Third Party Agents This case study discusses how third party agents can negative

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Third Party Agents This case study discusses how third party agents can negatively impact our business contracts Third party agents are often used to represent our interests in the negotiation as we believe that their expertise as negotlators well better Many agents are paid on a commission basis. As a consequence, they can be negotiated outcome because of what they might derive from the negotiation. effectiveness in the outcome also directly relates to the reputation they stand to cr nfuence and negotiator process. We use them serve our goals and achieve better results very concerned about a Their In the late 1980's in the Unites States, sport's agents Norby Walters and Lloyd Bloom s signing approximately 43 athletes to sign contracts. The contracts were signed appear that the athletes had signed after completing their last year of eligibility, and before they turned pro. This was a rule mandated by the governing body, the NCAA, which had expressiy forbidden that players be allowed to sign contracts before their last year of eligibility had finished. ucceeded in in a manner to make it To get the players to sign illegally, the agents induced the players by enticing them with tickets for concerts, airline flights, automobiles, cash payments to the athletes and their families, hotel accommodations, limousines, clothing, and more. This had all transpired when the players were in their last year of college which is the same as the last year of eligibility. The agents had in reality signed these players buy using post-dated contracts where the agents received exclusive rights to represent the players when they turned pro. The contracts were made to appear as if the players had signed after the completion of their last eligibility year. Some of the illegally signed players who had signed with these agents tried to void their contracts. The two sports agents proceeded to pressure at least four of the players who wanted to renege the contract by threatening that they would never play their sport again. As things came to a head, it began to seep out publicly that these players had not only been courted by the agents during the last year of their eligibility, but that they had signed their contracts before completing their final year of eligibility Eventually, these two agents were charged when word reached legal authorities. The charges included an eight count indictment for racketeering, conspiracy to commit extortion, and mail fraud, just to name a few Additionally, Lloyd Bloom was accused of defrauding one of the players out of $150,000 dollars by convincing him to invest 1/3 of his signing bonus into a credit business. In truth, it appears that Bloom applied the money to lease a Rolls Royce, pay off some bills, his ex-wife's rent and karate classes. Third party agents are essential to the business transactions we engage in every day. Most people simply don't have the expertise to properly and thoroughly engage in some of our transactions and partnerships. However, agents often have privy to more information than one or more of the parties involved in a business negotiation or transaction. Their interests can sometimes run c own, so we must be cautious and on the ball when we sub need to keep track of what they are doing, or else we run the r eight ball. risk of finding ourselves left behind the This page's contents may be re-published in full or part we ask only that you include an honest html link back to this site, preferably to our home or www.negotiations.com/traininglpage

Explanation / Answer

(1) After studying the case it seems that atheletes are more guilty of ethical misconduct instead of those agents. Becuase they have committed misconduct with their full consent in spite of having sound knowledge about the terms and conditions of the contractual agreement. The atheletes have also failed to represent the spirit and dedication to the game which they must have carried away. The verdict of those players should be such that it will set a lesson to the other players.

(2) To come up with some code of conduct for the agents we can cite the following points. They are -

(a) The agents should only be more specific on their assigned tasks and they should not involve themselves in any activities which results in the breaching of code of conduct.

(b) The agents should try to maintain or increase their reputation with taking into consideration the fruitful consequences in the future which can be achieved only through providing better solutions to an organisation.

(c) Agents should not misuse their expertise skills for being a part of unethical deeds.

(d) They should not persuade any one to be a part of their misdeeds which may lead others to be guilty which may be knowingly or unknowingly.

(e) Agents must have a feeling of respect to their respective organisation in which they have been hired and always be more dedicated to their particular tasks for which they are being paid as per their requirements.

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