Labor Unrest in the NFL — What It Means for Sponsors, Television Partners and Licensees
February 11, 2011
Irwin A. Kishner,
Sports Litigation Alert
Irwin Kishner, Matthew Pace and Rick Torres opine that a football strike or lockout would create potential problems for sponsors, broadcast partners and licensees. The article points out that creative materials are developed months in advance of their launch, meaning that sponsors must decide whether to invest time and money into creating and developing the materials, without knowing whether the next football season will be played as scheduled, delayed or cancelled entirely. Licensees, meanwhile, pay advances against royalties, and if the games aren't played, revenues from licensed merchandise will drop sharply.