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Third Party Agreement Rules

Discussion in 'Rugby League Forum' started by Ralphie, Jun 1, 2012.

  1. Ralphie

    Ralphie Well-Known Member Premium Member

    +2,953 /287
    Below is directly from the NRL Web Site. To those still saying it is limited to $300,000 per club, read the bit in bold italic in the 2nd paragraph!!!!!!!!!!


    The $300,000 limit applies to club sponsors.

    What about money paid from other people or companies?
    The basic guide is that if a player is receiving money from any person as a way of inducing him to play for the club, then that money will be included in the Salary Cap..
    Income that a player earns from parties not related to his club is generally not included in the Salary Cap, however, the details of the agreement must be advised to the club by the player. The club must then get approval for the agreement from the Salary Cap Auditor in order for the remuneration to be excluded.
    In 2006, the NRL also introduced an allowance for players who enter into Third Party Agreements with club sponsors. In 2011, the top 25 players are allowed to earn up to a maximum $300,000 from sponsorship leveraging but the total payments under these sponsorship leveraging agreements must not exceed $300,000 per club.

    Third Party Agreements
    Third party agreements are payments made by companies directly to players. There is no restriction on the amount a player can earn through third party agreements where he is being paid for his own intellectual property, without the need to employ club logos or names and where the company involved is neither a club sponsor nor are they acting on behalf of a club to secure the player’s services. An example of this is a player promoting a brand or product, for example, Billy Slater and Australian Bananas.
    Many players do have third party agreements that are outside the salary cap. Individual players have registered third party agreements totalling in excess of $7.5 million in 2011.
    All third party agreements must be registered and approved beforehand. This is to ensure that they do not become a way for clubs or players to use sponsors or third parties to undermine the salary cap. There are provisions for club sponsors to enter into agreements with elite players and for details see the Marquee Player Allowance section.

    ERNIE FOR NO7 Active Member

    +80 /1
    Yes there is no limit to a private third party contract - which is one not organised through his football contract and does not show and draw any nrl or arl connection.

    The NRL third party contracts that are done through the club are restricted and are included in the NRL contract and paid via the club.
  3. Ralphie

    Ralphie Well-Known Member Premium Member

    +2,953 /287
    If you doubt it, simply do the sums $7,500,000 divided by 16 clubs = $468,750 per club average. That's just a little above $300,000 isn't it.
  4. Jono

    Jono Well-Known Member

    +176 /5
    Hi Ralphie

    Thanks for this. However, this was already known. We know you can get as many sponsors as you want, as long as they are not affiliated with the club in any shape or form. However, there is a limit to the amount from sponsors passed through by the club.

    Therefore, if you say, as a sponsor, "stay at Manly and I'll pay you $x" then this is included in the third party deals for the club. Say 'I don't care who you play for, I just want you to represent my brand" then he can be paid as much as you want to pay him.

    Sometimes it is never said, but it is assumed that the only reason they received the sponsorship was to keep them at the club. This is hard to prove though if the club was in no way affiliated with the deal (didn't forward the sponsor on, is not a sponsor of the club, is not a supporter of the club etc.) I, for example, could never sponsor a player to join, or stay at Manly, without it being included in the third party club allowance, because of my support for the Sea Eagles....support that is all over my Facebook and what I do, so it cannot be denied.

    It's good to have this on the forum though for future reference.
  5. Ralphie

    Ralphie Well-Known Member Premium Member

    +2,953 /287
    Jono, the reason I put it up is because I continue to see posts on the T-Rex thread and others that keep on saying they are limited to $300,000 per club.

    It never ceases to amaze me the number of people who simply regurgitate what others tell them rather than simply researching the facts.

    I'd nearly bet that about one third of the $7.5 million is Brisbane.


    +2,412 /121
    This is the reason why Brisbane managed to keep much of their team together throughout the 90's and 2000's.

    Ken Talbot (who it was established was paying the majority of Wayne Benetts salary) would have been paying players through third party agreements to stay in Brisbane.

    How else would they have managed to retain what was basically the Qld State of Origin and in a few seasons the Australian team playing for one club?
  7. manlyfan76

    manlyfan76 Parra Trolls are the best. Premium Member 2017 Tipping Competitor

    +8,059 /174
    There are so many scenarios. Hay Cam yr selling yr house? Here is $300,000 more than its worth and I'll pay u at the end of sept. then sell the house for what it's worth and write off the loss. Or hey hoppa jnr here's a couple of hundred K for the old man. It goes on and on.
  8. Frogz

    Frogz Well-Known Member Premium Member

    +1,933 /43
    Funny, Ive asked the club on 2 occasions to clarify a few points on 3rd party arrangements...fell on deaf ears.......if this is true..isnt it better to have 3rd party deals than call them little sponsors?

    There is an opportunity for small busines to take advantage of this, but it doesnt seem to grab anyone's attention at the club.
    • Like Like x 1
    • The Eagle

      The Eagle Well-Known Member

      +480 /0
      The telegraph wrong?


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