Legal specifics in sports clubs

Contract law in sports clubs: Fundamentals and key aspects

To avoid legal disputes and ensure the club operates securely, it is therefore important that all parties involved familiarize themselves with the most important legal aspects. This article provides a simple overview of the key areas of club law, liability law, labor law, and tax law in sports clubs.

Sports clubs regularly enter into contracts to regulate the diverse legal relationships between the individuals and institutions involved. Whether player contracts, coaching contracts, sponsorship agreements, or merchandising agreements – the drafting and content of these contracts should be carefully considered to avoid legal disputes.

Types of contracts in sports clubs

Key considerations

Liability and criminal law in sports clubs: What to consider?

Clubs face a variety of risks in the course of their activities that can lead to legal consequences. The following highlights some important aspects of liability and criminal law in sports clubs.

Club liability for accidents

• The club is generally not liable for accidents that occur during sports events or training.
• Exceptions: Organizational Negligence: The club is liable if it has violated its duties of care in organizing the event or training.
• Negligent Selection: The club is liable if it has not exercised sufficient care in selecting coaches or supervisors.

• Duty to Inform: The club must inform its members about the risks associated with the sport.

Club liability for property damage

Principle: The club is liable for damages to third-party property caused by club members.

Example: A club member damages a spectator's property during a game.

Liability insurance: Here too, liability insurance can protect the club from financial damages.

Liability of the board and volunteers

Principle: Board members and volunteers are generally personally liable for damages they cause in the course of their club activities.

Example: A board member enters into a contract for the club that is detrimental to the club.

D&O insurance: D&O (Directors and Officers Liability Insurance) can protect board members and volunteers from personal liability.

Criminal aspects

Doping

• Doping is strictly prohibited in sports and can lead to criminal penalties.
• Clubs must ensure that their members comply with anti-doping rules.

Match-fixing

• Match-fixing is a criminal offense that distorts sports competition.
• Clubs must do everything in their power to prevent match-fixing.

Other criminal offenses

• Bodily harm
• Fraud
• Embezzlement

Clubs should be aware of the diverse legal risks associated with their activities. Through appropriate measures, such as taking out insurance and training board members and volunteers, clubs can minimize these risks.

Employment law in sports clubs: Key considerations

Clubs generally employ a variety of coaches, supervisors, and other staff to whom employment law regulations apply. The following highlights some important aspects of employment law in sports clubs.

Employment relationships

• Rights and Obligations of the Employer: For example, the employer has the obligation to pay the employee wages and to provide them with a safe workplace.
• Rights and Obligations of the Employee: For example, the employee has the obligation to perform their work diligently and to follow the employer's instructions.

Collective bargaining agreements

• Collective bargaining obligation: In Germany, the obligation to adhere to collective bargaining agreements generally applies. This means that a collective bargaining agreement applies between the employer and the employee if the employer belongs to an employer association that has concluded a collective bargaining agreement for the respective economic sector.
• Content of collective bargaining agreements: Collective bargaining agreements regulate, among other things, wages, working hours, annual leave, and protection against dismissal.

Working time law and annual leave law

• Working hours: The regular working hours in sports clubs are generally 40 hours per week.
• Overtime: Overtime must be approved by the employee and must be compensated.
• Annual leave: Employees are entitled to at least 20 days of annual leave per year.

Protection against dismissal and severance payments

• Protection against dismissal: Employees are protected against dismissal after a certain period of employment. This means that the employer can only dismiss the employee under specific conditions.
• Severance payments: In the event of termination by the employer, the employee may be entitled to severance pay.

Special considerations in sports clubs

• Coaching activities: Coaching is typically a freelance activity and does not fall under employment law.
• Seasonal employment relationships: Sports clubs often have seasonal employment relationships, e.g., for coaches and supervisors in winter or summer sports.
• Travel time: Travel time incurred as part of club activities is generally considered working time.

Employment law in sports clubs is complex and involves many specific considerations. As a club, you should therefore consider seeking advice from a legal expert to ensure that you truly comply with employment law regulations.