Tag: NFL

Biden’s Impact on the Industry: The Stadium Subsidy Question

As we near the end of the first month of Joe Biden’s presidency, it may be interesting to investigate further what Biden’s impact on the sports may be. Beyond the previously highlighted potential changes in environmentally-mind legislation, the current administration may invoke impactful financial regulations. 

First, let’s take a look at the existing landscape. In 2017, when players knelt during the national anthem in protest against police brutality, Donald Trump extended his attack on the National Football League to tax policy. He took to Twitter citing the NFL’s “massive tax breaks” and, as a result, highlighted the stadium-subsidies that exist at state and local levels. Some of these subsidies rely on the ability to issue municipal bonds and generate income, which is then exempt from federal taxes, allowing owners to take advantage of cheaper financing. The foundational assumption here is that the federal government shouldn’t indirectly tax local governments on projects that support public infrastructure. However, the delineation of what is in the public’s interest, and therefore can be exempt from federal taxes, lacks clarity. Although most states have restrictions rooted in the Public Purpose Doctrine that bar them from using public money to support private enterprise, the extent to which sports stadiums are in the public’s interest has been a malleable issue. 

The 1954 Supreme Court ruling in Berman v. Parker may help contextualize why this issue is such a debate. In this landmark case, the Court unanimously ruled that the term “public purpose” may be extended to uses that serve “public welfare,” including those private uses that promote “public safety, public health, morality, peace and quiet, [and] law and order.” Therefore, the legal definition of “public interest” is subject to contestation. During the time of Trump’s tweet in 2017, subsidies for sports stadiums had cost the federal government $3.7 billion since 2000 (follow this link for a closer look at which stadiums were financed with tax-exempt municipal bonds). Under this system, fans may even be unknowingly financing the construction of their rival team’s new stadium. Many suggested that Trump’s tweets did not mean much since his administration’s actual tax plan did not reflect the same energy. 

Unsurprisingly, stadium subsidies are a highly contested issue and have received pushback over the years from both the House and the Senate. Furthermore, in 2015, the Obama administration’s budget included a provision aimed at changing how tax-exempt bonds are issued in hopes of dismantling these stadium subsidies. Six years later, and the sports industry continues to benefit from stadium subsidies. For example, the most expensive Minor-League Stadium in history set to become the Pawtucket Red Sox home may cost taxpayers upwards of $150 million.

Another particularly timely example comes from reigning Superbowl Champions and the first team to host their own Super Bowl appearance, the Tampa Bay Buccaneers. To better prepare for a football season during the pandemic, Raymond James Stadium received upgrades to health and safety measures that cost over $10 million of federal funds. Notably, the Florida Supreme Court holds a history of allowing public funding to go towards recreational, entertainment, and tourism projects (e.g., Rowe v. Pinella Sports Auth., State v. City of Miami, State v. Orange County Indus. Dev. Auth, and more). However, this case comes with a bit of a twist since the funds came from the Coronavirus Aid, Relief, and Economic Security (CARES) Act as the upgrades aimed to address public health concerns and decrease infection risk. Some of the upgrades included touchless equipment ranging from sinks and soap dispensers to ticket scanners and credit card readers as well as a new parking lot PA system. However, in an article published last week, The Hill notes that these upgrades were not completed until most of the season was over, calling into question whether fans’ health and safety were the sole priority. 

Regardless, the added layer of the pandemic and CARES Act only complicates the public interest question when it comes to private enterprise related to sports infrastructure. Phil Mattera, research director at Good Jobs First policy resource center, noted last fall, “The Trump Administration is paying little attention to how CARES Act funds are being spent or the track record of the companies receiving the aid.” Although not much has changed in terms of stadium subsidies since Obama’s efforts in 2015, the turnover of administrations in the White House could present new possibilities and restrictions, especially regarding CARES Act fund monitoring. The case of the Tampa Bay Buccaneers and how they have benefited from CARES Act funds highlights the potential for impact on the industry. 

Regarding tax policy, the Biden administration has conveyed that changes are incoming. The official Biden Harris campaign website systematically defines their plans to put more pressure on big corporations. These changes will, of course, affect the wealthiest members of the sports industry, such as team owners and other executives, as they may consider fluctuations in capital gains tax, estate tax, and gift tax when making decisions. Sportico reported in October that the NFL sent out a memo to all executives across the 32 teams reminding them to inform the league of any ownership transactions before the end of the year. Although the league denies that the upcoming election had anything to do with the memo, Sportico emphasized that NFL owners and their families could have saved millions by making changes before the turnover towards Democratic leadership and the tax changes it may entail. Under the Biden administration, there is an increased likelihood that plans to end stadium-subsidies may re-energize.

Jeanette SubkhanberdinaLeave a comment

2020 in Review, 2021 Preview: M&A

Having (finally) turned the page to 2021, today let’s take a look back at some of the biggest stories in sports law from the past year. 2020 was set to be a consequential year in sports even before the arrival of COVID-19. However, the pandemic only heightened the importance of a year that witnessed both blockbuster mergers and widespread layoffs in sports business, overdue support for athletes’ expression in social justice movements, and on-the-fly adjustments of how sports are watched and played.

Much of 2020’s chaos that rearranged the sports world will continue to have significant commercial impacts on the industry. Below are some of the fascinating stories that last year provided, and what we might expect 2021 to bring.

What happened:
Penn-Barstool Partnership
Perhaps the most surprising deal transpired at the beginning of the year with Penn National Gaming turning heads during Super Bowl week. The company announced that it had purchased a 36% stake in Barstool Sports for $163 million, valuing the Boston-based sports media group at $450 million. The deal was widely-regarded as a win-win as the oft-in-controversy Barstool gained the legitimacy and platform of a media superpower, while Penn acquired easy access to an ideal market audience for the rollout of a much-anticipated sports betting division. The agreement came at a time with sports betting experiencing skyrocketing growth, and in the court of public opinion, gambling has gone from taboo to tantalizing as more and more legislators rush to legalize the industry in their own states. However, the Penn/Barstool combo faces an uphill battle getting their share of the market as sports betting is already dominated by established operators in FanDuel, Draftkings, William Hill, and others.

Cohen Gets the Green Light
Steve Cohen, a hedge fund manager worth roughly $14 billion, gave Mets fans everywhere something to be excited about when he purchased the team for a MLB-record $2.475 billion this past fall. However, the acquisition did not come without significant hurdles. Back in February, he and the longtime Wilpon family ownership had reportedly agreed to a deal that would have transferred 80% of the Mets to Cohen, however talks suddenly fell through and the agreement was pronounced dead. The team went back on the market and Cohen – in his second effort – faced a competitive bid from longtime Yankees superstar Alex Rodriguez and entertainer-fianceé Jennifer Lopez. Then, when it became clear that Cohen was willing to far-outspend the competition, rumors swirled that New York Mayor Bill de Blasio was “trying to kill” any sale of the Mets to Cohen, reportedly stemming from the fact that Cohen’s former company, SAC Capital Partners, pleaded guilty in a 2014 insider trading case, which cost the firm $1.8 billion in fines. Despite these obstacles, Cohen’s purchase of a 95% stake in the Mets was approved in October. So, after years of being run like a mid-market team, the New York Mets are already seeing dividends now that Cohen, a longtime Mets fan himself, is at the helm. Following promises to spend big on the Mets, Cohen has quite literally put his money where his mouth is, already adding more than $100 million to the team’s payroll through various key moves. Since 2010 (and excluding last year’s pandemic-adjusted season), the Mets have had an average payroll of roughly $124 million. With the start of the MLB season still more than two months away and potentially more moves to be made, the Mets’ payroll already exceeds $160 million and only figures to increase. According to Forbes, the Mets are the 5th most valuable MLB team and the 41st most valuable team globally.

Spotify Snags Simmons
Spotify continued its run of podcast acquisitions with another big name buy. Having already shelled out $400 million for Gimlet Media, Anchor FM, and Parcast, Spotify reportedly spent more than $196 million to land Bill Simmons’ The Ringer in an effort to grow its sports vertical. In Spotify’s words, The Ringer, launched by Simmons in 2016, is a “website, podcast network, and video production house creating an innovative blend of sports, pop culture, politics, and tech content.” According to Statista, The Bill Simmons Podcast, part of The Ringer’s robust podcasting lineup, was the 5th highest earning podcast in 2019 bringing in over $7 million. While the growth of podcasting is hard to pinpoint, the following statistics paint a picture of its vast potential: in 2020, 55% of Americans had ever listened to a podcast, 37% of Americans twelve or older listen to one monthly, and podcasts accounted for 19% of all spoken-word audio listening in the U.S., compared to 2017 when these numbers were 40%, 24% and 15% respectively.

What to look for:
NFL to hit $100 billion?
With most NFL broadcasting rights agreements set to expire in 2022, the league will sign a new contract this year with many expecting that it will be a 10 year deal that could “far exceed” $100 billion in total value – and it’s easy to see why. Out of the 50 most-viewed TV Broadcasts of 2020, the NFL dominated claiming 33 of the largest audiences, including Super Bowl LIV, which reeled in one-hundred million viewers, unsurprisingly making it the most-watched broadcast last year – for the 28th year in a row. While core aspects of the NFL’s current agreement figure to remain intact, a few key games are expected to change hands, even including America’s most popular program. Nothing is set in stone, but rumors are that ABC and ESPN will be added to the Super Bowl rotation and ESPN will receive more flexibility in its Monday Night Football (MNF) slate to ensure the best-possible matchups. Perhaps more intriguing, the NFL is reportedly considering offering ABC, ESPN, CBS, and Fox two Super Bowl broadcasts each, and auctioning off the final two at a later date. The new broadcasting agreement will likely witness one of Amazon, ESPN+, Peacock or Apple take over the Sunday Ticket package given that DirecTV seems poorly-positioned to continue the deal. Also, Amazon may become the exclusive provider of Thursday Night Football with Fox reportedly looking to move on from the package. NBCUniversal is focusing on retaining the most-watched prime-time TV show for the last nine years in Sunday Night Football. Finally, a few notes on current pricing and revenue: rates for Sunday afternoon games have been $1 billion annually, but may jump to $2 billion; ESPN has paid $2 billion for MNF, but may need $3 billion to retain the package; Sunday Ticket is priced at roughly $1.5 billion annually, but will likely be subject to a bidding war which will drive up the cost; the NFL’s annual revenue from its media rights is currently around $7.5 billion and could double to almost $15 billion. In any event, the NFL’s much-anticipated TV deal will be something to look out for as it will undoubtedly shape the broadcasting market for the next decade.

XFL game-planning for 2022
Among all the losses experienced due to the pandemic, it’s hard to argue that any sports entity suffered more than the XFL, whose debut began with a very promising start in February, only to be stopped short the next month and later, subjected to bankruptcy. Thanks to careful planning, significant funding, and an impressive marketing effort, the XFL seemed well-positioned to erase the doubts stemming from its 2001 failure and establish itself as a legitimate and profitable “minor league” to the NFL. Early returns on the XFL proved as much: the league averaged 1.9 million viewers and was projected to hit $46 million in gross revenue for the unfinished 10-game season, exceeding internal expectations. Of course – consistent with the theme – the pandemic plunged the XFL and its investors into financial ruin, forcing CEO of WWE, Vince McMahon, to sell the team to actor and businessman Dwayne “The Rock” Johnson for just $15 million. Citing the needs to restructure the organization and have fans back in seats, the XFL has no plans for a 2021 season, however expects to return in spring 2022. Accordingly, many expect Johnson, alongside business partners Dany Garcia and Gerry Cardinale, to be active in securing investments to position the XFL for a strong – and permanent – revival next year.

Sportradar on the move
In a year that witnessed the continued growth and popularity of sports betting, Sportradar, unbeknownst to most, finds itself poised for a major move. Sportradar is an international, Switzerland-based company that collects and analyzes sports data, providing it to bookmakers, sports federations, and media companies, including the MLB, NBA, NFL, NHL, William Hill, Bet365, and many more. The company employs more than 2,000 people over 30 locations across the globe and boasts Michael Jordan and Mark Cuban among its list of investors. So, why is Sportradar making the news now? Well, after receiving a B+ credit rating from Fitch Ratings, it was revealed that the sports betting powerhouse has been raising $505 million to finance a potential acquisition, reportedly with a specific M&A entity in mind. Though the identity of this target remains unknown, some have speculated that it could pursue another sports betting platform, while others predict Sportradar may look for a casino platform. In any event, most seem to agree that at some point this year Sportradar will look to go public, however disagree whether it will do so through a traditional IPO or a SPAC, the latter of which would allow the company to reach the public roughly two-to-four months faster than using the former. Regardless, it is clear that Sportradar has big ambitions for 2021. The company just appointed a former CEO of Fiserv Inc., Jeff Yabuki, to chairman of the firm’s board of directors and while its plans are still in the dark, many expect Sportradar to make lots of noise early on in 2021.

Oliver GreenLeave a comment

Pricey Pandemic Insurance Policy Sets Wimbledon Up For $141 Million Payout

While the rest of the sports world is sustaining huge losses, one organization is well positioned to navigate through the global recession. The AELTC (All English Lawn Tennis & Croquet Club) is the association responsible for hosting and operating the prestigious Wimbledon Championships that were set to take place this June. And while COVID-19 is causing most leagues to scramble to find any salvageable solutions, Wimbledon has had the “luxury” of simply cancelling the tournament, and recouping $141 million in the process.

Despite the fact that Wimbledon was projected to generate more than $300 million in revenue this year, the roughly $150 million loss they will see as a result of the pandemic pales in comparison to those of other major leagues and events. Forbes estimated that the NCAA will see damages of $1 billion, the NBA – $1.2 billion, and the MLB (whose season had not yet even started) – as much as $2 billion. These numbers are all based around an assumption that the leagues will resume sometime over the summer, but given the uncertainty it is possible — even likely — that the true figures will be much higher.

So, how exactly did Wimbledon “ace” its handling of the coronavirus chaos? The story reportedly traces back to 2003, the year in which SARS rattled the world and brought pandemic preparedness to the forefront of international dialogue. Though SARS didn’t uproot the sports world like COVID-19 is doing now, the AELTC understood the potential of a global spread and updated its insurance policy to cover an infectious disease clause. That amendment didn’t come cheap however; it cost the AELTC a whopping $2 million per year to protect its premier event from what most others considered a once-in-a-lifetime fluke that wouldn’t repeat itself.

Until it did.

17 years and $34 million later, AELTC is seeing the worst case scenario (in the sports world, at least) unfold, but its directors can rest easy knowing Wimbledon is covered and well-poised for a 2021 return. The policy is exactly why AELTC didn’t need to postpone or reschedule Wimbledon, in fact, the London-based club reportedly had to cancel by a certain date in order to recoup the insurance premium.

Meanwhile, other leagues and major events are trying to brainstorm any possibility to soften the financial blow each one is facing. Even if the NBA returns late in the summer and skips straight to playoffs, or the MLB’s “quarantine league” comes to fruition, these events will undoubtedly be held without crowds and the leagues will still suffer substantially this year. So, a question many are likely wondering is: why didn’t these organizations have any protections on their events like the AELTC did with Wimbledon? The short answer is that they actually did, just to a limited extent.

Most contracts include force majeure clauses, which excuses certain contractual obligations due to a “superior force”. These forces consist of circumstances that are largely out of both parties’ control such as natural disasters, acts of terrorism or say, a global pandemic like the novel coronavirus. However, while sporting organizations can invoke the force majeure clause, the primary benefit in doing so would derive from these organizations’ ability to withhold pay for missed games.

Accordingly, this contract language (if enforced) only really protects these companies from the costs to their thousands of employees, rather than safeguarding them from losses to the revenue, highlighting the true value of AELTC’s insurance. However, at this point, the money these leagues could save by invoking force majeure is far outweighed by the revenue that any semblance of a season would drive, even if it means fan-less events. The reality is, if leagues are going to see any sort of monetary light at the end of this coronavirus tunnel, the government will likely be the one shining it.

In a summary published by lawyers from White & Case, they believe that governments will be willing to provide financial support to prop up the sports industry as it looks to restart itself. Given both the economic and social impact of sports, the government has a vested interest in doing so, however the report warns to expect some form of lengthy litigation in leagues’ pursuit of federal compensation. In any event, whatever kickback AELTC receives down the line will be icing on Wimbledon’s well-insured cake.

Oliver Green1 Comment

NFLPA’s consequential victory against the Jacksonville Jaguars prompts Tom Coughlin’s firing

The holiday season came early for linebacker Dante Fowler Jr. this year as he had  $700,000 in fines rescinded on behalf of the NFL Player’s Association. Those fines were issued by Fowler’s former team, the Jacksonville Jaguars, which has traded away back-to-back top-five draft picks in Fowler (#3 overall in 2015) and star cornerback Jalen Ramsey (#5 overall in 2016). Both ex-Jaguars now play for the Los Angeles Rams and have had choice words about their time in northern Florida; as for the source of their resentment, the team’s former Executive Vice President, Tom Coughlin, is the overwhelming culprit.

Fowler’s case was brought to the NFLPA’s attention when the Jaguars asserted that the Florida native had missed 25 mandatory appointments with a team trainer last season, resulting in the aforementioned fines. However, because the appointments were made during the offseason, they were in violation of the CBA which clearly states (Article 4 section 9f), “salary may not be subject to forfeiture for missing voluntary offseason programs or voluntary minicamps…” The NFLPA also released a statement saying as much and added that the Jaguars had recently decided that they would require all injured players to get their offseason rehab at the Jaguars’ facility, however this policy did not render those rehab programs mandatory.

For his part, Fowler was rightfully animated over the news of his exoneration and let the world know on Twitter, and as it turns out he is far from the only ex-Jaguar to take issue with his former team. Jalen Ramsey, the only First-Team-All-Pro Jaguar in over a decade,   loudly griped his way out of Jacksonville over similar frustrations with management, specifically Tom Coughlin, who was responsible for the fines handed down to Fowler. However, more interestingly, since the club’s 2017 AFC Championship run, more than 25% of player grievances have been filed against the Jaguars.

As for Jacksonville, while their sudden fall from the NFL canopy has been ugly, their reputation around the league has become even uglier. For one, the decision to trade two franchise players in Fowler and Ramsey has left a bad taste in the mouths of their teammates, especially given the public nature in which it unfolded. Ramsey was instrumental to that 2017 run and Fowler would lead the Jags in sacks if he were still on the team. However, though team owner Shad Kahn took steps this week to mitigate these disasters by firing Tom Coughlin, there is still widespread distrust toward the club that could hamper Jacksonville’s attractiveness in free agency.

In the wake of its victory against the Jaguars, the NFLPA sent a letter out to every player in the league notifying them of Fowler’s case and warning them of potentially signing with the team. The statement said that players, “continue to be at odds with Jaguars management over their rights under the CBA far more than any other clubs.” For the second year in a row, the team failed to win more than six games and figure to be in an even tougher spot for the upcoming season. As it stands now, the Jaguars have the third-lowest cap space to operate with for the pending offseason and have many holes to fill. Time will tell just how far back Coughlin’s policies have set the Jaguars’ timeline to contending again and how players around the league will view Jacksonville as a potential landing spot this offseason.

Oliver GreenLeave a comment

NBA looks internationally with G League Franchise in Mexico City

The NBA just showed everyone why it is the most dynamic league in sports with the announcement of its landmark partnership with the Capitanes, the first professional G League team outside of the U.S. and Canada. Between the NBA, NFL and MLB, all three associations have had an eye towards international expansion and have played games in Mexico, England, Japan, China and Australia in recent years. However, the NBA has become the first to officially open a franchise outside of the U.S.-Canadian markets. The Capitanes were established in 2016 and currently play in Mexico’s own professional basketball league, la Liga Nacional de Baloncesto Profesional, however will debut in the G League in the 2020-2021 season for an initial term of 5 years.

The possibilities with this move are endless and really allows the NBA to become creative in rethinking the G League and minor league basketball as a whole. For one, the Capitanes will be playing at the Gimnasio Juan de la Barrera in Mexico City which represents the largest media market in North America. The NBA can test this market for its viability for professional basketball, leaving the door open to a potential NBA league team in the future and could even become a two-team city like New York or Los Angeles down the road.

As evidence, for the fourth season in a row, Mexico City has been the host to two regular season games and saw the Mavericks and Pistons play this week in an event that underscored the global nature of NBA. Before the game, Luka Doncic, a Slovenian 20-year old who played for Real Madrid, addressed a crowd in fluent Spanish while representing a team from Texas. You can watch the clip here and instantly recognize the opportunity that exists for the NBA in Mexico.

A large part of the NBA’s appeal is its diversity, both domestically and internationally. It has been praised as the “industry leader among men’s sports for racial and gender hiring practices” by TIDES, the authority on diversity and ethics in sports, while also boasting players from countries around the world such as superstars Giannis Antetokounmpo from Greece and Joel Embiid from Cameroon as well as retirees like Yao Ming of China and Spain’s Pau Gasol. Interestingly enough, though Hispanic viewers represent 11% of the NBA viewership, outside of Dominican-born Al Horford and Argentina’s Manu Ginobli, Latin America is not known for sending much talent to the NBA. However, the league’s expansion to Mexico could inspire a generation of NBA hopefuls and the next Latin American-born star might be the spark that lights up basketball culture across the region.

This is exactly why a G League in Mexico now opens up so many possibilities for the NBA in the future. As it stands now, two of the NBA’s 30 teams, the Nuggets and Trailblazers, do not have a G League affiliate and instead send their developmental prospects to play on other G League teams. This is far from ideal given the lack of control they have over this development process, however the lack of uniformity could also allow the NBA to pivot completely from how G League teams are conceptualized.

Let’s get crazy for a second and imagine that the NBA adopts a structure similar to that of professional soccer in Spain and made tiers of teams that would be promoted and demoted based on season results. Thus, the NBA would represent tier 1, the G League would represent tier 2, and let’s say Mexico’s la Liga Nacional de Baloncesto Profesional (LNBP) would represent tier 3. The NBA could then introduce a tournament toward the end of the regular season for the bottom four teams and demote the loser of the bracket to tier 2, meanwhile champion of the G League would move up and take the spot of that losing team. The same would happen the last place team of the G League and the champion of the LNBP.

As wild as it is, it would completely take the incentive away from tanking, while adding another “playoffs” of sorts that avid NBA fans would tune in for. Moreover, the ability to reimagine G League teams lowers the barrier to entry for other G league teams that formerly would have needed to be an affiliate of an NBA team. It also allows the opportunity for a team like the Capitanes to have a chance to become an NBA team by winning the G League title and affords more market freedom to both the players and teams.  Again, the possibilities are endless but at the very least, ensure that the future of professional basketball is in good hands with Adam Silver’s focus on the international stage.

Quick note: Sending thoughts and prayers out to former NBA commissioner David Stern who underwent emergency surgery for a brain hemorrhage he suffered this week. Stern served as commissioner for 30 years and was instrumental in expanding the NBA from 10 franchises to 30 and broadening the NBA to a more global audience.

Oliver GreenLeave a comment

Boxer Patrick Day Passes Away Four Days After Knockout

Last month, the sporting world was struck by the news of the passing of professional boxer Patrick Day. Following a knockout loss to Charles Conwell in a super welterweight title bout, Day fell into a coma and four days later, died from brain trauma injuries. The phenomenon of boxing-related deaths is nothing new, however debate surrounding the ethics, safety, and legal ramifications of the sport is on the rise in light of this tragic case and others.

The immediate reaction has been quite polarized with some saying that death is simply part of the risk that is run in participating in such a violent sport, while others have called for the abolition of boxing entirely. However, the most pragmatic solution came from Day’s promoter, Lou DiBella, who called for better safety measures to ensure more protections for those in the ring. This week, he outlined a number of suggestions that would increase safety such as elevated scrutiny of Performance Enhancing Drug (PED) use and more attention toward weight loss and dehydration. Others have called for the sport to go a step further by adding increased padding to gloves and headgear and shortening fights.

The difficulty in changing the fundamental safety structure of any organization is the necessity to prove that a safety issue exists in the first place. Similar to what happened to large tobacco companies and what the pharmaceutical industry is currently dealing with, the NFL spent billions trying to disprove that there was in fact a safety problem with its product because of the negative consequences acknowledging such a problem would, and did, carry. Even though the NFL concussion settlement has already paid out almost 700 million dollars to retired veterans, the case is still ongoing and already has caused many players to retire earlier than they might have without the revelation of CTE and has made countless families to reconsider whether they want their child playing football.

So, the question for boxing is: does the sport need to acknowledge that it has a safety problem? Well, the answer is a lot harder than you might think. Two of the biggest forces in pushing the NFL to admit that it had its own safety issue were well-recognized trends of player brain injuries and public opinion pressures — both of which the sport of boxing lacks. The revelation of CTE in ex-NFL players such as Terry Long and Junior Seau became widespread predominantly because of headlines that detailed these former stars acting extremely out of character following their careers. That they both died from suicide grabbed the eye of the sports world and these “anomalies” evolved into evidence in what would become the trend that would force the NFL to overhaul its rules.

However, boxing doesn’t have the widespread publicity, star power, resources, nor a meaningful trend to begin considering modifying its safety regulations. Although the death of Patrick Day was the fourth boxing-related death in 2019, he was only the first American to die of injuries sustained in a bout since 2006. And, although four deaths in a single year is a new high for boxing, many other years have seen two and three deaths. Moreover, though there have been eight boxing-related passings since 2017, from 2014 to 2016 there was only one so there is really no consistent trend for proponents of increased safety to rely on.

These stats all come together to say that boxing likely won’t face much outside pressure to reshape its rules in the near future and so the onus for change is largely on boxing organizations. While there are few precedents on cases related to injuries sustained in boxing, two examples highlight the potential for future issues to arise. In 2017, the State of New York agreed to pay out $22 million to Magomed Abdusalamov, who suffered severe brain damage in the ring four years prior and was subject to less-than-adequate post-fight care that resulted in a loss of walking and speaking ability. Earlier this year, former boxer, Daniel Franco, sued his agency Roc Nation Sports for severe brain damage he sustained after being pressured into three fights despite concerns of his health and readiness. While the case is still ongoing, the lawsuit itself represents the culpability involved in boxing and another ruling in favor of the boxers would foreshadow additional player-safety suits in the future.

It is wholly possible that given the differences between the way professional football and professional boxing are structured, boxing will never face the sort of pressure that the NFL was forced to confront. Yet, as boxing-related brain trauma and deaths pile up, one has to wonder just where the organizations or their fans draw the line. The NFL clearly handled the CTE research poorly and continues to pay a steep price for doing so. If the sport of boxing and its administration is paying attention, any legal settlements and unfavorable media associated with future injuries far outweigh the cost of preemptive safety measures and additional research. It is easy to express regret and give the routine “thoughts & prayers,” but unless those involved at all levels of boxing demand change, Patrick Day’s life, and undoubtedly many others, will have been in vain. Either way, the decision is in boxing’s corner.

Oliver GreenLeave a comment