Esports athletes typically sign several contracts when joining a team. Not only must they agree to the overall league rules, but clubs have TPAs — or Team Participation Agreements.
Generally speaking,TPAs are confidential. However, many clubs’ contracts include similar minimum terms.
Let’s review some common stipulations using the League of Legends’ standards.
Typical Esports TPA Contract Clauses (Using RIOT Games’ League of Legends’ Standards)
Three-Year Contract Length
Except in the rarest of circumstances, most League of Legends contracts include a three-year stipulation. This works for both teams and players. It gives athletes time to learn the ropes and mitigate performance pressure, which can often lead to sub-par play. Plus, it allows organizations to strategically plan, while simultaneously eliminating the risk of carrying players that never find their professional stride.
Immediate Termination In The Event Of Team Expulsion
It happens. Sometimes entire teams disband because of one or two “bad apples.” Other times, franchises dissolve for reasons that have nothing to do with players. Under such circumstances, it’s only fair that non-responsible parties are automatically released from their contracts to pursue other professional opportunities.
Ban On Automatic Renewals and “Renewal By Silence”
The Federal Trade Commission doesn’t allow “negative option” checkouts that require users to opt-out of subscriptions without making it clear that they’re enrolling in one. The same principle applies in esports. The overwhelming majority of contracts do not include “automatic renewal” clauses.
Stipulations For Reserve Players
Under most TPAs, reserve players are promised a minimum compensation.
Connect With An Esports Lawyer About Team Participation Agreements and More
We love esports here at the Gordon Law Group. Our team represents players and businesses in the space — but we never take on parties with conflicting or competing interests.
Whether you need someone to review a contract, write one, or negotiate on your behalf, we’re here.
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