MLBPA continues to fight 'brand agreement' bill

[LeHab]

The Major League Baseball Players Association is fighting a bill in Delaware it believes exposes players to troublesome gambling conflicts, while the sponsor of the bill believes it will help benefit minor league players whose minuscule salaries force them into "difficult financial realities."
The Professional Athlete Funding Act, which this week passed through the Delaware House of Representatives and is scheduled to be voted on by senators Sunday afternoon in the last day of the legislative session, would enforce regulations on so-called "brand agreements." The deals, which have become commonplace in the past five years, typically offer players a lump sum of money in exchange for a fixed percentage of future earnings.
The bill's benefactor, former Philadelphia Phillies pitcher Michael Schwimer, has for two years lobbied legislators in Delaware to adopt laws he said will shield athletes from those seeking to take advantage of them. Schwimer is the CEO of Big League Advance, one of the most prominent brand-agreement companies, and has used venture-capital funding to pay more than $50 million for percentages of 167 players' potential major league salaries.
"There's one reason and one reason only for this bill: to protect players from bad actors," Schwimer told ESPN. "Unfortunately, the current law doesn't protect players."
The MLBPA believes the proposed law does not, either -- a sentiment that is backed by Major League Baseball, according to sources. Both agree the bill does not go far enough in regulating the industry after representatives rejected proposed amendments before passing the bill 29-12 earlier this week. If the senate passes the bill Sunday, it would go to Gov. John Carney (D) to be signed into law.

https://www.espn.com/mlb/story/_/id/27089441/mlbpa-continues-fight-brand-agreement-bill

Interesting concept for baseball players without generous signing bonuses where the road to the majors can be long while earning almost non-existant. Any hockey players have similar deals?

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[gstommylee]

Well they aren't "exactly against it" as in never no way what so ever no matter how it is written, however, they want the bill to do more to protect players.

 

[Ted Hoffman]

Well they aren't "exactly against it" as in never no way what so ever no matter how it is written, however, they want the bill to do more to protect players.

Maybe give up their exemption from labor laws as it pertains to the minimum wage? In other words, pay the players a salary that's at least on par with what they'd make as an hourly worker at minimum wage, given all the demands the team puts on them for baseball-related activities?

Nah, can't do that - that makes WAY too much sense.

 

[BigBadBruins7708]

so basically its legalizing payday loans for minor league athletes to take advantage of them...

only difference is instead of getting a jacked up 30%+ interest rate, the players fork over what likely amounts to millions for $100k today

 

[LeHab]

so basically its legalizing payday loans for minor league athletes to take advantage of them...

only difference is instead of getting a jacked up 30%+ interest rate, the players fork over what likely amounts to millions for $100k today

This is more an investment in the same spirit as Venture Capital - high risk high reward. You essentially buy a stake in a player to share future potential earnings. If a player does not pan out, investment is lost.

 

[AdmiralsFan24]

This is more an investment in the same spirit as Venture Capital - high risk high reward. You essentially buy a stake in a player to share future potential earnings. If a player does not pan out, investment is lost.

The problem is the players who need this the most are the ones least likely to make it to the majors, so it's not really going to help them. Nobody is going to be investing in a 14th round pick who signed for $75,000.

 

[tony d]

To me these players should get more money. The MLB teams make more than enough money to give their minor leaguers at least minimum wage.

 

[mouser]

Reading the article I’m with MLB in the opinion that the proposed law is all about benefiting the lenders, not the players.

 

[AdmiralsFan24]

Reading the article I’m with MLB in the opinion that the proposed law is all about benefiting the lenders, not the players.

Yeah but players wouldn’t feel like they have to go this route if MLB wasn’t a bunch of assholes who refuse to pay their minor leaguers even minimum wage.

 

[BigBadBruins7708]

Yeah but players wouldn’t feel like they have to go this route if MLB wasn’t a bunch of *******s who refuse to pay their minor leaguers even minimum wage.

you know the MLB teams dont own their minor league affiliates, right?

likewise, the International League, Double A and Single A leagues are independent leagues not owned by the MLB.

each minor league team has their own financials to worry about. their own revenues, and expenses, and with how little the income is for minor league teams its not surprising the pay is where it's at.

 

[Kimi]

you know the MLB teams dont own their minor league affiliates, right?

likewise, the International League, Double A and Single A leagues are independent leagues not owned by the MLB.

each minor league team has their own financials to worry about. their own revenues, and expenses, and with how little the income is for minor league teams its not surprising the pay is where it's at.

Doesn't matter. The players are owned by the MLB teams, and that prevents them trying to find better pay elsewhere.

 

[AdmiralsFan24]

you know the MLB teams dont own their minor league affiliates, right?

likewise, the International League, Double A and Single A leagues are independent leagues not owned by the MLB.

each minor league team has their own financials to worry about. their own revenues, and expenses, and with how little the income is for minor league teams its not surprising the pay is where it's at.

MLB owners pay minor leaguers. So your whole diatribe is completely irrelevant.