Sports Business Legal Front in Japan
Sports Business Legal Guide
To assist our clients in the rapidly expanding and diverse sports and e-sports industries, we provide legal advice and solutions on complex business and regulatory issues involving these industries.
The sports industry is growing globally and becoming more international. Mainly because consumers now prefer experiences over products, the entertainment sector is expanding, and advanced and cutting-edge IT are creating new ways for fans to experience and interact with the industry. These factors are setting the stage for ongoing growth in the industry going forward.
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With the global rise in the popularity of sports, athletes are performing across national borders, sports teams and organizations are venturing overseas and entering into partnerships with corporations, and companies are more and more involved in national and international sports-related activities and sponsorships.
As a result, sports-related transactions and activities are becoming increasingly frequent and diversified.For the growth of sports as an industry, which is also a policy objective of the Japanese government, it is crucial to understand the trends and discussions in advanced Western countries as well as the growing sophistication and complexity of related businesses as well as laws and regulations.
Backed by our lawyers with extensive experience and expertise in national and international sports matters, NO&T provides a wide range of sports-related legal services. These include representing athletes, providing legal support for professional sports teams, negotiating sponsorships and merchandising contracts, providing legal advice on new business schemes such as esports, and acting as agents or arbitrators in sports arbitrations. On this page, we provide an overview of our services, key points, as well as publications and seminars by our lawyers.
Athlete Representation / Agent
For athletes performing both domestically and internationally, we provide a one-stop source for a variety of legal services athletes may require. Our lawyers have worked in international sports agencies, representing athletes in contract negotiations with foreign teams, clubs, sponsorship companies, and agents. We provide legal advice covering a wide range of areas from branding and media appearances to business and asset management. We also provide support in sports arbitration and other forms of dispute resolution.
Key Points in Explaining Business/Legal Aspects
- Creating an environment where athletes, who are at the center of sport, can focus on their sports, be supported in their challenges both domestically and internationally, as well as on and off the field, is a critical mission.
- With the internationalization of athletes and their increasing social influence, the importance of their own branding, public relations, business activities, and sophisticated transactions with companies have become more important recently.
- The support of lawyers who are professionals in contract negotiations and problem-solving, and who are familiar not only with increasingly complex rules of leagues and competitions, but also with international transactions, helps them in the wide range of activities in which they are involved.
FOCUS
Deals & Cases
Advice on Formula 1 driver Yuki Tsunoda's team affiliation for the upcoming season and beyond.
We have advised Formula 1 driver Yuki Tsunoda and his management company, Agon Management, regarding his team affiliation for the upcoming season and beyond.
Sports Marketing / Sponsorship
We provide legal advice and represent clients in sports marketing negotiations, including sponsorships and endorsements, involving all parties in the sports ecosystem—athletes, teams, leagues, and event organizers—as well as sponsoring companies. Our services extend to international negotiations and transactions, and they reflect the latest practices in Europe and the United States. Our aim is to foster innovative and mutually beneficial sponsorship agreements.
Key Points in Explaining Business/Legal Aspects
- Recently, particularly in Europe and the United States, sports marketing has undergone a remarkable transformation, with the economic value of sponsorships, a crucial source of revenue for the sports sector, increasing daily.
- For companies, the social impact of sports and the growing involvement of fans make it possible to resolve a variety of management challenges through sports marketing.
- As sponsorships become more complex and expensive, and their purposes more varied, it is becoming increasingly important to examine issues from a legal perspective. This includes clarifying the benefits and rights involved and providing contractual safeguards against unforeseen events.
Publications
Seminars
2023
12.08
2023
08.18
Sports in Web 3 / NFT & Metaverse
In the Web3 era, leveraging new technologies such as NFTs and the metaverse for sports-related businesses requires lawyers who are well versed in the latest laws and regulations in various fields. Our lawyers collaborate to support not only athletes, teams, and leagues, but also companies and platforms launching new projects or entering into new ventures. Our services involve providing legal advice on business models and regulations, organizing rights related to services and content, and negotiating various types of contracts, including licenses.
Key Points in Explaining Business/Legal Aspects
- Sports content is highly compatible with new-era technologies such as NFTs and the metaverse. With success in the competitive entertainment market at stake, the use of these technologies is drawing considerable interest.
- The constant evolution of innovative technologies and business models poses challenges due to unclear concepts under laws and regulations and rapid changes and developments in such laws and regulations and related guidelines.
- There are numerous legal issues to be considered in relation to the digital transformation of sports, including organizing rights through various contracts and terms of service, analyzing business models and related regulations, among other aspects.
Publications
Seminars
2023
04.06
2022
11.11
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Publication
EN
- A Introduction To Japanese Law On NFTs & The Metaverse
E sports
With the spread of online gaming and technological advancements, esports, which has turned computer gaming into a competitive sport, has become increasingly popular and continues to grow. Our teams of lawyers with extensive experience provide multifaceted legal analysis and advice to a wide range of stakeholders in the esports industry. This includes publishers, content developers, and streaming platforms. Our services extend beyond the scope of esports tournaments to include licensing matters and contingency planning, among others.
Key Points in Explaining Business/Legal Aspects
- In professional esports tournaments, the management of rights extends beyond the competition itself; it also includes rights management in the streamer business and the protection of game titles, which indicates that the legal issues are diverse and far-reaching.
- Advertising strategies using esports and scholarships are expanding. However, there are also issues to consider in relation to how corporate sponsors and partner companies should respond to incidents, for example when players or teams are involved in controversies.
- While esports also has the potential to use new technologies, there is also a wide range of legal issues to consider, such as those relating to the issue of athletes’ biometric data and the protection of personal information.
Publications
Seminars
2022
08.05
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Publication
EN
- Sports Betting and E-sports in Japan
License / Merchandize
An important aspect of sports business is the manufacture, sale, and licensing of merchandise and products. We offer comprehensive support to a variety of stakeholders, including players, teams, leagues, and other entities acting as licensors, as well as companies serving as licensees and distributors. In this regard, we provide a broad range of services, not only from the perspective of intellectual property law, but also taking into account the rules and practices of teams, leagues, and events. This includes arranging the necessary licenses, negotiating licensing agreements, and providing specific advice related to licensing in connection with recent digital assets.
Key Points in Explaining Business/Legal Aspects
- The rights to licensed properties, such as likenesses and trademarks, are intangible assets not visible to the naked eye. In relation to transactions involving these rights, it is essential to establish appropriate contractual relationships based on legal arrangements.
- In order to commercialize sports-related goods and other products, it is necessary to consider not only laws and regulations but also the rules and practices of teams, leagues, and events in order to determine from whom and what kinds of licenses and approvals are required.
- Recently, with the advancement of digital-based reproductions and commercialization, such as NFTs and the metaverse, the related legal issues have become increasingly complex. As these issues are often not directly addressed by existing laws and regulations, it has become even more important to prepare clear and appropriate contracts and guidelines.
Japanese Publications list
Sports Facility
In response to the government’s stadium and arena reforms and other initiatives aimed at developing the sports business infrastructure by creating attractive and profitable sports facilities, we leverage our expertise and experience in the field of real estate, an area in which we have long been strong, to advise a wide range of stakeholders, including team and event organizers, real estate-related project managers, financiers, and others involved in the development and management of sports facilities. We provide advice covering all aspects of development, management, trading, investment, securitization, finance, PFI, and technology.
Key Points in Explaining Business/Legal Aspects
- In recent years, primarily in the Europe and the U.S., there has considerable innovation in stadiums and arenas, including their transformation into multi-functional and complex facilities, proactive engagement with environmental issues, and the introduction of the latest technologies, among other trends.
- In order to enhance the profitability of Japan's sports business, it is crucial to select the appropriate development, management, and operation schemes for sports facilities, which form the foundation of such projects, and to clarify the legal issues related to various trends.
- Beyond PFI and other public-private partnerships for public sports facilities, there are numerous considerations to be addressed, including the development, management, and operation of privately owned sports facilities, methods of investment and financing, and review of the relevant regulations.
Publications
Seminars
2024
04.01
Japanese Publications list
Sports Betting / Gaming Law
In light of the recent global surge in sports betting, partly spurred by its legalization in the U.S., we provide comprehensive legal advice to domestic rights holders and operators considering engaging in related businesses, activities, monetization, and other measures. This also extends to foreign operators seeking to develop related businesses in Japan. Our advice covers the relevant regulations and the latest trends both in Japan and internationally.
Key Points in Explaining Business/Legal Aspects
- In the U.S., a 2018 Supreme Court paved the way for legalization of sports betting, which has since been legalized in nearly two-thirds of the states, leading to a rapid expansion of the market for related businesses.
- While contributing to the development of the sports business, there are also many challenges, including the prevention of related criminal activities, addiction, and other adverse effects, as well as ensuring the integrity of sports.
- When considering issues related to Japan, it is essential to understand the advantages and disadvantages, address them appropriately in light of current laws and legal frameworks, and take any future trends into consideration.
Publications
Seminars
2022
12.07
2023
11.28
2022
10.18
Japanese Publications list
ESG / SDGs
With increasing attention being paid to the value of sports in achieving ESG management and SDGs, we provide legal support not only to companies considering using sports to address social issues related to their businesses and products but also to rights holders seeking solutions to environmental issues affecting their sports and aiming to secure corporate support and investment. Our legal support includes assisting in the selection of appropriate sponsorship and partnership frameworks as well as negotiating terms and conditions for a variety of angles.
Key Points in Explaining Business/Legal Aspects
- With the growing importance of ESG factors in corporate activities, the key lies in leveraging the potential of sports, which is considered to be a crucial element in achieving SDGs.
- The influence of sports through sponsorship partnerships and similar methods is effective in promoting and spreading awareness of corporate ESG initiatives.
- It is essential to negotiate and agree on the structure and content of sponsorship partnerships appropriately based on various themes, such as health, education, equality and peace, and tailored to the unique qualities of each sport.
Sports Dispute Resolution / Risk Management
In addition to our traditional strengths in litigation and arbitration for dispute resolution, we also specialize in the establishment of governance, including the establishment of organizational structures and regulations for the prevention and proper handling of disputes and cases. In addition, in the event of an actual dispute or case, we provide comprehensive crisis management services, including prompt investigation, root cause analysis, prevention of recurrence, and stakeholder management, all supported by a cross-functional team of lawyers with extensive experience in various fields.
Key Points in Explaining Business/Legal Aspects
- Expert assistance is indispensable not only for resolving sports-specific disputes such as doping and team selection, but also for a wide variety of disputes that are on the rise due to the expansion and increasing complexity of sports business.
- Establishing governance for sound organizational management and ensuring integrity to maintain sports’ credibility have long been challenges in the sports industry.
- Amid the growing social interest in the public interest and integrity sports in recent years, the prevention of disputes and incidents, and responding appropriately when they occur, are essential for maintaining the trust of fans and the public, as well as the brand value.
