The thought of LeBron James endorsing a sneaker other than Nike, or Shaun White riding a snowboard other than Burton, is almost unimaginable. One reason why athletes such as those superstars become indelibly linked to a particular brand or team is the right of first refusal provision in their endorsement and playing contracts. This article explains how a properly drafted right of first refusal can be a very powerful tool for sponsors.
Brian R. Socolow is a partner at Loeb & Loeb LLP. He represents organizations in the sports industry and other businesses. He is based out of the New York office and can be reached at firstname.lastname@example.org.
Reprinted from Sports Business Journal, Volume 12 Issue 2. Permission for article reprint has been granted.