PLAYER PROCUREMENT POLICIES AND PROCEDURES The purpose of this document is to explain the modified player procurement process which allows for sponsors to secure players directly or continue working with NFL PLAYERS. PLAYER PROCUREMENT UTILIZING NFL PLAYERS: Once NFL sponsor offer is submitted to NFL PLAYERS a three-way dialogue is created including NFL sponsor (as applicable), the player (or his representative) and NFL PLAYERS. Once a player has received an offer, negotiation between player and NFL sponsor (as applicable) begins, with NFL PLAYERS facilitating. Once a player has accepted/confirmed participation, a term sheet reflecting all aspects of the services, rights and player compensation is promptly prepared by NFL PLAYERS and sent to all parties. All parties will confirm agreement by executing a standard three-way agreement, including the terms agreed upon in the term sheet, between the player, NFL sponsor (as applicable), and NFL PLAYERS. NFL sponsor (as applicable) is required to obtain NFL PLAYERS’s creative approval over any marketing material produced from such activation with player. PLAYER PROCUREMENT NOT UTILIZING NFL PLAYERS: NFL sponsor (as applicable) may secure a player directly through his proper marketing representation. NFL PLAYERS to provide NFL sponsors regularly updated information regarding the marketing representation of record for all active NFL players. NFL PLAYERS to provide to all NFL sponsors and players recommended “terms and conditions” for inclusion in all agreements between NFL sponsors and active NFL players for uses involving Group Player Rights or utilizing the NFL sponsor’s Player Credit Fund (see attached document) NFL PLAYERS to provide to all NFL sponsors and players the following standard provisions to be included in all agreements between NFL sponsors and active NFL players pursuant to which payments will be made to such NFL players utilizing the NFL sponsor’s Player Credit Fund: payment, indemnification, limitation of liability, and dispute resolution; NFL sponsors or player may elect to have NFL PLAYERS sign-on as a party to any such agreements. (see attached document) NFL sponsor to provide to NFL PLAYERS reports regarding any new agreements between NFL sponsor (as applicable) and NFL players for uses involving Group Player Rights or utilizing the NFL sponsor’s Player Credit Fund pursuant to this Agreement, as well as copies of all such sponsor agreements within three (3) business days following execution of such agreements; provided, however, such reports are to be provided to NFL PLAYERS no later than three (3) business days prior to the date on which service are to be performed under said agreements. NFL sponsor (as applicable) is required to obtain NFL PLAYERS’s approval over any marketing material utilizing Group Player Rights or utilizing the NFL sponsor’s Player Credit Fund. NFL PLAYERS PROCUREMENT/MANAGEMENT FEES NFL sponsors have the option of handling player logistics directly and entirely. Should NFL PLAYERS be requested to handle any of the following services, the following management fees shall apply: NFL PLAYERS Resources 5%* 10%* 15%* General NFL PLAYERS Resources Player Research Player List Generation Talent Consultation/ Recommendation Campaign Management Player Offers and Agreements ^ Facilitation and extension of Player Offers Facilitation, preparation and execution of Agreements/Contracts Management of Player Deliverables** Player Logistics (Travel, Accommodations, etc.) Single Service Activations: In Market Appearances, PR/Media Activations (e.g. Social Media, Radio Call-ins), etc. Production/Media Day(s) Facilitation of multi-level/multi-service Endorsement Deals On-site support at Production/Media Shoots Talent integration/activation within Season-Long Campaigns Player Research/List Generation Only CALL FOR PRICING ^ Includes extending offers only, not negotiation * Fees will be capped at the following: 5% not to exceed $5K; 10% not to exceed $10K; 15% not to exceed $25K. Some anticipated services will require additional discussion. ** Includes all scheduling, management and logistics implementation o o Management fees are separate payments and cannot be deducted from the NFL sponsor’s Player Credit Fund. All related hard costs (e.g. airfare, transportation, accommodations, etc.) will continue to be billed at cost to partner. An additional fee of 10% will now be assessed on all hard costs if payment is not made by sponsor up front (i.e., credit card provided). A 2.5% per month penalty will also be assessed on all unpaid invoices. PLAYER PAYMENTS All payments to players from the NFL sponsor’s Player Credit Fund will be made by NFL PLAYERS. Should sponsors choose to pay players directly, payments will not be reconciled against the NFL sponsor’s Player Credit Fund. NON COMPLIANCE Adherence to these Guidelines is required for all sponsor programs that utilize Group Player Rights or the NFL sponsor’s Player Credit Fund. Failure to comply with the aforementioned guidelines and failure to cure within a reasonable time period on two (2) or more occasions in any given Fiscal Year shall include one or more of the following: o o Loss of ability to procure players directly; NFL PLAYERS must be used to procure players and management fees will be assessed Inability to use NFL sponsor’s Player Credit Fund to pay players under each agreement that does not fall under the procurement policies; KEY PLANNING NOTES o o o NFL PLAYERS must be notified no less than 72 hours in advance of any and all services contractually obligated by players. NFL PLAYERS On-Site Support: NFL PLAYERS staff will have the opportunity for on-site management and attendance at large scale and/or multi-layered activations such as production shoots. Super Bowl: Sponsors must notify NFL PLAYERS of their intent to use NFL PLAYERS for Super Bowl player procurement no later than December 1st. Partners who elect not to use NFL PLAYERS for procurement will not receive the Super Bowl Client List (aggregated list of players attending).
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