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What Should I Include in My Professional Sports Contracts?

Before you offer employment to a professional sporting athlete, there are a few things to consider. This article highlights some of the essential terms to incorporate into your professional sports contracts to give your sports club the best level of protection, including:

  • confidentiality;
  • the physical condition of the athlete; 
  • the duties and responsibilities of the athlete; and 
  • termination. 

Confidentiality Clause For Professional Sports Contracts

The two streams of confidential information include information:

  • the law defines as confidential, such as trade secrets; and 
  • you define in the employment agreement as confidential, such as company manuals, training materials, and supplier lists. 

As a sports club, you may not be able to keep information confidential from your new professional athlete. That is to say, you likely need to divulge this information to provide them with all the information about the club. This may include specific information about your:

  • suppliers;
  • business; and
  • marketing plans.

This is where a confidential information clause in the employment agreement will give you the best level of protection. If an employee breaches the agreement that contains a confidentiality clause, you can pursue legal action for breach of contract. 

Additionally, your contract might outline that you can apply to a court to receive an injunction. An injunction can prevent your employee from continuing to share confidential information, consequently limiting the harm caused by sharing the information.

Clause Relating to the Athlete’s Physical Condition

A key consideration when employing an athlete is ensuring that they have the necessary fitness to perform the duties of their position. Therefore, it may be helpful to include a clause in the employment contract where the athlete agrees that they do not have any pre-existing medical condition, ailment or illness which would prevent them from performing the inherent requirements of the job. 

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Athlete’s Duties and Obligations in Professional Sports Contracts

It is essential to be clear about your athlete’s duties and obligations, especially since:

  • they are a reflection of the sports club; and 
  • you want to ensure that they take their responsibilities seriously. 

For example, a sports club might require professional athletes to attend community activities, marketing campaigns, and media conferences. Hence, it is essential to set this out in the contract so that the expectations are clear from the beginning. 

Terminating Employment

In the employment contract, it is essential to outline the notice periods for either party to terminate the employment. For example, you may wish to include a probation period which allows either party to terminate the employment with one week’s written notice. Additionally, you may include a fixed four-week notice period after probation to give yourself enough time to find a replacement athlete if your employee resigns. 

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Key Takeaways

If you run a sports club, you likely want to protect your club if you bring on a professional athlete. A key consideration for a sports club when hiring an athlete is to ensure that your employment agreements give your business the best level of protection. You can do so by ensuring your employment agreement covers:

  • confidentiality;
  • the physical condition of the athlete; 
  • the duties and responsibilities of the athlete; and 
  • termination. 

If you need assistance drafting an employment agreement for your sports club, our experienced employment lawyers can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 1300 544 755 or visit our membership page.

Frequently Asked Questions

How can I protect my sports club when hiring my first professional athlete?

An important way to protect your sports club when hiring your first employee is through the employment agreement you have with the professional athlete.

What is a confidentiality clause?

Employment agreements often include a clause restricting employees from disclosing confidential information obtained during their employment. If the employee discloses said information, they risk breaching the contract.

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Millie Doran

Millie Doran

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