| THEY’RE
AT IT AGAIN About 6 months
ago we reported on the run on agent firms, which began with major acquisitions
by Wasserman Media Group and Creative Artists Agency. As a result of Tom Condon
and Ben Dogra joining CAA, and Arn Tellem joining the WMG, the firms became major
players in the representation of professional athletes almost overnight. Condon
and Dogra brought over 50 players to CAA, the majority of who are Black, and Tellem
brought a host of Black basketball players to WMG. Not
to be outdone, Blue Equity, an independent private equity firm out of Louisville,
KY which launched a sports agency business last year by buying the former SFX
tennis, events and television divisions, has acquired the firm of NFL player agent
Joel Segal, who counts Reggie Bush, Michael Vick, and Pro Bowlers DeAngelo Hall,
Muhsin Muhammad, Darren Sharper and Will Smith among his clients. In last month’s
draft Segal representedthree first-round selections – Levi Brown (No. 5),
LaRon Landry (No. 6) and Craig Davis (No. 30). As
has been the practice, after selling his company to Blue Equity, which consists
mainly of the representation contracts of a host of Black athletes, Segal was
signed to a long-term employment agreement with Blue Equity. Once again, we must
ask whether the Black players were given the opportunity for independent counsel
on the decision to move their business to Blue Equity and, more important, whether
or not any of them shared in what I am sure was a handsome profit reaped by Mr.
Segal. Who said White guys didn’t know how to flip their ends? The
major players are not just fixed on the representation end of the sports business
industry. Stanford Financial and Genworth Financial both recently made mid-six
figure investments to serve as corporate partners of Athletes for Hope. Athletes
for Hope was launched in April, 2007 with the financial backing of a number of
sports stars including Muhammad Ali, Alonzo Mourning, Warrick Dunn and Jackie
Joyner-Kersee. The goal of Athletes for Hope
is to help athletes identify and accomplish their charitable goals and then connect
them with nonprofit groups. The organization will suggest compatible pairings
after interviewing and vetting athletes and charities who express an interest
to “improve the public opinion of professional athletes.” What a noble
cause. I only wonder whether the NAACP, the Urban League, or the Black United
Fund, to name just a few worthy Black charitable organizations, will be suggested
as compatible pairings for their athlete clients…many of whom will undoubtedly
be Black athletes. If you have questions
or require additional information, please contact Everett L. Glenn, Esq. at eglenn@espsportslawpro.com
or call 562.619.8460.
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