Even with the introduction of Esports Contract, many eSports organizations are still holding on to the old-school approach. Teams often hold onto the signing of such contracts as a way to monitor the performance of their players and to maximize the income potential of such contract. However, Esports Contract template is not enough to give eSports players the freedom to pursue their interests without restrictions. It is therefore important to learn more about such contract.
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Esports contract is simply the formal agreement between a player and an organization on the issues of the working relationship. The company usually accepts the player as a team member. But at the same time, it becomes a legal agreement that can restrict the player’s freedom to promote and market his/her own interest. This brings us to the importance of knowing some key things about Esports Contract template.
o First and foremost, an Esports contract can be signed or accepted by the owner of a team. In other words, Esports owner can make or reject a contract for a player who is a part of the organization. Any binding contract for an individual is illegal. Companies who are in the business of eSports, however, hire the services of a contract service for this reason. Such organizations can check the validity of the contract against the guidelines of the industry.
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o Second, a contract template is no different from any other contract. A contract cannot be avoided if it is non-binding. In other words, if an Esports player accepts the contract, he/she can still do anything according to the rules of his/her choice.
o Third, a contract template also includes other types of obligations that may be tied to the contract. For example, there are obligatory payments that can’t be waived off. You might even find provisions that require payment to the sponsor. And these payments can be generated by an indirect payment (e.g.revenues earned by an organization) or a direct payment (e.g. revenue generated by an organization).
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o Fourth, an Esports contract is a binding agreement. Although the player may change his mind at any time, he/she cannot back out of a contract without the consent of the organization. If he/she refuses to sign, the organization has no other option but to terminate the contract.
o Fifth, a contract template is binding only on the parties who enter into it. Organizations who do not want their player to enter into a contract may impose additional requirements or conditions on the player. If he/she doesn’t agree, the player cannot play for the organization. If the player doesn’t agree, he/she cannot make a deal with the organization.
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o Sixth, Esports contract is an agreed upon contract. It must be fair to both parties involved. There must be no additional conditions imposed on either party by the other party.
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