Resolution of Sponsor Disputes

Resolution of Sponsor Disputes

 

Sponsorship of promotional events like the NFL’s Super Bowl generates loads of revenue. Individual sponsors are so referred because of the materials, services and products they offer that are of specific interest to people attending the events (Supovitz, 2013). The NFL committee charged with sponsorship for the Super Bowl, for example, has the discretion to determine eligibility of sponsors. Prior to an agreement between the sponsor and the sponsorship committee, a contract is drawn up and the terms therein must be agreeable to both parties.

Placement of sponsorship materials is also done at the discretion of the committee based on the contract between the committee and the sponsor. The committee however still retains the right to reorganize placement of materials even after a contract is signed, wherever necessary. For events that occur regularly and have a large number of sponsors, the old sponsors usually have a right to first refusal when seeking sponsorship for preceding events. Therefore, prior to a new sponsor being contracted, those that were already engaged have to be notified first in order for them to determine whether they still have interests.

The contract covers all the bases. Should issues arise between sponsors, resolution of disputes should follow all interpretations of the terms, rules and regulations overseeing the sponsorship contract. Bearing in mind that all actions and decisions that are undertaken in an attempt to resolve the dispute will be binding to the sponsor, it is important that all avenues are exhausted (Ury, 2000). If any of the parties in the dispute is culpable beyond reasonable doubt, then, the committee has the right to take action. Dialogue between the parties is the best approach of ensuring that they work together (Sherwyn et al, 1999). However, should the disagreements persist, then it is prudent to weigh the cost-benefit effect of losing the sponsor(s) versus reorganizing or cancelling the event. In any case, payments or materials availed by the sponsor prior to the event are subject to the terms in the contract and are usually not refundable.

 

References

Sherwyn, D. et al (1999). In Defense of Mandatory Arbitration of Employment Disputes: Saving the Baby, Tossing out the Bath Water, and Constructing a New Sink in the Process. 2 U. Pa. J. Lab. & Emp. L. 73

Supovitz, F. (2013). From Theory To Practice. New York: National Football League. Retrieved January 8, 2014 from http://v5.books.elsevier.com/bookscat/samples/9780750684910/9780750684910.pdf

Ury, W. (2000). The Third Side: Why We Fight and How We Can Stop. New York: Penguin Putnam

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