Agents Activity in the Premiership

Agents activity in the 2013 / 14 season shows that:
a) £2.7m including VAT was paid out to Agents and this was an increase from last year.
b) There were 47 agencies representing Players in the Premiership and five of those agencies covered 50% of the market and 42 of those agencies covered the other 50% of the market.
c) 404 Players were represented by the Agents.

Representation of Age Grade Players

The Agents Review Board has been focusing on the extent to which Agents should be permitted to represent Players that were under the age of 18. The current Regulation on this point is covered off in Regulation 8.8.4 which states the following:

8.8.4 Registered Agents must not make any offer of contract, provide any letter of intent or offer any inducement to any Player under the age of 18 or to any parent, guardian, trustee or other person of such Player, except in the case of Players aged 16 or more where a contract is offered under which the only material consideration provided to the Player is in the form of a non-refundable financial grant to be applied only for the purposes of the Player’s academic and/or vocational training for a period of 12 months or longer.

There was consensus that there were a number of concerns relating to Agents representing Players under the age of 18.

Agents registration and exam – agents pass with an average mark of over 98%

All agents as part of their renewal process on registration with the RFU have undergone the completion of the Agents Exam. As communicated in the past the ARA were very supportive of this initiative as it worked as a training exercise and would certainly raise standards. There were some concerns over the format of the exam and the high pass mark. The ARA has kept in close communication to monitor results and work few those questions in the exam that were seen as not clear. We are delighted to report that out of those agents that decided to renew and complete the exam the average pass mark was over 98%.

The breakdown of the results was as follows:

75 completed renewal packs:

2 failed and were resent renewal packs – Past second time with 100%.
42 obtained 100%
13 obtained 98%
13 obtained 96%
7 obtained 94%

6 not required to renew

10 packs which have not been marked, due to them being incomplete, i.e. no renewal fee included or missing evidence of PI insurance. They will be marked and actioned when complete.

This therefore indicates a total number of current registered agents as 81 with a question still over the 10 packs not completed. Therefore the number of registered agents has reduced from 130.

Rugby Players’ Association launches Free Agent List

The Rugby Players Association has announced the launch of the RPA Free Agent List, which informs clubs of player’s availability due to them being out of contract at the end of the season. All RPA members will be able to upload their details and these will be made available through a secure server to numerous clubs including the Aviva Premiership and Greene King IPA Championship.

Home Unions agents scheme

The new harmonised agent’s scheme for the UK & Ireland is agreed we are now just awaiting site of the Memorandum of Understanding between the Home Unions to provide input.

As a reminder: the key principles of the harmonised scheme are:

  1. The regulations apply equally to all agents who carry out Agent Activity in any of Home Unions even if the agent is based outside of the Home Unions.
  2. Agents must register with the Home Union in which the agent is primarily going to carry out or intends to carry out agent activity.
  3. All such agents must undergo the same application and renewal process regardless of where they are based, regardless of whether they are registered with an overseas agents’ scheme and regardless of whether they would have been previously classified as an ‘Exempt Individual’ under the previous regulations. The concept of ‘Exempt Individual’ and ‘Overseas Agent’ therefore no longer exist and all agents will be subject to the same regulations and application/renewal procedure.
  4. Once admitted by one Home Union the agent will automatically be entitled to operate in the other Home Unions and will be subject to all other Home Unions’ jurisdictions.
  5. For existing agents, the introduction of the Home Unions Agents Scheme will not affect the everyday operation of the agent. If there is a disciplinary breach (whether by the agent, player or club), which Home Unions has jurisdiction will need to be determined on a case by case basis and will generally be determined based on where the defendant is based.

Enforcement of regulations

The key theme over the coming months for the RFU and ARB are governance and ensuring the regulations around agent’s activity are enforced. The ARB is considering proposals around the introduction of fixed sanctions and a tariff tables for breaches such as nonattendance at seminars and non – compliant contracts. They are also looking into the introduction of a mediation service for disputes between agents and/ or players and clubs and the introduction of a complaint log. We are in close liaison with the RFU on these proposals and will keep members posted on developments.

Benefit in kind (P11D) and agents fee’s

It would appear that this is still a mess with clubs having different approaches. It is the ARA understands that Premiership Rugby has advised all clubs that all agents’ fees should be treated as a benefit in kind and should appear on the player’s P11D.

The fee should be treated 100% as a benefit in kind and should include any element of vat. However in practise clubs in the Premiership seem to be adopting different approaches with a rough split of a third will treat 100% as a benefit in kind as advised by Premiership Rugby; a third have some understanding with their local HMRC office and have a percentage ratio applied and a third declare nothing for P11D purposes.

The ARA are trying to formulise a procedure with the Premiership which makes it clear at the time of any deal being concluded with a player how each club will treat the P11D element with regards agent fees.

Agents seminar at Rugby Expo 2014

 

A proposal is before the ARB to hold the next agents seminar at Rugby Expo in 2014 and this is supported by the ARA. It is also hoped that the ARA will be able to have a bigger say on the format and content of this seminar to ensure a good quality event.

Meet the Management Board

Mark Spoors – Chairman – Mark set up Big Red Management in 2003. Having read marketing with law at university Mark spent the first 3 years working for sports management companies IMG & Sports Masters International, before setting up Big Red.

Shaun Longstaff is a former Scotland International winger. A distinguished career with a long service to Scottish rugby, Shaun played at Glasgow, Edinburgh and Borders as well as stints at French clubs Castres and Pau. A well respected member of the professional rugby fraternity, his connections and knowledge of the game are second to none.

Duncan Sandlant is the Managing Director of Esportif International’s European office. He is a qualified employment lawyer with over twenty years legal experience specialising in sports law. He also still consults with Lewis Silkin, a leading London based law firm, where he is part of their Sports Law Team. Duncan has been managing and representing players and coaches for over ten years.

Rhys Parsons is a Director of Esportif International’s European office and specialises in searching for and obtaining playing and coaching opportunities for clients in the UK and French markets.

Rhys is fluent in French and is licenced by the French Rugby Federation to represent professional players, coaches and clubs in France. Rhys is a qualified lawyer who specialises in sports related employment law and has over 6 years legal experience working in London, Paris and Cardiff.

Richard Wilks played professionally for Sale Sharks from 1999 to 2003 after graduating from Newcastle University. During his time at Sale Sharks he started working as a consultant for Brabners Chaffe Street law firm. He joined SFX in 2005 and went to Wasserman Media Group as a Director when they acquired SFX globally. In 2008 he left WMG and established Green Room Sports Management.

Richard Cranmer obtained an LLB Honours Law degree from Leeds Metropolitan University and an LLM in Advanced Litigation at Nottingham University. Richard has over 25 years of legal experience having qualified as a solicitor in 1985 and formed Cramer Richards solicitors in 2002. Richard is a Registered Lawyer with The Football Association and acts as an agent in Rugby League, Rugby Union and Cricket.

Christian Abt is a qualified lawyer and has been working in the Industry since 2001. Born and raised in South Africa he has lived in England since 2000. During his time in the Sports Management Industry Christian has created an excellent client base which can be found throughout world rugby and sourced a number of commercial opportunities for his clients.

Dave Williams worked in journalism, copywriting and PR before embarking on a nine year career with sports brand Puma (in the UK and Germany) with management roles in sports promotion, PR and investor relations. Before leaving Puma in autumn 1999, he held the position of Head of Marketing, Europe. Dave is also the co-publisher of Running Rugby – a magazine for decision makers in Union and League.

Tim Lopez Heading up Essentially’s UK Rugby Management Division- Fluent in Italian, Spanish and French, Tim has been instrumental in developing Essentially’s brand across the continent and works with players and clubs across Europe. He has also obtained an FFR licence to trade in France. Tim also obtained the FIR licence (Italian Federation). Tim has a wealth of experience within the sports industry, having worked across sports PR, sponsorship and media before joining Essentially from World in Motion.al member of the Athlete management division, representing some of the best rugby players and coaches around the world.

Pete Simmons having attended Otago University where he obtained a BCom and LLB, Pete was later admitted as a barrister and solicitor to the High Court of New Zealand in 2005.

Pete established his expertise in contractual drafting and negotiation, while working as a commodities trader and solicitor before joining Essentially in 2008. He has a vast knowledge of the global rugby market, a reputation for integrity and commitment.

Benefit in Kind

Benefit in Kind is a major issue in our industry today. The liability that players are required to pay Tax on agent’s fees as it can be classed as a benefit in kind is a complex issue. The ARA is working hard with Premiership Rugby and RPA to get a uniformed procedure across all clubs with dealing with this.