Intellectual Property Lawyers l Digital Media Solicitors
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Blog For Empowering Creatives: IP and Digital Media Lawyers Insights

PAIL Solicitors IP and Digital Media Blog

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When I think of Frank Sinatra's "My Way," I see a connection to the main ideas behind intellectual property law. "My Way" embodies personal expression and an individual's journey through life, which parallels the concept of the ideas-expressions dichotomy in copyright law. It echoes the principle that music, literature, or art can be copyrighted while allowing others to explore the same ideas without infringing upon that particular expression. Sinatra's anthem also celebrates uniqueness, which is reflected in the definitions of all of the varying types of intellectual property.

The Purpose of This Blog

The articles on this blog are all written, reviewed, and edited by me, Mr Peter Adediran, the Digital Media and Intellectual Property Solicitor at PAIL Solicitors. They are intended to empower the new generation of business executives, professionals, business owners and creatives who want to keep up with intellectual property, digital media and entertainment law in the digital age. Most importantly, empower the community of creatives who want to create works "their way". In today's rapidly evolving digital landscape, staying informed and increasing knowledge in specialised legal services is crucial for e-commerce and digital technology businesses. At PAIL® Solicitors, we understand the unique challenges start-ups, business owners, professionals, business executives, creatives, writers and talent face in protecting their intellectual property and navigating legal complexities. By reading this blog and engaging us as your legal representatives you can safeguard yours and your company's reputations, make informed financial decisions, and confidently expand into new markets by focusing on continuous learning and expertise in these areas.

This blog contains articles on the following themes:

  • Advice on Protecting Digital Content

Encouragement to Stay Informed and Protected

For creatives and businesses alike, staying informed about legal issues surrounding intellectual property is critical. Knowledge is a powerful tool for safeguarding one’s work from infringement or misuse. We encourage individuals to engage with our resources, participate in discussions, and keep abreast of developments in IP law. 

Sponsorship Agreements

A Practical Guide To Sponsorship Agreements

Media Contracts Simplified

Sponsorship Agreement Lawyers

Sponsorship Agreements – basic guide to sponsorship agreements

Sponsorship is an associative marketing tool. The International Chamber of Commerce defines it as:

Any commercial agreement by which a sponsor, for the mutual benefit of the sponsor and sponsored party, contractually provides financing or other support in order to establish an association between the sponsor’s image, brands or products and a sponsorship property in return for rights to promote this association and/or for the granting of certain agreed direct or indirect benefits.”

According to the IEG, global sponsorship rights spend has grown from $5.6 billion in 1987 to an estimate of $46 billion in 2010. This development of investment in sponsorship has been driven by the realisation that successful longevity is achieved by contribution to the community at grass roots level. Businesses are targeting communities of people and not just demographics. They are bringing alive the brand experience at grass roots level by aligning themselves with the communities. The value of media exposure gained by a brand through sponsorship is the most valuable asset of a rights-holder. The impact the rights-holder has on the sponsor are the transferrable attributes from the sponsored property. Sports and sports personalities are the most popular sponsorship vehicles.

The drivers to sponsoring the rights-holder’s, property are: that associating their brand with the property will generate (1) additional revenues or cost savings in the profit and loss account; and/or (2) as an increase in the value of brand equity on the balance sheet, the rights-holder licensing of rights association will boost the intellectual property assets and other intangible benefits for the sponsor.

The 2 key drivers for the rights-holder are to seek sponsorship are: (1) cash; and/or (2) a defined value in kind.

Sponsorship Agreements – The Contract

The benefits of the sponsorship relationship should represent a win-win partnership for both the sponsor and the sponsee. That is Rights-holder should get its cash and/or defined value in kind (personnel, access to technology, marketing or PR). Key issues to address are:

Identity of parties

Exclusivity

SLA

Force majeure

Territories

Data protection and social data legislation

Trademarks

Image rights

Copyright

Ambush marketing

Privacy

Electronic communications

Terms and conditions

Child protection legislation

Advertising and sales promotion legislation

Applicable law

Termination

Seek specialist media solicitors as non-specialist might miss important legislation that could affect the sponsorship agreement.

Sponsorship Agreement Lawyers – Sponsorship Opportunity

This is an opportunity for a global sponsor to change attitudes and behaviours towards its brand or corporation by associating itself with a generation demographic and/or community. A global sponsor might be preferable to meet the needs of the different markets. A local sponsor might be more realistic if the property is unlikely to be successful outside of the local market.

Sponsorship Agreements – The Plan

SMART. Specific, Measurable, Achievable, Relevant, Time Bound

Specific:

Rights Holder

What exactly is the property or properties that rights-holder has to license to a sponsor?

What are clear objectives for each property?

What is the most appropriate approach to sponsorship?

How best to position the property to attract sponsorship investment?

Sponsor

What is the sponsor’s brand vision?

What are its objectives for its brand?

What is its personality?

What sort of profile does it have?

How is it positioned in the marketplace, both against competitors and against other brands? How can an association with Rights-holder improve or bolster the sponsor in its marketplace?

What are the culture and values of the brand and organisation?

What are the brand’s functionality, and the benefits that it gives consumers?

Sponsorship Agreements – Measurable:

How can we measure the ROO for the sponsor? Rights-holder needs to focus on target tracking against sponsor’s objectives (Rights-holder will need to be able to tell the sponsor how it is going to deliver against their objectives when pitching for sponsorship)?

Should we have sponsee performance hurdles linked with instalment payments and other deliverables by the sponsor? If yes, what are they?

Sponsorship Agreements – Achievable:

Rights-holder cannot make promises it cannot keep. But it needs to make some sort of representation regarding building awareness of the sponsor’s brand.

Sponsorship Agreements – Relevant:

The sponsors and rights-holder may have different drivers. What are the drivers of rights-holder? What are the drivers of the sponsor? Are their shared goals? The rights-holder must share key attributes with the sponsor to be relevant.

Sponsorship Agreements – Time Bound:

There should be a clear end-date. What is the exit plan? How long will the rights-holder license rights or other assets to the sponsor? What is the exit plan? How long will the contract last?

Sponsorship Agreements

Sponsorship Agreements – Key Pitch Points

Benefits for Rights-holder

1. Cash.

2. Personnel, access to technology support, pr and marketing.

3. Strength of shared goals.

4. Credibility of brand endorsement.

Benefits for sponsor

1. A single clearly definable rights-holder with fully registered trademark and copyright.

2. An experienced media solicitor is on retainer to write a tailored contract.

3. Rights and other licensed assets.

4. Marketing activity, including data mining, will allow easy access to a clearly defined community and allow for segmentation and measurement of this digital community.

5. Credibility of brand endorsement: Sponsors will learn what the digital community thinks about their brand and have the opportunity to engage in a dialogue.

6. Brand advertising opportunities.

7. Strength of shared goals.

 

To obtain a quotation, please contact us at (020) 7305-7491 or at peter@pailsolicitors.co.uk. We would be delighted to assist you. Mr Peter Adediran is the owner and principal solicitor at PAIL® Solicitors.  Subscribe to our newsletter to get blog post updates and other information about the firm straight to your inbox.

Meet The Team: Peter Adediran; Maya El Husseini; Gabrielle Felix; Poppy Harston

Disclaimer

We provide cases and statutes as general information because contracts should be flexible to adapt to legal changes. Our articles on media and IP agreements serve as starting points for readers to brainstorm ideas. They are not a substitute for professional legal advice. Each contract is unique; even good templates need adaptations for specific situations. One party typically presents a contract based on industry standards and in-house policies. Replacing the contract may be difficult, but you can negotiate important clauses and agree on amendments.

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