Thursday, March 16, 2006

Rocky Week for Football Agents

Its been a rocky week for NFLPA Certified Contract Advisors. Although some are busily signing clients and generating fees, others are fighting for their personal and professional lives. Yesterday, news reports covered the story of Dante DiTrapano, an agent for Randy Moss who was arrested and charged with possession of crack cocaine.

On March 1, United States District Court Judge Ronald Lew allowed the Players' Association's Motion for Summary Judgment in its Declaratory Judgment action filed against David Dunn. The Court found that as a matter of law, Dunn and the NFLPA had formed an executory contract. His application for certification was an offer, his certification was the acceptance and the consideration supporting the contract is his being allowed to serve as a Contract Advisor "representing the NFLPA on its behalf in salary negotiations" between clubs and players. The Court rejected Dunn's argument that he was licensed to pursue a profession. The Court left it up to the Bankruptcy Court to lift or decline to lift its stay as it is a discretionary matter for the Bankruptcy Court. Judge Lew's Order is available on the Federal Court PACER system.

Judge Lew's decision makes clear that as a party to an executory contract, the NFLPA is entitled to discipline Dunn. Most commentators expect the Bankruptcy Court to lift its stay given Judge Lew's clear finding in favor of the NFLPA, which would then allow the NFLPA to sanction Dunn as it has intended since the verdict in the Steinberg lawsuit.

The NFLPA's Committee on Agent Regulation and Discipline has suspended Carl Poston for two years stemming from a grievance filed by LaVar Arrington. Arrington orally agreed to a $6.5 million bonus as party of his $68 million agreement with the Redskins, but the bonus was not documented in the written agreement. The Redskins dispute the claim entirely and Poston's agent threatens to "vigorously contest this using all appropriate remedies."

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