sport Management, Journal of Physical Education, Recreation and Dance, Journal of Sponsorship, International Journal of Sport Management and Marketing and College Athletics and the Law. He co-edited the award- winning Encyclopedia of Sports Management and Marketing and a special motorsports issue of International Journal of Sport Management and Marketing. Prior to arriving at SUNY Cortland, Mark worked in the sport marketing industry for over 12 years. He lives in Cortland, New York with his wife and two kids. This presentation examines the legal tools being used to combat sport corruption. Maennig (2005) defined two types of sport corruption: competition corruption and management corruption. Competition corruption involves athletes, sporting officials or non-athletes trying to influence the outcome of the competition. Match- fixing is an example of competition corruption and focuses on the in-game or end result of the contest. Spot-fixing is corruption of the game that is unrelated to the final score of the event (such as kicking the ball out of bounds, a double fault, etc.). Management corruption involves sport organizations or sport officials manipulating business decisions (Maennig, 2005) often using active or passive bribery. The prevention of management corruption has led the United Nations to work with countries, sport organizations and sponsors to prevent bribery in sport (United Nations Global Compact, 2014). Using a case study format, anti-corruption laws and other novel legal theory will be examined through real-world, infamous scandals. For instance, the 2015 FIFA 7 bribery scandal used mail fraud to charge fourteen officials in connection with the 2010 World Cup bidding process. The law and its effectiveness will be explored. Other scandals will be investigated. The Lance Armstrong doping scandal featuring the False Claims Act as Floyd Landis and the US Postal Service attempted to recoup more than $30 million dollars in sponsorship money. The 2002 Salt Lake City Olympic bribery scandal led to Salt Lake City organizing committee members who faced fifteen criminal charges for providing more than $1.2 million in cash and gifts (including a knee replacement surgery) to entice IOC members to support its bid for the 2002 Winter Games. Despite an overwhelming amount of evidence, the prosecution failed to convict the members using traditional bribery laws. There are examples of sponsor corruption scandals that impact sport. The USA uses the Foreign Corrupt Practices Act to combat this type of sport corruption. Weatherford International used on-site hospitality from the 2006 World Cup to bribe officials which resulted in penalties of over $120 million (plus $115 million investigation costs) and lack of cooperation fine. BHP Billiton used sponsorship benefits from 2008 Olympics to bribe public officials and incurred $25 million fine. Bilfinger Engineering was accused of paying bribes to public officials to secure security command contracts at twelve host cities for the 2014 FIFA World Cup. The recent Adidas / NCAA basketball corruption scandal found three Adidas employees guilty of wire fraud and conspiracy in what could become a far-reaching issue for many colleges involving Adidas, Nike and Under Armour sponsored programs. Finally, the presentation examines the Swiss Lex FIFA anti-bribery laws. More than sixty international sport organizations, including the IOC and FIFA, are headquartered in Switzerland. Switzerland revised its criminal code to criminalize active and passive bribery involving sport organizations and its senior officials. Although this law has not been used in a sport context yet, it is hoped that this legislation deters future sport bribery scandals. 8 Reference list Statutes/Codes The False Claims Act, 31 U.S.C. §§ 3729-3733, (2019) Foreign Corrupt Practices Act, 15 U.S.C. § 78dd-1, et seq. (2019) Honest Services Fraud, 18 U.S.C. §1346 (2019) Sports Bribery Act, 18 U.S. Code § 224 (2019) Wire Fraud Act, 18 USCS §1343 (2019) Swiss Code, Art. 29-7, 2013 Swiss Code, Art. 102, 2015 Swiss Code, Art. 322, 2016 Cases In re BHP Billiton Ltd., No. 3-16546 (May 20, 2015) Landis v. Tailwind Sports Corporation, Civil Action No. 2010-0976 (D.D.C. 2017) Securities and Exchange Commission v. Weatherford International Ltd., No. 4:13-cv-3500 (S.D. Tex. 2013) United States v. Esquenazi, 752 F.3d 912 (11th Cir. 2014) United States v. Gatto, 17 Mag 7120 (2018) Articles/Reports United Nations Global Compact. (2014). Fighting corruption in sport sponsorship and hospitality: A practical guide for companies. Retrieved from: https://www.unglobalcompact.org/docs/issues_doc/Anti- Corruption/SportsSponsorshipHospitalityGuide.pdf Maennig, W. (2005). Corruption in international sports and sport management: Forms, tendencies, extent and countermeasures. European Sport Management Quarterly, 5(2), 187-225. 9 _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________