Tuesday, January 29, 2008

LEGAL LINE PODCAST III - 8 Billion Dollars Spent on What?!

The Superbowl, Vegas and that popular pool you enter every year.......This week's podcast is a special Superbowl edition.  Click on the above title to listen or cut and paste the below link.


http://web.mac.com/daniels3636/iWeb/Site/Podcast/Podcast.html

NFL Signing Bonus - Not So Much of a Bonus Upon Signing


By Scott Daniels, Esq., NFL Draft Bible

Terrell Owens may have something else to cry about after an arbitrator ruled against him in a dispute with his former team, the Philadelphia Eagles.

Owens was adopted by the city of Philadelphia after a phenomenal 2004 season and a heroic effort in the Superbowl. Although the Eagles were unsuccessful in defeating the Patriots that year, Owens lived up to his hype as one of the most dangerous threats to any NFL secondary.

What looked like a long and prosperous relationship for Owens and the Philadelphia Eagles turned out to be more like a vicious Hollywood breakup.

Following the 2004 season, Owens began a campaign of self-righteousness and demanded that the Eagles renegotiate his contract. In November of 2005, Owens was suspended by the Eagles for calling the organization "classless" and criticizing his Quarterback, Donovan McNabb.

Many labeled Owens' departure from Philadelphia similar to that of a bitter divorce. Following a dismal 2005 season where Owens was dismissed from the team with five games remaining, he went on to sign a multi-year deal with the Dallas Cowboys.

It seemed as though the dysfunctional marriage between Owens and the Eagles was all in the past.

Not even close.

The Eagles quietly attempted to recover $1.75 million of Owens' initial signing bonus. For starters, the Eagles garnished his last five paychecks in 2005 totaling $955,880.

Wait a minute. Aren't signing bonuses guaranteed upon signing an NFL contract, hence the name "signing bonus?"

Not quite.

NFL players retain the entire amount of their signing bonus as long as they carry out the terms of their contract. If the player himself breaches his contract, the team has every right to go after some of that signing bonus money.

Remember that guy Michael Vick? The Falcons are currently seeking to recoup his $22 million signing bonus after his infamous actions.

Last Friday, an arbitrator ruled against Owens after the Players Union, on behalf of Owens, brought a grievance contesting the Eagles' attempt to recover $1.75 million in signing bonus money (His signing bonus was worth $2.3 million). The ruling effectively requires Owens to fork up the remaining $769,120. The Eagles already got the other $955,880 when they refused to pay him for last five games of the 2005 season.

In an interview with Mike Tirico on ESPN radio, Owens was asked how he felt about the situation. Owens replied, "It is what it is" and expressed his disappointment with the Players Union.

When asked about his concern about having to pay back almost $800 thousand to his former team, Owens said, "I'm not gonna really worry about the money. Money doesn't really make me."

Interesting. I'm pretty sure it was Owens' greed for more money that created this situation in the first place.

Tuesday, January 15, 2008

THE CLIENT THAT KEEPS ON GIVING

By Scott Daniels, Esq., NFL Draft Bible

Three strikes and you're out. It doesn't refer to just baseball anymore.

Washington and California created sentencing laws based on the infamous phrase. A popular game show utilized the three strike principle for years (Family Feud). The phrase has become so much more than an explanation of a baseball rule.

Fortunately for Adam "Pacman" Jones, the NFL has not enacted a "three strikes and you're out" policy. Because if they did, Jones would have been booted from the league a long time ago.

And by "a long time ago," I mean 2006, since Jones has only been in the league for two years.

Jones is staring at a potential sixth arrest since he was drafted by the Tennessee Titans in 2005. His lawyer probably doesn't need another client. His agent on the other hand may need to start looking.

Jones made the news once again for allegedly hitting a woman at a strip club in Nashville. The victim claimed that Jones hit her in the face following an altercation between Jones and security on January 3, 2008.

In the criminal defense world, Jones is known as the "client that keeps on giving." The man is a magnet for legal trouble. How many strikes will Jones get before the NFL has seen enough? Could this be the final straw?

In April of 2007, Jones told Roger Goodell, commissioner of the NFL, that he would stay out of strip clubs to avoid any more altercations. Well, even if these current allegations do not hold up, the fact still remains that Jones was in a strip club. Clearly the man has little concern over his future in the NFL.

For Pacman Jones, it may be more like "Six strikes and you're out." Commissioner Goodell will surely not be pleased with this recent news. While he has yet to officially ban a player from the NFL, Jones is certainly a perfect candidate.

Saturday, January 12, 2008

Legal Line Podcast II

Maurice Clarett is the subject of discussion on this week's podcast as the legal world watched closely when he challenged a long standing NFL rule.....

Click on the title "Legal Line Podcast II" or copy and paste the below link.

http://web.mac.com/daniels3636/iWeb/Site/Podcast/Podcast.html

Thursday, January 3, 2008

BUYOUT BEWARE

By Scott Daniels, Esq., NFL Draft Bible

It's known as the domino effect. Each year, as the college football regular season comes to an end, prominent college football head coaches and qualified no-names are lured away from their current programs for more lucrative jobs at prestigious institutions.

While most coaches leave for greener pastures, colleges and universities have only one line of defense when their head football coach chooses to jump ship; The Buyout Clause.

The buyout clause operates as a penalty that is to be levied on the head coach if they do not fulfill the duration of the contract. The school and the coach agree on a specific "buyout number" and if the coach leaves to take the reigns somewhere else, that coach must pay the school the agreed upon buyout number.

LSU's Les Miles had quite an interesting buyout clause in his last contract. It stated that if he were to leave LSU to become the head coach of Michigan - and Michigan only - Miles would have to pay LSU $1.25 million.

Although Miles was the frontrunner for the Michigan job, he ended up re-signing with LSU. No word as to whether or not the same buyout clause remained in his new contract.

Another buyout clause hit the news wires a few weeks ago when Rich Rodriguez, former head coach of West Virginia, accepted the offer to become the new head coach of Michigan.

Unlike some other dishonorable coaches, Rodriguez left his former coaching post with class and dignity. However, that did not prevent West Virginia from suing Rodriguez in an effort to collect the $4 million he now owes the school for breaking his contract.

West Virginia's buyout clause requires Rodriguez to pay the school $4 million over a two year period, in which 1/3 is due 30 days after employment termination. Rodriguez's resignation was effective December 19, 2007. Therefore, according to the buyout clause, Rodriguez has until January 18, 2008 to pay West Virginia approximately $1.32 million.

Even if we assume the buyout clause is valid, Rodriguez hasn't technically done anything wrong yet. He still has until January 18, 2008 to satisfy the buyout clause. So how is West Virginia able to institute a lawsuit when they have yet to be harmed?

Contract law, while somewhat archaic, is a beautiful thing. It's one of the few areas of the law that allows one side to sue and seek legal relief before they have actually been harmed.

Under the common law, a contract can be breached if one party makes it clear that he or she does not intend to perform the contract duties. While there have been reports - or should I say rumors - that Rodriguez is expected to dispute the buyout clause, only Rodriguez himself truly knows if he intends to abide by the agreed upon contract terms.

Essentially, West Virginia is under the impression that Rodriguez is not going to pay up. Could they have waited to sue until after the initial payment is due? Sure. Does West Virginia really need the $4 million owed to them? Absolutely not.

This lawsuit is not about enforcing a buyout clause. It's not about money either. It's about a school who wants revenge on their former head coach.

In West Virginia's case, the famed English historian and author Edward Gibbon said it best; "Revenge is profitable."