Monthly Archive: May 2014

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Hockey

27 May, 2014

Two More Concussion Lawsuits for the NHL - What’s Next?

Last month, two more lawsuits were filed by former NHL players against the NHL alleging that the NHL failed to take adequate steps to protect players from the dangers of concussions and actively encouraged violence in the game in order to increase league revenues. With multiple class action lawsuits now filed against the NHL, the obvious comparison for most sports fans will be to the concussion litigation that the NFL faced beginning in 2011.
So far, many of the arguments made by the former NHL players are similar to the arguments made by former NFL players. However, there are a number of differences between the two sports and leagues and how they have each addressed the concussion issue over the past decade. In the complaints filed against the NHL, it is apparent that some of the differences between the NHL and NFL could lead to very different results for the NHL litigation.

NCAA-Logo 0

College

27 May, 2014

Could the NCAA Lose Its Tax-Exempt Status?

Football players at Northwestern have cast their union votes. Beyond the outcome of that vote, much uncertainty remains. If the status of scholarship athletes as employees is confirmed on appeal, what does it do to their status as amateur athletes? For student athletes who choose to unionize, what additional benefits/compensation will they seek, and what effect with that have on their amateur statuses? And what effect will these developments have on the tax-exempt status of the NCAA and its member institutions? As you’ll see, the answer to these questions may all be up to the NCAA itself.

Credit: Adam Hunger-USA TODAY Sports 0

Football

16 May, 2014

Drafting for the Bottom Line

The revamped rookie wage scale implemented under the current NFL collective bargaining agreement allows business incentives to influence draft choices. When first round draft picks were walking away with signing bonuses in the tens of millions of dollars this would not have been possible. The financial impact of a rookie would have done little to offset their contractual demands. But things have changed. Theoretically, if the average price of the 2,300 season tickets the Browns have sold since drafting Manziel is $1,000 then the financial impact of drafting him is approximately $2.3 million. This amounts to more than 25% of the approximate rookie contract Manziel will sign covering his first four years in the League. Perhaps in the near future teams will not only commission a study on the analytics of potential draft picks but their economic impact as well.

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