[MUSIC] Welcome back. In this lesson, we're going to explore the age eligibility rules for each of America's three major leagues. We're going to start with age eligibility in Major League Baseball. We have a number of lessons on this. But just to be clear about it, across the three major leagues, Major League Baseball has the most relaxed of the restrictions. Teams can draft players when they're directly out of high school unlike the other two major leagues. Typically then they're going to enter minor league system almost always. It's what's called passive draft eligibility. You can be drafted and you can choose to stay in school. As you've seen, those of you who follow the MLB draft will know that. There's no requirement for a player to formally enter the draft. The draft can last as long as a team wants it to, sometimes goes as many as 50 rounds. Differentiation is on the international side. We have these academies, in Latin America, Busconis representing these 16 year olds. Young talent can be developed, and observed, by teams within their academies, in the Latin American system, for many years. And we're expanding with Cuba as well to the internationalization of the game. So there have been a number of challenges to the MLB age restrictions across the other leagues. Because of the passive nature of the draft, Major League Baseball itself thus far, has withstood these challenges. There's been a class action, in fact, challenging the whole restrictive nature. It was, called the Miranda case. And in the 9th Circuit, it was recently dismissed, due to the Major League Baseball Antitrust Exemption. But, on the international side, staying with Major League Baseball, international players are free to sign as soon as they turn age 16. And there are fabrications of age, and now we require DNA proof down there. The Busconis are trying to clean that up so they don't take all the money that's otherwise paid to the Academy player as he comes into the systems. And they're not involved with the draft at all. And oftentimes, they come stateside to be at rookie ball or low A ball at the age of 17 or 18. And making $1,200 a month, or thereabouts, and that's a lot of money for them. But, essentially, I think, this is the best model. Because with MLB, then you can go to college, you can take that full scholarship, and you can play for three years. Or go to a junior college for a couple of years. Then you can come back. And as long as you don't have an agent, which would destroy your eligibility. Then you're free to resign with your team, the team that drafted you or any other team that would draft you if you're a U.S. citizen. I think that's the best of the systems because when you go to NFL, this has been challenged, heavily challenged by Maurice Clarett. As things stand now, the age eligibility rules in the NFL, like them or not, are three collegiate football seasons from the date of high school graduation. That's what the 2nd Circuit upheld, in the Maurice Clarett case. The commissioner does have he authority to waive that rule, in his sole discretion. Think about Larry Fitzgerald, who now plays for the Cardinals. This three year rule, in Clarett, Seminole case, the non-statutory labor exemption. Not the MLB exemption, but the labor exemption, saying, hey, the union agreed this rule. And you as a stranger to the union, Mr. Clarett, I'm sorry, you're bound by these terms of initial employment and wages and working conditions. And that's the state of play. Wide variety of challenges that Clarett made in the district court below, they were accepted. It was found to be an unreasonable restraint of his trade. There's a very old case called Yasu Smith who successfully challenged the draft. But in the Second Circuit Court of Appeals, citing some of the most relevant precedent including a Supreme Court Case called Tony Brown. The Second Circuit Court of Appeals upheld those challenges to the NFL age eligibility rules. And that's where we stand now. And just finishing up with the NBA, I'm sure most of you are familiar with the one-and-done rule, must be 19 years old. Any non-international player must be one year removed from graduation of his high school class. Age eligibility. Again, back in the day, a famous name you might recall, Spencer Haywood, challenged this. It was found to be an unreasonable restraint of trade. But per the current CBA, starting back in 2006, per the current collective agreement. Must be 19 during the draft, year one and done idea. Think University of Kentucky. And if you don't enroll in a college, you can go ahead and play in a developmental league. Or you could play internationally, as we've seen some players like Brandon Jennings have done. Age eligibility, the commissioner says, is a reflection of his best interests in the game power. But it has been collectively bargained and therefore tight here right now it is, as we say, it is for better or worse. Watch this space though because what about age eligibility in the future? We're going to be coming up in a couple years' time on the next collective agreement. The now director Michele Roberts of the NBA Players' Association has said, look, you gotta be able to sign a player. There should be no age limit whatsoever.. Look, if your capacity propels you into the NBA stratosphere like it did for Lebron back in the day, right out of St. Vincent-St. Mary, well that ought to be the rule. The NBA, on the other hand, has said gee, it would be probably better if we had two years. It'd be better if players get more mature. The data analytics on them and their college careers would benefit the NBA teams. They'd be able to understand who could be competitive, more competitive upon arrival in the league. And this is something that we're going to be tracking for you throughout the course. It's likely to come up in the next CBA negotiations. We hope it won't result in a strike or a lockout. There's lot of other issues, but age eligibility, I think, is going to be one of the major ones in the future, as we watch this space. There's all sorts of different draft proposals. We need to avoid this tanking thing. Perhaps the draft would be reformulated. If you're a 76ers fan I feel sorry for you because it seems like it's a race to the bottom to try to get that next first pick. I think the competitive nature of the NBA team owners are going to speak to that through our next CBA negotiation. Some form of reformulation of the draft, and the lottery system, could be in the offing, and watch this space. But, I think, right here, right now, as we close the loop on these three leagues. My personal preference is the MLB, the passive draft eligibility. And probably my least favorite is the NFL, the three year Clarett rule. And somewhere in between is the NBA. But we look forward to your making the call. But you need to know these rules if you're going to represent professional athletes in any of these three sports. And don't let them sign you as their agent, any of these players, because as soon as they do they would lose their amateur eligibility. Thanks for your attention to this module. [MUSIC]
