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Old 06-24-2008, 07:35 PM   #1
FortheLoveofMMA

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UFC Merchandising Agreement - Fighters Get Scammed

Billion-Dollar UFC Enters Merchandising in Big Way: Good Deal For Fighters? | The Official Blog of the MMAFA

Marketing Rights Agreement Highlights

· In exchange for granting Zuffa the Merchandise Rights, a fighter is entitled to (i) ten percent (10%) of gross revenue for sales of Licensed Merchandise completed by Zuffa, and (ii) twenty percent (20%) of gross revenue for royalties and/or license payments received from third parties.

· The Agreement grants Zuffa an exclusive license prohibiting even the sale of autographed photographs!

· The Agreement operates to strip even the fighter himself of the opportunity to profit on his own Identity in the marketplace. Not only are fighters being asked to sign an agreement that grants likeness rights to Zuffa on a worldwide, exclusive basis (to the exclusion, incredibly, of even the fighter himself), the term of the Agreement is forever.

· The term of the Agreement lasts forever, and the Marketing Rights for fighter are held by Zuffa even after a fighter is cut!

· The Agreement requires a fighter to make up to Six (6) appearances per year, and each of the appearances may be required of the fighter for no additional compensation.

· The Agreement contains no audit rights which would provide a mechanism for a fighter to enforce the terms of the Agreement and to verify payments are fair.

· The Agreement enables Zuffa to divert royalty and licensing payments by shifting income that could be classified as a license or royalty fee entitling a fighter to payment, into a payment that is Zuffa’s income alone.

· The Agreement requires a fighter to warrant that all permissions have been obtained to utilize third party marks and copyrights.

· The Agreement does not offer any royalty or license payments for video games and DVDs.

· The Agreement prohibits a fighter from not only using Licensed Marks of Zuffa, but also mere words alone!

· The Agreement, in short, is absurd for fighters, and drastically impacts their marketing and revenue producing ability throughout, and even after their athletic careers.


full article here



The full Merchandising Agreement Zuffa is passing sounds largely like an indentured servant contract. When will we, as fans and fighters, no longer tolerate such obvious detriments to our beloved sport?

If anyone has a chance to read this, please do, and let me know your thoughts.


Last edited by FortheLoveofMMA; 06-24-2008 at 07:35 PM. Reason: forum errors
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Old 06-24-2008, 07:40 PM   #2
Yamma King
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this is sad and pathetic. i was starting to like dana white again but now im sickened by how he screws over the fighteres. 10% or 20%, that is ridiculous.

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Old 06-24-2008, 07:40 PM   #3
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Quote:
The Agreement grants Zuffa an exclusive license prohibiting even the sale of autographed photographs!
Quote:
The term of the Agreement lasts forever, and the Marketing Rights for fighter are held by Zuffa even after a fighter is cut!
Quote:
The Agreement requires a fighter to make up to Six (6) appearances per year, and each of the appearances may be required of the fighter for no additional compensation.
Quote:
The Agreement does not offer any royalty or license payments for video games and DVDs.
HAHA, wtf. Looks worse than the typical music artist agreements. Now I have even more respect for guys like Fedor and Joachim Hansen

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Old 06-24-2008, 07:41 PM   #4
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dont bite the hand that feeds you....where were the fighters before the zuffa marketing machine ....fighting for PRIDE,WFA,BoDog,M1...old WEC.....these fighters are becoming millionaires.........Zuffa is making millions but is also spending millions getting marketing and media attention....the more money the UFC makes the more money the fighters make on endorsements

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Old 06-24-2008, 07:43 PM   #5
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Quote:
Originally Posted by Yamma King View Post
this is sad and pathetic. i was starting to like dana white again but now im sickened by how he screws over the fighteres. 10% or 20%, that is ridiculous.
the really sad part is that 10/20% becomes even more insignifigant, if more then 1 fighter are involved in the particular product.

For instance, lets say the UFC creates a playing card deck with all of its fighters. That 10/20% is now split up between 52 fighters, instead of 1, no matter how well it sells. (well actually, 51 fighters, as you can bet your bottom dollar dana white will be in the deck as well....)

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Old 06-24-2008, 07:44 PM   #6
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Originally Posted by DNA4421 View Post
dont bite the hand that feeds you....were these fighter before the zuffa marketing machine ....fighting for PRIDE,WFA,BoDog,M1...old WEC.....these fighters are becoming millionaires.........Zuffa is making millions but is also spending millions getting marketing and media attention..
I "highly" doubt the typical UFC fighter makes millions... btw thanks to the thread starter. I wouldn't of found this if it wasn't for you

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Old 06-24-2008, 07:45 PM   #7
FortheLoveofMMA

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Originally Posted by DNA4421 View Post
dont bite the hand that feeds you....were these fighter before the zuffa marketing machine ....fighting for PRIDE,WFA,BoDog,M1...old WEC.....these fighters are becoming millionaires.........Zuffa is making millions but is also spending millions getting marketing and media attention..
Zuffa is spending millions marketing THEIR BRAND, not the fighters.

Its time to stop concentrating on the venue, and start focusing on the fighters who make up the sport we love.

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Old 06-24-2008, 07:45 PM   #8
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I "highly" doubt the typical UFC fighter makes millions...
i doubt any fighter would make more money consistantly outside of the UFC

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Old 06-24-2008, 07:46 PM   #9
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Originally Posted by FortheLoveofMMA View Post
Zuffa is spending millions marketing THEIR BRAND, not the fighters.

Its time to stop concentrating on the venue, and start focusing on the fighters who make up the sport we love.
before Zuffa how many of these fighters were making more than 200k per year???? how many fighters were being sponsered as heavily.....

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Old 06-24-2008, 07:47 PM   #10
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Originally Posted by Yamma King View Post
this is sad and pathetic. i was starting to like dana white again but now im sickened by how he screws over the fighteres. 10% or 20%, that is ridiculous.
If I read that correctly (which I probably did not), it not only means they only get 10/20% but that under certain circumstances, they get nothing if Zuffa determines that it is considered a "license or royalty fee"..

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