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Sunday, November 20, 2011

Who's Rights?


Financial problems have not hid from many people, businesses, or even sports organizations during this tough economic time. But for the Los Angeles Dodgers, their problems only seem to manifest into bigger problems that will ultimately change their future for a long time. Throw in the world of media coverage and the positive and negative dimensions around it and you can have a disaster waiting to happen, or a disaster inside of another disaster. For example, team owner Frank McCourt filed for bankruptcy after not being able to pay the team’s players after losing half of his finances due to his recent divorce. So now, McCourt is ordered by the Major League Baseball Commissioner Bud Selig to sell the team in order to uphold the leagues agreement with its players and other owners for the betterment of the league as a whole. And to make things worse, or for our entertainment, more interesting, in recent news, the Dodgers are in the process of suing FOX over the sale of the team’s media rights.
The Dodgers feel that FOX is interfering with the teams bidding process of the broadcasting rights. This in turn means that the Dodgers are under the impression that FOX is using the Dodgers brand in order to make profit before the team’s status and ownership is determined. The lawsuit filed against FOX states: “Fox's efforts to take possession of property of the [Dodgers] estate and to exercise control over such property violate the automatic stay...are affecting and will continue to affect the estate adversely, including the efforts of the [Dodgers] estate to evaluate, market and potentially dispose of its existing and future media rights,” However, FOX feels as though their right to move forward is listed in the initial contract agreement between the Dodgers and FOX. “This is just the latest chapter in the current owner's ongoing scheme to avoid honoring his contractual obligations” stated FOX Vice President of Communications Chris Bellitti. This lawsuit calls for an interesting conclusion after everything is said and done because the state of the franchise is literally up in the air. Media rights are especially important in this case because it has an affect on the team’s future, selling price of the team, and the future potential profits that can be generated through media and broadcasting agreements. The next owner will want to have a huge say on the media rights in order to set their own revenue streams which is why potentially intervening with the current deal can cause many problems in both the short and long term.
            The lawsuit still has a lot of aspects that will be addressed as the case continues. Either way, it is a sad chapter in a historic franchise and its fans. In a sporting industry full of lockouts, holdouts, and scandals, this media rights and broadcasting issue stands in the way of a new future for the Los Angeles Dodgers. It is now more than just selling the franchise to the highest bidder because this issue will have to be resolved in order to efficiently get the right owner/owners the right deals for the buck. This just goes to show that media plays an important part of every franchise and their income statements.


Check out more articles below to get more information about this media rights issue:




References:
Fox News. (2011, November 16). Dodgers sue fox over sale of media rights read more: http://www.myfoxla.com/dpp/sports/dodgers-sue-fox-over-sale-of-media-rights-20111116
Palank, J. (2011, November 16). Dodgers sue fox over sale of media rights . Retrieved from http://online.wsj.com/article/SB10001424052970203699404577042220194179562.html

Sunday, November 13, 2011

A Real Lose For the Sports Industy


In recent years, there has been much conflict, controversy, and debate in the world of sports. From sex, money, and drugs, to contract breaching, player lockouts, and morals/ethics practices. The sports industry has had its share of headliners in the past five years. There are many stories that stand out, but for the most part, many share similar characteristics to one another. However, the recent controversy surrounding Penn State University and now former Head Football Coach Joe Paterno has its own unique source of controversy, debate, and moral wrongdoings that will affect the sports industry as a whole legally, morally, and lawfully in both the college and professional level.     
            After a harsh week of questions and debate about the future of Penn State University, and its football program, the week ended with the end of a coaching legend that will now forever be tarnished. Two top-level university officials were also fired and the university was left seeking answers for all that has transpired from a series crimes taken place on its campus for decades. The story broke out after allegations started swirling about former assistant head coach Jerry Sandusky sexually abusing young boys while employed at Penn State University. A state grand jury report alleged that Sandusky has over forty charges of sexually abusing young men while at the University. On one account, then graduate assistant Michael McQueary witnessed Sandusky in the football showers fondling a young male. McQueary informed then Head Coach Joe Paterno about what he had seen. Coach Paterno went to the University’s Athletic Director Tim Curly who along with the University’s Senior Vice President Gary Schultz pretty much buried this information in order to save the University’s image, brand, and reputation.  By not doing enough to save or prevent more incidents like this from occurring, Paterno, Schultz, and Curly all lost their jobs. Coach Paterno’s firing caused much debate and controversy. Following his firing, there were riots, vandalism crimes, and even a bomb threat for the team’s football game against Nebraska. Seems like these consequences can be attributed to a tort within the moral responsibilities of the University and its officials.
Unlike most sports controversies, this story turns your stomach and hits an emotional button of sympathy for the victims and another button disgust for the precautions and prevention methods not used by the adults in this story. There is no money scandal, illegal benefits, contract disputes, or banned drug use in this particular story, but it hits something harder than those controversial topics, the human rights of our youth and the affects they have within our sports world. Penn State has always been known as a prestigious university and with these shocking events now taking place, this university will now forever be tarnished by an ugly past that was never handled properly. As sports fans, it is easy to forget about the important things besides wins and losses, but in this case, no one wins, there is only loses to share for the University, its officials, and most importantly, the victims.

Check out these related articles to learn more about this sad story and its recent and long term affects:

http://online.wsj.com/article/SB10001424052970204190504577036924115215192.html