League franchise agreement
Reference template · v1.1 · Franchisee and League
A sports or culture league grants an investor or company a city / team franchise for a fixed term.
Reference template, not legal advice. Consult your lawyer.
Reference template only, not legal advice. Laws, stamp duty and tax treatment vary by State and by deal. Have your lawyer review and adapt this document before anyone signs it. Live Aware (operator of Arena) provides these as starting points and is not a party to agreements between users.
On an Arena deal, open the deal and choose Generate draft agreement to get this template filled in with the parties, deliverables, fee and dates.
1. Parties
This agreement is made on [agreement.date] between:1. [partyA.org], represented by [partyA.name] ([partyA.email]) (the "Franchisee"); and2. [partyB.org], represented by [partyB.name] ([partyB.email]) (the "League").Each a "Party" and together the "Parties". Registered address, PAN / GSTIN and authorised signatory of each Party: [to be completed].
2. Grant of franchise
The League grants the Franchisee the right to own and operate the team described in [deal.title] (Arena deal [deal.ref]) in the city / territory [__] for the Term, under the League's rules as amended from time to time. The franchise may not be transferred, sub-licensed or change control without the League's prior written consent.
3. Term and renewal
Term: [__] years from [deal.start]. The Franchisee has a right of first refusal to renew on terms offered by the League at least [6] months before expiry.
4. Franchise fee
The Franchisee shall pay the League a franchise fee of [deal.value] ([deal.terms]), plus GST as applicable, on the schedule [e.g. 25% on signature, balance in [__] annual instalments]. Payments are made directly between the Parties outside Arena. TDS shall be deducted where required. Late payments carry interest at [__]% per annum and may lead to suspension under the League rules.
5. Owner rights and benefits
The Franchisee's rights and benefits are as set out on the Arena franchise listing and the deal deliverables:[deal.deliverables]These include, where stated, team name and colours, participation in player auctions / drafts, home fixtures, local sponsorship and ticketing inventory, and the agreed share of central revenues.
6. Obligations of the Franchisee
Field a team for every season, meet the League's minimum squad, venue, safeguarding, anti-doping and integrity standards, maintain the minimum net worth and insurance agreed, and comply with central sponsorship category exclusivities.
7. Confidentiality
Information memoranda, financials and plans shared under the NDA accepted on Arena remain confidential and survive termination of this agreement.
8. Termination
The League may terminate for non-payment, insolvency, a change of control without consent or a material breach not remedied within [30] days of notice. On termination the franchise reverts to the League; fees paid are [non-refundable / refundable pro rata].
9. Cancellation
Either Party may cancel this agreement by written notice. If it is cancelled before any deliverable has started, amounts paid shall be refunded within [30] days, less costs already committed with the other Party's written approval. After work has started, the cancelling Party shall pay for deliverables already provided and costs reasonably committed up to the date of the notice, and amounts paid for deliverables not yet provided shall be refunded pro rata within [30] days.
10. Confidentiality
Each Party shall keep the terms of this agreement and any non-public information received from the other Party confidential, using it only to perform this agreement, for the term and [2] years after it ends, except where disclosure is required by law.
11. Data protection
Each Party shall process personal data received under this agreement only for its purpose and in line with the Digital Personal Data Protection Act, 2023 and applicable rules.
12. Termination
Either Party may terminate on [30] days' written notice if the other Party materially breaches this agreement and does not cure the breach within that period. Fees for deliverables accepted before termination remain payable.
13. Liability and indemnity
Each Party indemnifies the other against third-party claims arising from its breach of this agreement or of law. Neither Party is liable for indirect or consequential loss. Total liability is capped at [the fee under this agreement], except for fraud, wilful misconduct or breach of confidentiality.
14. Force majeure
Neither Party is liable for delay or failure caused by events beyond its reasonable control (including natural disasters, epidemics, government action or cancellation of the underlying event). The Parties shall agree in good faith on rescheduling or a pro-rata refund.
15. Governing law and disputes
This agreement is governed by the laws of India. Disputes shall first be discussed in good faith for [30] days, then referred to arbitration by a sole arbitrator under the Arbitration and Conciliation Act, 1996, seated in [city], in English. Courts at [city] have exclusive jurisdiction for interim relief.
16. General
This agreement is the entire agreement on its subject and may be changed only in writing signed by both Parties. Stamp duty shall be borne by [Party] as per the applicable State Stamp Act. This agreement may be signed electronically and in counterparts. Live Aware (operator of Arena) provides the Arena platform only and is not a party to this agreement.
17. Signatures
For [partyA.org]: Name ____________ Designation ____________ Signature ____________ Date ________For [partyB.org]: Name ____________ Designation ____________ Signature ____________ Date ________