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Ryo Hazuki

Member
Oct 25, 2017
5,474
This might be a pretty big deal in regards to esports and pro players. The key element here is that they're saying FaZe Clan are violating California law and the Talent Agency Act. Hollywood Reporter link below for full story and legal document:

https://www.hollywoodreporter.com/thr-esq/tfue-sues-faze-clan-oppressive-contract-1212124

One of the world's top professional esports players is suing his gaming organization for allegedly restraining his business opportunities — and taking up to 80 percent of his earnings — in a complaint that argues esports players' representatives should be regulated like agents of film and TV stars.

Tenney says he's missing out on those opportunities because of FaZe Clan's unlawful activity in connection with a deal he signed in April 2018 — and he only gets to keep 20 percent of the revenue from any branded videos that are published on Twitch, YouTube or social media and half of his revenue from touring and appearances. His Twitch streams have been viewed more than 120 million times, and he has more than 10 million YouTube subscribers and 5.5 million Instagram followers.

"That Gamer Agreement is grossly oppressive, onerous, and one-sided," writes Freedman. "Faze Clan uses its illegal Gamer Contracts to limit Tenney to deals sourced exclusively by Faze Clan and to prevent Tenney from exploring deals presented by others; deals that are potentially superior to deals procured by Faze Clan; and deals that are not saddled with an eighty percent (80%) finder's fee."

"Not only does Faze Clan take advantage of these young artists, it jeopardizes their health, safety and welfare," writes Freedman in the petition to determine controversy. Tenney says FaZe Clan pressured him to live in one of its homes in the Hollywood Hills with other young YouTubers, where he says he was given alcohol before turning 21 and encouraged to illegally gamble.

"Faze Clan also continuously pressured and encouraged Tenney and others to undertake dangerous stunts while performing in videos," writes Freedman. "During one video, Tenney suffered an injury to his arm while skateboarding which resulted in permanent disfigurement."
 
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Nooblet

Member
Oct 25, 2017
13,625
Hope he can do something about it but wouldn't eSports players be more akin to sportsmen than actors/artists?

Beside what would he be able to do if it was in contract and overlooked by him during signing?
 

BloodHound

Member
Oct 27, 2017
8,999
Wait a minute...so he signs a contract, then he tries to sue them for conditions in said contract? Does he not understand how a contract works and that you should read anything you sign?

If a contract says we are going to take 80% of all your earnings in exchange for x, y, z, but they only provide x, I'm sure people will sue to get out of it.
 

Nome

Designer / Self-requested ban
Banned
Oct 27, 2017
3,312
NYC
Strongly suggest y'all read the entire article linked in the OP, as there's some serious allegations. It seems that part of what's being questioned is whether this type of contract is legal in the first place. See:
These conspicuously anti-competitive provisions, which are probably found in every Faze Clan Gamer Agreement, undoubtedly violate California Business and Professions Code § 16600 t seq. ( Section 16600 ) which provides that every contract by which anyone is restrained from engaging in a lawful profession, trade, or business of any kind is to that extent void.
Usually I'd reserve judgment, but from firsthand experience, eSports and shadiness goes hand-in-hand.
 

itchi

Banned
Oct 27, 2017
1,287
Sounds like he signed a contract to get a large amount of money but now would be making more without the contract so wants out and maybe the underage drinking stuff is enough to void the contract.
 

SpecDot

Banned
Oct 29, 2017
988
Wait a minute...so he signs a contract, then he tries to sue them for conditions being "unfair" in said contract? Does he not understand how a contract works and that you should read anything you sign?
My thoughts exactly. But his lawyer here is using the word "illegal" so hopefully there's more to it than a kid signing a contract without knowing nothing about it.
 

ZugZug123

Member
Oct 27, 2017
2,412
These orgs are really taking advantage of very young people who might not have anyone to negotiate for them.

For something like OWL or Lol I get that you need to be on a team/org to do it but Fortnite looks like something a lone wolf can do it without need to sign up to an org, are they forced to it in order to qualify for tourneys?
 

Kei-

Member
Mar 1, 2018
1,041
Wait a minute...so he signs a contract, then he tries to sue them for conditions being "unfair" in said contract? Does he not understand how a contract works and that you should read anything you sign?

Doesn't matter if the contract is unlawful
I support this, they should make more than 20% of their earnings, that's ridiculous.
 

SolidSnakex

Member
Oct 25, 2017
23,354
Oh boy



For those that don't know, Nadeshot is one of the most popular competitive CoD player ever (perhaps the most popular). He was part of OpTic, but he'd likely know about what was going on with FaZe as well given how close everyone in that community is. There are some current FaZe people replying to his tweets in shock that he's calling out the organization.
 

dat boi

Member
Oct 28, 2017
448
Doesn't matter if the contract is unlawful
I support this, they should make more than 20% of their earnings, that's ridiculous.

Well yea, obviously if it's unlawful then they should 100% be litigated. It just struck me initially as suing for oppressive/unfair terms. I guess it'll be interesting to see how this plays out.
 

benzopil

Member
Oct 25, 2017
4,150
Oh boy



For those that don't know, Nadeshot is one of the most popular competitive CoD player ever (perhaps the most popular). He was part of OpTic, but he'd likely know about what was going on with FaZe as well given how close everyone in that community is. There are some current FaZe people replying to his tweets in shock that he's calling out the organization.

Owner of FaZe
 

Leviathan

Banned
Oct 28, 2017
2,065
This is about to be another "Era doesn't respect contracts or understand unconscionability" thread, isn't it?
 

Kei-

Member
Mar 1, 2018
1,041


Highly professional. Definitely doesn't make me think he's the kind of person who would be okay with an exploitative contract.

That being said, I wouldn't be surprised if all these teams are involved in some shady practices. They can all throw each other under the bus.
 

Rahfiki

Member
Oct 28, 2017
1,022
God in between this and the OpTic situation it feels like everything is on fire in the esports community rn
 

Kei-

Member
Mar 1, 2018
1,041
He signed the contract though?

Why do people keep saying this? Doesn't matter what you sign if it's unconscionable or not enforceable. You can write any sort of ridiculous thing into a contract, just because I sign it doesn't make it legally binding.

God in between this and the OpTic situation it feels like everything is on fire in the esports community rn

What happened with Optic? Tbh the impression I get of a lot of these Esport "Organizations" is that they are glorified fraternities, with all the stereotypes.
 
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MadMod

Member
Dec 4, 2017
2,724
Highly interested in how this turns out, everyone knows about the abusive situations pro players get into, but not much is done. Really hope this one lands on the players' side of the law.
 

Frozenprince

Banned
Oct 25, 2017
9,158
All these gaming "organizations" have been predatory since their inception with very few exceptions so it's good that they're finally being called to task for what is very likely illegal conduct on behalf of their contractual obligations. None of them understand the fundamental concept of labor laws but since their primary clientele aren't well versed in these things either they perpetuate by keeping them ignorant.
 

Kalentan

Member
Oct 25, 2017
44,628
Since that tweet was taken down I'm guessing it was a really bad reply

fffe927d-5ea3-46aa-b644-5d6e05f27638.png


I got a screenshot.
 

Silky

Banned
Oct 25, 2017
10,522
Georgia
Banks is a piece of shit, fuck FaZe

FaZe, Ess are the progentiors of shitty ass people running shitty ass organizations
 

Papercuts

Prophet of Truth
Member
Oct 25, 2017
11,013
This really doesn't surprise me. Faze especially seems really sketchy with Banks at the helm.
 

GMM

Member
Oct 27, 2017
5,481
There's many things in this and stances that needs to be solidified. First off, are these people sports athletes or entertainers, the distinction is very hazy here.

Second, no doubt these media companies are predatory in nature and rules need to be established, but unless they are in breach of what these entertainers/athletes signed up for to begin with, it's a hard case. A case like this can set precedent for how things should be done going forward, but people sign dumb contracts every day without seeking proper consulting.

Third, if these people feel fed up with others taking their revenue for reasons that may not be illegal, shouldn't there also be a revenue split for the gaming companies which content you are directly making money off? There is a huge amount of hypocrisy with this and these "content creators", game creators need as much legal say as content creators when it comes to how original IP is being used. It's dumb how we accept you cannot upload an entire movie with dumb jokes recorded over it, but it's totally fine to do with a linear narratively driven game.
 

Theiea

Member
Oct 27, 2017
1,574
The bit about signing an 11 year old, and having them lie about their age...oof. That's a whole other mess.
 

elzeus

Member
Oct 30, 2017
2,887
Wasn't he already with Faze before his latest contract? He was a smaller than Ninja last year and earned more in tournaments, but now that he's bigger than Ninja their cut is a problem. Hopefully this brings more attention to these predatory contracts.
 

Rahfiki

Member
Oct 28, 2017
1,022
What happened with Optic?
Tldr is: They're in the process of being bought out and the players/content team have been really concerned they may just be shuttered all of a sudden. Hecz is trying to make a bid but he may not get it back even if he "wins" cuz of some grudge
 

Deleted member 49804

User requested account closure
Banned
Nov 21, 2018
1,868
edit: I should read the whole topic!

In April 2018, Tfue was a nobody in the streaming world
WaVrpuA.png


Super unlucky timing if that was a 2 year deal.
 
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