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December 28, 2006

Visa and MasterCard vying for World Cup sponsorship

[AdJab] Mastercard and Visa are arguing over who gets to be the title sponsor of the next two World Cup soccer championships. Mastercard has been the sponsor for the last 16 years and claims that FIFA, the sport's ruling body, breached its contract with them by not allowing them to make another play for the sponsorship.

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Money.cnn.com[Money.cnn.com] FORTUNE: The Curious Capitalist: After the FIFA boards had approved MasterCard as post-2006 sponsor and after MasterCard had agreed to FIFA's asking price and agreement had been reached on all other terms and after FIFA's in-house counsel had solicited FIFA members for items that might be used to claim that MasterCard breached the Agreement, FIFA pointed to a trademark issue that had been present since 2000 or 2001 to justify granting the post-2006 sponsorship to VISA and sent a letter to MasterCard--after the commencement of this lawsuit--purporting to terminate the Agreement and thus MasterCard's first right to acquire.

http://sportspolicy.blogspot.com [Sportspolicy.blogspot.com] The Sports Policy Blog: MasterCard claims World Cup sponsorship foul: MasterCard was ditched as the prime sponsor of the World Cup by Fifa earlier this year even though the credit card company believed it was still in negotiations to renew its 16-year-old contract for a further eight years. Unknown to MasterCard, Fifa was also in talks with Visa about a new sponsorship offer, which it has since signed.

[Sportsbiznews.blogspot.com] Sports Business News: “MasterCard Is entitled to permanent injunctive relief for the foregoing reasons, MasterCard is entitled to: a) a permanent injunction enjoining defendant Fédération Internationale de Football Association (“FIFA”) from implementing or otherwise proceeding with its purported 2007-14 “FIFA World Cup” sponsorship agreement with VISA or otherwise granting to VISA, or any other entity, any package of advertising and sponsorship rights, with respect to payment solutions products or services, in connection with FIFA soccer competitions during the period 2007 to 2014”

http://appellatedecisions.blogspot.com [Appellatedecisions.blogspot.com] Decision of the Day: VISA Gets Ejected From World Cup Sponsorship ...: On appeal, the Second Circuit concludes that it lacks jurisdiction over VISA’s appeal of the Rule 19 order, although it can address the appeal of the Rule 24 order. Here’s the trick, though: because jurisdiction depends on whether the district court’s Rule 19 order was correct, the Court has to review that order as well.

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Posted at December 28, 2006 02:24 AM

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