Sport Law: Sports Agents/Agency Test 2 Questions and Answers

Sport Law: Sports Agents/Agency Test 2 Questions and Answers Agency Relationship -Ans the fiduciary relationship that arises when one person (a "principal") manifests assent to another person (an "agent") that the agent shall act on the principal's behalf and subject to the principal's control, and the agent manifests assent or otherwise consents so to act. How Is an Agency Relationship Created -Ans - Contract - No written document may be needed UNLESS the agent has the authority to perform an act that is not enforceable unless it is in written form -- agents may require athletes to sign exclusive contracts Fiduciary Duty -Ans an agent must act in the principal's interest as well as on the principal's behalf Duty of Care -Ans agent must use reasonable care when acting on behalf of the principal Duty of Accounting -Ans Agent must account for all money/property earned or lost through his/her actions Duty of Obedience -Ans Agent must obey the principal's requests concerning the principal's affairs. 2 Types of Authority -Ans - Actual - Apparent Actual Authority -Ans Agent actually has the power to act -- 2 subparts -- express -- implied Apparent Authority -Ans the agent has no power to act but the principal leads the third party to reasonably believe that the agent does have the power to act - binds the principal to the third party, but the principal can turn around and sue the agent Role of the Sport Agent -Ans advocates and represents the legal and business affairs of professional athletes. This includes: - Dealing with the Media - Negotiating Contracts - Marketing the Athlete - Handling legal matters involving the athlete - possibly even managing the athletes assets What Formal Education is Required for Sport Agents -Ans - none - traditionally there hasn't even been a certifying exam - NFLPA now requires a degree from a 4-year accredited college - most agents are lawyers though