Wednesday, April 23, 2008

Swimming With The Sharks


An Inside Look Into The Life of a Sports Agent

By Scott Daniels, Esq., NFL Draft Bible

Drew Rosenhaus. Leigh Steinberg. Scott Boras. What do these men have in common?

They think fast and they talk even faster. Their ability to negotiate deals on behalf of their clientele has catapulted these men into a league of their own. These men are among the elite in the sports agent world. And they've negotiated a myriad of multi-million dollar contracts for high profile professional athletes.

While their athletes are performing on the playing field, these agents are out and about hoping to find the next Reggie Bush or Peyton Manning.
But while the big agents have no problems recruiting talent, there's an entire army of smaller agents trying to break into the industry of representing professional athletes. Sports agents pride themselves on their reputations and they build it by maximizing the value of their client's worth. A feat that can only be accomplished through savvy negotiating and the ability to exploit a recognized talent.

So who are these other agents?

Well, I had the opportunity to interview an aspiring mogul in the sports agent industry. His name is Josh Stevens and he is quickly rising in the ranks of NFL player agents.

Stevens, a native New Yorker and graduate from the University of Maryland, has always been intrigued with the sales and marketing aspects of the sports world. After graduating from UM, Stevens obtained a law degree from St. Johns and quickly gained legal experience in an array of areas including criminal law, family law and landlord-tenant law.

When I asked Stevens if prospective clients took comfort in the fact that Stevens was an attorney as well as an agent, Stevens replied, "Yes, especially when speaking with prospective client's families. It instantly lends credibility to your work ethic and intelligence."

A huge misconception with the general public is that all player agents are attorneys. While a large portion may be lawyers, many agents are accountants or financial advisers. Stevens informed me that the NFL Players Association now requires all prospective agents to obtain a graduate degree, but no particular one is required.

Since Stevens is an attorney and an agent at the same time, he goes about his business with the advantage of being fully equipped with a legal education. But while he may have the license to practice law in the state of New York, Stevens makes it a point to inform his clients that he is acting on behalf of them as solely their agent, not their attorney.

Stevens makes it clear that he is acting in the capacity of the player's agent and not the players' attorney to avoid any conflicts of interest. The NFLPA requires agents to abide by a set of regulations and ethical standards, but an agent with a license to practice law has an additional set of ethical obligations that he or she must follow to maintain good standing.

In an industry where following the rules can end up costing you millions of dollars, sports agents across the globe have found themselves in precarious situations. How do you persuade an athlete to let him represent you in an age where only money does the talking?

Whatever happened to choosing an agent based on integrity or loyalty?

When I asked Stevens about the notion of agents deliberately violating NCAA rules when recruiting athletes, he replied, "I'm sure it's rampant, but I work with another attorney. And as attorneys, we are held to a higher standard and a different set of rules. It's not worth jeopardizing the risk of losing your license to practice law."

With collegiate sports generating millions of dollars and the players not seeing a dime, the student-athlete becomes an easy target for an agent willing to violate the rules if it means locking up a future all-pro. Whether it's a new car, a house, or cold hard cash, agents have been known to attract athletes with just about anything.

As for the competitiveness of the industry today, Stevens said, "it's extremely cut-throat. No established agent wants to assist anyone getting into the industry unless they already have built in connections with prospective clients."

Finally, I asked Stevens what his personal opinions were of Drew Rosenhaus and Scott Boras, mega successful agents who have the reputation of being incredibly difficult to deal with. Stevens commented, "Their work ethic is phenomenal and only inspires people like me to keep going." I found this interesting seeing that both of these agents have received damaging press lately and have tarnished the image of the "sports agent."

Nonetheless, Stevens respects his competition and admires their success.

Since his inception as a certified sports agent, Stevens has represented numerous players vying for a spot in the NFL and he has several players hoping to get selected in this year's draft.

Stevens has already made his mark in the industry and he's only just begun. But one thing is for sure; the life of a sports agent is not all glitz and glamour. It takes dedication, hard work and maybe even a little bit of luck. Millions of dollars are at stake and since the vast majority of NFL contracts are not guaranteed, it is crucial for a player to earn as much as possible, as soon as possible.

It is the job of the player agent to broker a dream-turned-reality for the athlete. But more importantly, it is the agent's job to make sure the deal gets done at all.


Friday, April 4, 2008

First Ban by The NFL?

By Scott Daniels, Esq., NFL Draft Bible

You know it's pretty bad when even the Cincinnati Bengals no longer want you on their roster because of disciplinary problems.

Assault. Possession of marijuana. Concealment of a weapon. Aggravated assault with a firearm. Providing alcohol to minors. Alleged sexual mischief. And the list goes on.

That wasn't a list of the various crimes NFL players commit on an annual basis. That was a list of crimes that former Bengal Chris Henry has committed during his tenure in the NFL.

How about these numbers? In a three year period, Henry was arrested five times in three different states. Four of those arrests took place within a fourteen month window.

Henry may be a talented athlete, but his ability to get tangled up with the law is staggering. Statistically speaking, he has a promising career as a lifetime criminal.

While everyone is wondering what Roger Goodell is going to do with him, that should be the least of his problems. Henry could be facing serious jail time and looking at his rap sheet, any judge would be silly to not impose a harsh sentence.

Henry is a repeat offender. In fact, he has abused the term. The man clearly has no interest in maintaining a professional standard and he has no business representing himself as a player in the National Football League.

Roger Goodell has only one choice. Henry should be suspended indefinitely pending a judicial outcome of his current charges. If he is found guilty of his current charges of assault and criminal damaging, then Henry should be banned from the league.

Regardless of the fact that Henry has been exonerated on a few charges in the past, he has surrounded himself with numerous criminal probes that have seriously damaged the reputation of all NFL players.

Whether or not Goodell allows Henry to play in the NFL again, Henry's image is already a disgrace. If he's lucky, Henry may play football again, but most likely not in the NFL.

Wednesday, March 12, 2008

MOSS APPEAL

By Scott Daniels, Esq., NFL Draft Bible

Randy Moss is arguably the most captivating wide receiver in the NFL. He is also one of the most controversial.
 
Moss dazzled fans in Minnesota with his blazing speed and ability to go up and virtually steal the football from mid-air. The Culpepper-Moss tandem was by far one of the most dangerous offensive threats in the last decade. But while Moss was quickly becoming a superstar, his individuality took center stage after he walked off the field during the end of a game while playing for Minnesota.
 
While there was only seconds remaining in that game, fans across the country proclaimed Moss a quitter and a cancer in the locker room.
 
Moss's legal resume dates back to 1996 where he faced charges stemming from an altercation with the mother of his child. The charges were eventually dropped.
 
In 2002, Moss was back in the news after physically bumping a traffic cop with his vehicle and his latest run-in with the law involved an alleged dispute with a woman at her Florida home in January of this year.
 
Earlier this month, the alleged victim, Rachelle Washington, petitioned the court to request that her case against Moss be dismissed. Several media outlets have jumped the gun and immediately began to report that all charges against Moss have been dropped. This is entirely not the case.
 
Washington had obtained a temporary restraining order (TRO) against Moss in early January. She received it "ex parte," which means that she got the TRO without informing Moss, which is perfectly legal. In Moss's case, the TRO directed him to refrain from going within 500 feet of Washington.
 
It's fairly easy to obtain a TRO and the party it's directed towards has no involvement in the proceeding until the actual hearing to determine whether or not the TRO will become a permanent restraining order.
 
No criminal charges were filed against Moss and Washington never filed a civil case against him. In the end, charges against Moss were not dropped because charges never existed.
 
The bottom line is, the media is obsessed with superstar athletes and their legal problems. Although it's unfortunate for Moss, once his name is dropped in the news, the assumption is that he is in trouble with the law. 
 
It has become an American passion to watch our star athletes succumb to our nation's legal system and Moss has become the latest victim of this phenomenon. In this case, the public was privy to a flurry of allegations and rumors and all we knew was that a temporary restraining order was granted. That doesn't sound like a ton of information.
 
Once the story hit the news wires, many depicted Moss as a criminal. Now that Washington has dropped her restraining order against Moss, those same people are condemning Washington and coming to the defense of Moss. Meanwhile, the public knows practically nothing about the actual incident.
 
Rumors are beginning to surface that Moss entered into a settlement agreement with Washington, but it would seem odd to me seeing that the case involved a restraining order and not a civil action against Moss.
 
If there was a payment by Moss, the public will eventually find out, most likely by way of a court filing. And while Moss can get on with his already stellar career, the public's perception of him remains to be suspect.


Thursday, March 6, 2008

Happy Valley's Legal Woes Continue

By Scott Daniels, Esq., NFL Draft Bible

The football program at Penn State has always been revered for it's class and demeanor. The infamous blue and white helmets have forever been synonymous with a "blue-collar work ethic" and the Nittany Lions have long refused to take top notch athletes who don't present genuine individual character.

Their field general, the beloved Joe Paterno, is a living legend in college football due in most part for his ability to win with upstanding, disciplined individuals, not just athletic specimens.

As of recent, Penn State's unblemished image is beginning to resemble that of the 2007 Cincinnati Bengals. Numerous football players are seeing more of the court room and less of the weight room this offseason.

The latest incident involved Andrew Quarless, a sophomore tight end, who was suspended indefinitely for an unspecified violation of team rules. To make matters worse, Quarless is no stranger to trouble on campus. Quarless was already suspended last season for underage drinking and missed the first two regular season games of 2007.

Quarless becomes the sixth Penn State football player to be arrested this offseason and the team's legal problems range from disorderly conduct to campus brawls. I know these kids are still in college, but six player arrests in one offseason is downright embarrassing.

What these players don't realize is that their detrimental off-the-field conduct, although it's occurring at the collegiate level, will have monumental effects on their potential professional careers. Millions of dollars are at stake for those chosen to play in the NFL and character has evolved into a mandatory piece of criteria for NFL scouts when evaluating players.
(see http://nfldraftbiblethelegalline.blogspot.com/2007/08/legal-line-vol-ii.html).

Hopefully, Joepa can remedy an already tumultuous off season for the Nittany Lions. It seems that his players are in need of some guidance and supervision. Not that Penn State football players need to be reminded, but in the eyes of the law, collegiate athletes are held to the same standard of conduct as regular students.

Maybe Joepa needs to remind his team what made them so successful in the first place.

Wednesday, February 27, 2008

Where's Reggie?


By Scott Daniels, Esq., NFL Draft Bible
The long awaited deposition of Reggie Bush came and went this past Monday. One problem. Bush wasn't there.
 
Bush was scheduled to be deposed on Monday, February 25 by attorneys for Lloyd Lake, the apparent sports agent who allegedly gave thousands of dollars to Bush and his family during Bush's playing days at USC.
 
Lake sued Bush for breach of contract and is seeking damages in the amount of $291 thousand. While the suit is well under way, neither Lake or Bush have yet to be deposed.
 
Lake walked out of his deposition after one of Bush's security members flashed a gun. Normal.
 
On Monday, Bush simply failed to show up for his deposition. Bush's lawyer did provide notice that he would not be attending but rumors are beginning to surface that Bush's legal team is trying to prevent the NCAA from getting a transcript of his deposition testimony.
 
Bush has repeatedly denied taking any money or gifts while at USC but the evidence against him is starting to pile up. Bush settled another case with Michael Michael's, Lake's former business associate, for an undisclosed amount of money. Most notably, a damaging book has been written detailing numerous alleged financial transactions between Bush, Lake and Michaels.
 
At the very least, this is starting to become a public relations nightmare for Bush. However, all of these allegations concern his collegiate career, so Bush does not have to worry about being sanctioned by the NFL, but his reputation as an honorable collegiate athlete could be destroyed.
 
Oh, and that peice of hardware he took home in 2006 is also at stake. If the NCAA discovers he took any cash or gifts while playing football for USC, Bush will be deemed ineligible pursuant to NCAA rules. Therefore, he would be stripped from his Heisman Trophy award.
 
Bush's camp had little to say about his unavailability for the deposition Monday, but the fact that his lawyers want to prevent the NCAA from getting his deposition testimony infers that Bush may have something to hide. If he admits to taking cash or gifts from Lake or anyone else, once NCAA investigators get wind of this, he is sure to lose his Heisman.

In the alternative, if Bush settles with Lake out of court, he may be able to avoid NCAA penalties by requiring Lake to agree to a confidentiality agreement where all parties would be prevented from discussing the case in exchange for the agreed upon settlement amount. Bush could say he paid Lake to avoid litigation and may not have to admit a single thing.

If Bush settles, it would not look good in the court of public opinion. A settlement with Lake would confirm public speculation that he took money while playing for USC. Bush will have to eventually show up for a deposition and judging by what we have seen already, there's no telling what we will learn from him.


Monday, February 25, 2008

MATT WALSH TO TALK, THEN WHAT?

By Scott Daniels, Esq., NFL Draft Bible

The NFL wants Spygate to be over.

Roger Goodell and the NFL's Competition Committee have expressly stated that their investigation is complete and the league can finally move forward.

But why? Why is Goodell practically ignoring the potentially powerful information Matt Walsh may have that might bolster the claims that Bill Belichick and the Patriots have been cheating for years?

Well if it wasn't for a determined United States Senator, Matt Walsh would be a non-issue. And regardless of his critics, Senator Arlen Specter is not letting down.

In what he claims is a pursuit of justice, Senator Specter is still actively pursuing Matt Walsh's claims and Goodell has reserved the right to open up his investigation and impose more penalties if need be. So, in light of the mass speculation surrounding Matt Walsh and his alleged information, here are some legal ramifications that are sure to pop up should Walsh divulge any information on Spygate.

More Punishment?
Bill Belichick and the Patriots organization have already begun their smear campaign on Matt Wash in an attempt to discredit him as much as possible. Walsh did come out of the wood works after the NFL's initial investigation and his credibility is certainly an issue.

However, if Walsh does have valid information that he can back up with legitimate physical evidence (an actual videotape), Goodell will be forced to take more action against Belichick and the Patriots. The Patriots will certainly argue that Walsh acted in a rogue capacity if he does produce a videotape and the NFL will have to dig deeper to determine the validity of the tape.

Simply put, if Walsh does produce a videotape, Spygate is not going away anytime soon. Belichick could face a suspension and the Patriots organization may have to cough up a lot more money for knowingly hindering a league investigation.

Arlen Specter's Continued Role
Senator Specter is adamant about uncovering a conspiracy. He has threatened to hold a congressional hearing to find out just how deep Spygate really goes. While a hearing on Capitol Hill is unlikely, Specter is refusing to let up in his quest for the truth.

But it is important to understand that Belichick and the Patriots did not break the law in any way. They broke NFL rules. Senator Specter's desired congressional hearing could only be held to determine if the NFL should be stripped of their antitrust exemption.


That said, Specter remains to be a significant player because he seems to be the only authority that wants more information on Spygate. In short, while the NFL retains it's antitrust exemption, government officials like Specter have a ground to stand on.

Future of Matt Walsh
At this point, the only thing keeping Walsh from speaking Goodell or Specter is an indemnification agreement from the NFL. Walsh's lawyer already shot down the NFL's first agreement saying that it left Walsh vulnerable to a possible lawsuit.

Because Walsh signed a confidentiality agreement with the Patriots upon leaving the organization, Walsh could be sued for divulging any information relating to his employment. An indemnification agreement would protect Walsh from any civil liabilities as a result of him talking.

Walsh's information could blow this entire investigation open, especially if he has video evidence. Rumors of a book deal have been circulating, but remember that an indemnification agreement by the NFL would only cover him with respect to his communications to the league about Spygate. Walsh could face a lawsuit if he tries to turn Spygate into a ploy for personal gain.

Recent Developments
A $100 million civil suit has been filed by a former Ram's player naming the Patriots, Belichick and owner Robert Kraft as defendants. The suit seeks damages as a direct result of wrongful taping alleged in the complaint.

Walsh's information could be the smoking gun we all have been waiting for. If a tape does exist, the Patriots are headed for serious trouble. A team that flirted with perfection just a few weeks ago may be tarnished for years to come.


Tuesday, February 19, 2008

LEGAL LINE PODCAST V - What's The Holdup?

Why hasn't Matt Walsh divulged the information he allegedly has on the Patriots? 

Why was the NFL's indemnification agreement not good enough?

And why does Bill Belichick still think he can fool the public?

This week's podcast is an extended one so enjoy my analysis on the continuation of Spygate and what we can expect to see in the future......Just click on the title above or cut and paste the link below to listen.

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