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Sports Stadia Concession Agreements

Ian Blackshaw-2011-01-01-ASSER international sports law series
2

TL;DRAbstract

In addition to granting Naming Rights in respect of a sports stadium or arena (venue), sports clubs often grant various ‘concessions’, also known as ‘franchises’ (not to be confused with the American meaning and usage of the term to indicate ownership of sports teams), to third parties to provide various products and services at the venue. These arrangements also bring in a welcome income stream and have the further advantage, in the case, for example, of the provision of food and beverages (known as Pouring/Pourage Rights) of being more cost-effective and providing on top a profit for the club concerned, which would otherwise have to operate the concession/franchise itself, possibly at a loss.

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In addition to granting Naming Rights in respect of a sports stadium or arena (venue), sports clubs often grant various ‘concessions’, also known as ‘franchises’ (not to be confused with the American meaning and usage of the term to indicate ownership of sports teams), to third parties to provide various products and services at the venue. These arrangements also bring in a welcome income stream and have the further advantage, in the case, for example, of the provision of food and beverages (known as Pouring/Pourage Rights) of being more cost-effective and providing on top a profit for the club concerned, which would otherwise have to operate the concession/franchise itself, possibly at a loss.

Keywords

Business

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