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Agents

Do I need esports agents, or is an esports lawyer enough?

That question often abounds in the minds of esports players. Some only use lawyers, some only agents, while others have a combination solution. There are countless good and bad stories about agents. But regardless of the opinion of others, is it important to be critical.

First, it is important to determine what an agent is and what it takes to call yourself an “agent”.

What is an agent?

Becoming an “agent” requires no training, no education, no experience, no knowledge, no knowledge in esports or any special network. In other words, anyone and everyone can call themselves an “agent” in esports. “Agent” is – unlike “lawyer” – not a protected title.

There are also good agents, but one should have the premise in mind concerning what it takes to become an agent, as there are certainly many agents who do not contribute anything good. Therefore, one should tread cautiously when it comes to agreements with so-called “agents” in esports.

We have often experienced players told that the agent promised them a huge salary increase, sales to a top-tier organisation, personal sponsorship deals, etc. The agents only require you to sign a non-cancellable contract with a term of 2-4 years, which provides the agent with 5-50 % of your monthly income. These agreements rarely lead to anything good.

At the same time, is it a considerable danger signal if the agent does not even have a performance obligation, i.e., that the agent in the period of 2-4 years is not obliged to deliver anything, as they just have to “attempt” to provide you with personal sponsors, etc. It’s obvious to ask yourself whether you are willing to pay a big share of your salary to a person who is simply “trying” to create some value for you.

It can, therefore, quickly become a costly meeting with a so-called “agent.”

Agents’ remuneration

Agents are typically paid by receiving a share of the total income. The agent will undeniably focus on the salary when negotiating with an esports organization. However, the size of the salary rarely becomes an issue during the negotiations. Usually, the salary has already been agreed upon and approved by you and the organisation.

The problems for the player typically arise based on many of the points that also appear in the contract or are not mentioned/regulated by the contract.

It is obviously challenging for an agent to advise appropriately and focus on the full package for the player instead of the salary level. Especially when the agent, for example, has no in-depth knowledge of the legislation, the rules, contracts, and, in the worst case, no knowledge in esports at all.

As a player, you should be careful to let an agent negotiate and handle your contracts with the organisation, club, sponsors, etc. It may be relevant to ask yourself what prerequisites the agent must read and negotiate contracts in esports.

In these cases, a sensible agent will know his limitations and refer you to a specialised esports lawyer who will be able to secure you the proper terms. Such a collaboration is ordinary with skilled agents.

In addition, one should be aware that if the agent just makes one mistake or overlooks some important clause in the contract, the agent will rarely be liable for damages. Thus, there will be no insurance to cover. While a lawyer must have insurance and be liable for any mistake.

Contract

Typically, the contract entered between the player and the agent gives a good idea of whether the agent wants the player’s best interests, whether the agent is serious and whether the agent understands contracts and legal consequences.

Do not hesitate to contact a specialized esports lawyer before you sign any agreement with an agent.

If you already have an agent or are considering getting an agent, you should greatly clarify the division of roles, tasks, and remuneration and examine the agent thoroughly.

Seven advice for you who are considering an agreement with an agent

1. Carefully consider what you need an agent for and whether the money is better spent on something else
2. Get help with the contract between you and the agent
3. Make sure you always can terminate the contract with short notice if the collaboration does not work
4. Set up a performance obligation to make sure that the agent actually adds value before the agent receives any money. (no passive income)
5. Always receive your salary and prize money yourself; the agent does not have to manage it for you.
6. Ensure you have the last word on sponsorship deals, club changes and reviewing contracts.
7. Do not allow the agent to perform legal work for you, including reviewing contracts

In addition, use common sense and be critical. Many sensible agents suffer from the reputation of bad agents. You would probably never let a self-appointed architect design your house just because the person created a website stating being an architect without even the slightest idea of how buildings work.

We are experts in esports – let us help you

Do not hesitate to contact us. We often determine your needs and are happy to give good advice along the way. If we assist, do we typically agree on a fair fixed price in advance and inform you about the possible risks associated with the work. This is important for us as we fight for order and fairness in esports.