Legal analysis of the Euroleague “Uniform Player Contract”
Italy, Germany, Israel
1.1. Italy
Clause 2.2
According to Italian law and the Collective Bargaining Contract between the professional players and the LEGA A enforced in Italy, all the directives, rules and sanctions that the player shall submit, must be provided and established by agreements made between Clubs and Players’ Associations.
Clause 4.
According to Italian Law the professional player’s salary has to be mentioned in a standard contract established by the LEGA A and the players Association It must be deposited in League’s , player association’s and Federation’s offices. Any other agreement is invalid.
Clause 5.
According to collective bargaining agreement in Italy all medical expenses related to an illness or injury that the player may suffer must be borne entirely by the Club.
Clause 6.
According to collective bargaining agreement in Italy, it is compulsory that every player must submit to a medical test before signing the personal contract: the club has the right to check the player’s condition and after certifying to the health of the player the club must bear the risk of eventual injury even previous, unless intentionally hidden by the player. In case of non- job related injury or illness; the Club may not break the contract without gross negligence on the part of the player.
Clause 9.
According to collective agreement in Italy, the player exclusively entitled to the use of his own image, except during the game action. The player may take part in radio or TV programs, participate in public appearances, permit his picture to be taken or give an interview, except in some exceptional cases (for limited time) in which the club can demonstrate an extraordinary need. The player may also sponsor commercial products, except products in direct competition with a club’s sponsors.
Clause 10.
According to the collective bargaining agreement in Italy, disciplinary sanctions on players follow a specific and gradual scale that if not respected render the sanctions invalid. The regulation provided by the Euroleague draft is generic and submits the player to the will (or potential abuse) of and by the Clubs, in conflict with the common labor law.
Clause 13.
According to Italian common law only the personal contract of between a professional player who signs a standard contract, approved by professional League and player’s association, is valid. Any other contract is invalid. According to the common Italian law, the professional League and player’s association can establish an arbitration committee for the resolution of disputes and this committee must have its legal seat in Italy.
Clause 15.
According to Italian common law, a labor contract cannot contain clauses that limit the professional freedom of sportsman for the period following the termination of the same contract. The obligation to pay an indemnity to the club of the origin is unlawful.
1.2. Germany
Overview:
The draft Euroleague Standard Player contract contains many clauses that are to the clear disadvantage of the player. Under German law, the labor court has the right to determine the validity of individual clauses in a labor contract. The excerpts below are examples of invalid clauses under German law.
Only in a Collective Agreement can exemptions be made. Currently, there is no Collective Agreement between the BBL and the players.
Clause 2.2.
This clause is unclear and is to the disadvantage of the player. A general statement does not suffice to override an individual work contract. To be valid, players must have a chance to reveiw all regulations and rules that apply to them.
Clause 5.2.
Costs for medical tests and therapy that are in the interest of the employer and are not paid for by insurance must be paid by the employer.
Clause 5.3.
According to German law, the employment relationship between player and team includes being part of the social insurance system. Part of this requirement is the State Health Insurance (at certain income levels the player has the right to privately insure himself). The origin of an illness and injury (sport related or not) is not recognized by German Law.
Clause 6.1.
This clause is too general and could be to the disadvantage of the player. A player can only make declarations over health issues that are known to him. This formulation would make players liable for their physical condition.
Clause 6.2.
Under German law, a conditional labor contract is only allowed for a maximum of 6 months. There must be a clear deadline under which the medical and physical tests are to be conducted. The formlation under 6.3. a-c is too general and to the disadvantage of the player.
Clause 6.8.
Under German law there is only the possiblity to end a contract based on the law, where certain standards must be met. This clause is to the clear disadvantage of the player, in that the labor contract defines the reasons for the ending of the contract. Therefore, this clause is invalid.
Clause 6.9.
This clause is to the clear disadvantage of the player and is not legal under German law. Each individual case must be judged on its own merits (whether a long term illness or injury would lead to an ending of the contract). Under German law the origin of the illness or injury, the length of the labor relationship and the time left on the contract all are important factors.
Clause 7.2.
The legal grounds for ending the contract must be based in German law. This clause is to the clear disadvantage to the player, in that a determination of guilt based on the doping rules defines a ground for ending the contract. In German law each case must be judged on it’s own merits.
Clause 11.1.
Under German law it is not legal to limit access to the German Labor Court.
Clause 11.3.
Under German law, the clause too general and therefore invalid.
Clause 11.4.
The opportunity for the team to end the contract to their benefit is too general and weakens the legal protections of the player under German law. It is therefore invalid.
Clause 11.5.
This clause injures the personal rights of the player and is invalid.
Clause13.0.
Under German law, an employee has 3 weeks to appeal the cancelling of his labor contract otherwise the cancellation will be valid. The arbitration process described would not alter this requirement and therefore would limit a players ability to access the labor court due to the length of the proceedings.
1.3. Israel:
Overview:
The player’s obligations according to the Draft may coincide with his other obligations in the local league and the national team; the “player’s activities and duties” in clause 2 of the draft and “the team’s duties: compensation and expenses” in clause 4 of the draft are not compatible with the version of the standard contract that applies to Israeli players according to the union codes' directions.
Contrary to the definition in the draft, the basketball season starts in August and ends in June each year.
Clause 2.2.
The Player’s Association and the players themselves are not familiar with all of the directives, rule and sanctions established by the Euroleague/ULEB. The player cannot commit himself to fulfill directives, rules and sanctions to which he is not aware, especially if they contradict local contracts and conventions.
Clause 3.
According to Israeli law, not only do local collective bargaining agreements overcome the contract, but also collective arrangements, codes, personal contracts and internal rules and procedures that benefit the player.
Clauses 5-6.
According to Israeli codes, the Team bears the costs of all medical tests and therapies; According to Israeli law, a player’s previous injury does not constitute grounds for termination of the contract; Termination of the contract has to be conditioned upon disability insurance (and not a singular monetary compensation).
Clauses 7, 8 and 11.4.
Temporary suspension of a player or termination of a player’s contract in the team in a case of drug use - and in fact any disciplinary matter - are settled in the Uniform Disciplinary Code, verified by the Israeli Basketball Federation. The directions of this Code overcome the Contract.
Clause 9.
The league administration has contracts with sponsors, and so does the Federation (regarding national team players), some of which are exclusive. The Player’s Association and the administration have a contract with a card producing company, in which there is a commitment to exclusiveness. The directions in this clause may cause a breach of these contracts.
Clause 11.
The right to notify of a breach of contract following a failure or default in the payments to the player is also given, according to Israeli law, to the Players’ Union (and not only to the player himself). According to Israeli law, only labor courts have the jurisdiction over claims regarding holdover or delay of salary and this matter is not a matter for arbitration. Thus, this clause contradicts Israeli law. Moreover, Clause 11.5 (obligating weight loss in a short period of time) is unconstitutional!
Clause 13.
According to Israeli law, there is no arbitration obligation in matters concerning legal rights (but only in matters stemming from contracts). Anyway – holding arbitrations in Switzerland or in Spain places an unduly burden both on the players and on the teams.
Clause 15.
According to Israeli law it is not possible to fine a player unless it was determined so in a collective bargaining agreement; In any way, the fine imposed on a player shall he play with any non-European basketball club is non-proportionate and constitutes an infringement of his constitutional freedom of occupation.
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