Companies provide the endorsement deals to the sportspersons/ athletes who have the potential to become one of the best players in the sports. It also benefits to companies to increase their revenue by advertising their products/ services to the consumers. However, what happen when an accusation or any allegation, criminal or civil, be made on such sportspersons/ athletes who are closely associated with such companies. Therefore, Moral Clause comes into the picture. This kind of clauses give rights to the company to terminate the contract with the sportspersons/ athletes or to the sports organisation to terminate the contract. Hence, in this article we will see what is moral clause in the sports, how it is important for the companies and why it can be negotiated in case a well-established sportspersons/ athlete is associated with the company. The researcher in the present article done secondary research which include books, case laws, articles, journals, statues and online database.

Keywords: – Sportspersons, athletes, moral clause, sports, brand image and negotiation

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