Legal Essentials for eSports Players: Contracts, IP, and More
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eSports Player Lawyer
PAIL® Solicitors offer expertise and decades of experience in eSports contracts and compliance advice. Contact us using the above form or at peter@pailsolicitors.co.uk or on 0207 305-7491 charge rates may apply and may vary).
What is eSports?
Esports is a form of competitive digital sports using video games. Players compete with each other for prizes often in organised tournaments or events.
Legal Protection for eSports Players: Contracts to Disputes
eSports, or competitive video gaming, has exploded in popularity in recent years. With millions in prize money and sponsorships up for grabs, it's no wonder that many gamers are pursuing careers in eSports. However, like any professional athlete, eSports players must navigate a complex legal landscape. At PAIL®, we understand the legal issues that an eSports player faces and the importance of having an eSports lawyer on your team.
Esports Contracts
One of the most important areas of expertise for an eSports lawyer are eSports contracts. Esports contracts are essential for any professional gamer or team. These contracts outline the terms and conditions of a player's participation in a team or tournament, including compensation, sponsorship agreements, and intellectual property rights. Without a proper contract in place, players may find themselves in disputes over payment or ownership of their content. An esports contract lawyer can ensure that all parties involved are protected and that the terms of the contract are fair and legally binding. These can include contracts with teams, sponsors, and tournament organisers. Individual players, teams, event organisers, league coordinators, etc will all need to negotiate, draft and sign contracts.
In the early days of eSports, many did not understand the need for contracts, and as such were taken advantage of by leagues and tournament providers who did not pay them on time or at all.
While teams need help with contract negotiations, individual players in some ways are even more vulnerable, particularly as some of the competitors are particularly young. These players will need additional support and guidance to ensure that they are always getting a fair deal. Legal assistance can ensure an additional layer of protection for players, especially when it comes to seeing the bigger picture.
eSports Player Lawyer
Esports Legal Specialist
Players may often sign in sheer exhilaration because they have an opportunity to work with a globally recognised brand for a big sum, but usually, when something sounds too good to be true, take it to a lawyer!
As eSports lawyers at PAIL®, we can review these contracts and negotiate on behalf of the players to ensure that their rights and interests are protected.
Intellectual Property
Intellectual property is a crucial aspect of the esports industry, as players and teams create unique content and branding that can be monetised and that’s where PAIL® comes in. As esports player lawyers we can help protect your intellectual property rights and ensure that your content is not being used without your permission. We can also assist in negotiating licensing agreements and protecting your brand from infringement. This includes trademarks, copyrights, and patents. Players may need to protect their own brand IP, such as their gamer tag or logo, and also must be aware of using others' IP without permission. For example, using copyrighted music in a live stream or using a trademarked logo without permission could result in legal consequences. An eSports lawyer can help players navigate these issues and ensure that they are not infringing on any IP rights.
Sponsorships and Endorsements
For players to monetise eSports, they turn to sponsorships/endorsements. Usually involving the player’s name, image or branding. An endorsement contract allows a company to use the player’s “prestige” in connection with an advertisement for a certain product/service/etc.
Players should pay close attention to contracts to ensure they are benefiting from them appropriately – for instance, players have to pay close attention to how much and when they get paid, the length of the contract, the countries in which the contract applies (or doesn’t) and exclusivity terms (among other concerns).
Without proper representation, a player may excitedly agree to an endorsement/sponsorship package, but not realise that in doing so they alienate other brands (possibly for a year or more).
These clauses are not always easy to locate in a novel-like contract, which is where PAIL® excels.
Employment and Tax Issues
As eSports continues to grow, players are increasingly being recognised as employees rather than independent contractors. This means that they may be entitled to certain benefits and protections, such as minimum wage and workers' compensation. Additionally, players must also consider tax implications, as they may be subject to income tax and self-employment tax. An eSports lawyer can help players understand their employment status and navigate any tax issues that may arise.
Player Rights and Disputes
Like any professional athlete, eSports players have rights that must be protected. This includes the right to fair treatment, privacy, and a safe working environment. If a player feels that their rights have been violated, they may need to seek legal representation to resolve the dispute. An eSports lawyer can help players understand their rights and take legal action if necessary.
Gambling
In traditional sports, people like to wager the scores. In football, many place bets on various players to score the first goal, or whether players are given a yellow card, or whether the team will win, lose or draw. There are cumulative bets for multiple games, especially at the weekends. Traditional sports betting is huge and the eSports industry is no different! Albeit in the early stages of evolution.
With the rise of esports, there has also been an increase in esports gambling. This involves placing bets on the outcome of esports tournaments or matches. However, the legality of esports gambling is still a grey area in many countries, and regulations are constantly changing. An esports lawyer can help navigate the complex legal landscape of esports gambling and ensure that all parties involved are compliant with laws and regulations.
There are several legal concerns surrounding the legitimacy of gambling, but it is even more so under the microscope in esports, given the digital nature of the games. There are concerns about “rigged” games, the legality of players betting on themselves and other such scandals.
As legal experts in esports and gaming, we are anticipating a rise in the number of claims related to eGaming given the latest professional standards for betting that have been adopted in the industry and across the country.
In conclusion, being an eSports player comes with a unique set of legal issues that must be navigated carefully. Having an experienced eSports lawyer on your team can help protect your rights and ensure that you are getting a fair deal in contracts and agreements. As the eSports industry continues to grow, players must have proper legal representation to protect their interests.