First Round

1. Gerrit Cole (Pittsburgh Pirates) – Boras Corp. – I assume this negotiation was not as brutal as Pedro Alvarez’s?
2. Danny Hultzen (Seattle Mariners) – Creative Artists Agency
   
3. Trevor Bauer (Arizona Diamondbacks) – Wasserman Media Group
   
4. Dylan Bundy (Baltimore Orioles) – Jay Franklin (BBI Sports Group) – I hope he will look as good in Oriole Orange as he would have looked in Royal Blue.
   
5. Bubba Starling (Kansas City Royals) – Boras Corp. – He had the opportunity to be a quarterback at Nebraska.
   
6. Anthony Rendon (Washington Nationals – Boras Corp. – The Nationals love them some Boras.
7. Archie Bradley (Arizona Diamondbacks) - Jay Franklin (BBI Sports Group) - Lots of happiness at BBI Sports Group by this point of the draft.
8. Francisco Lindor (Cleveland Indians) – Sportsmeter
9. Javier Baez (Chicago Cubs) – Jet Sports Management
10. Cory Spangenberg (San Diego Padres) - Jet Sports Management
11. George Springer (Houston Astros) – Greg Genske (Legacy Sports Group)
12. Taylor Jungmann (Milwaukee Brewers) – Hendricks Sports
13. Brandon Nimmo (New York Mets) – SFX
14. Jose Fernandez (Florida Marlins) – Ken Turkel and John Agliano (Team One Management)
15. Jed Bradley (Milwaukee Brewers) - Greg Genske (Legacy Sports Group)
16. Chris Reed (Los Angeles Dodgers) – Boras Corp.
17. C.J. Cron (LA Angels of Anaheim) - Moye Sports Associates
18. Sonny Gray (Oakland Athletics) – Bo McKinnis
19. Matt Barnes (Boston Red Sox) – SFX
20. Tyler Anderson (Colorado Rockies) - Greg Genske (Legacy Sports Group)
21. Tyler Beede - Octagon (unsigned – will be attending Vanderbilt)
22. Kolten Wong (St. Louis Cardinals) – PSI Sports Management
23. Alex Meyer (Washington Nationals) – Boras Corp.
24. Taylor Guerrieri (Tampa Bay Rays) - Greg Genske (Legacy Sports Group)
25. Joe Ross (San Diego Padres) - Wasserman Media Group
26. Blake Swihart (Boston Red Sox) - Greg Genske (Legacy Sports Group)
27. Robert Stephenson (Cincinnati Reds) – Matt Sosnick (Sosnick/Cobbe)
28. Sean Gilmartin (Atlanta Braves) – No advisor?
29. Joe Panik (San Francisco Giants) – Andrew Lowenthal (Proformance)
30. Levi Michael (Minnesota Twins) – Creative Artists Agency
31. Mikie Mahtook (Tampa Bay Rays) - Creative Artists Agency
32. Jake Hager (Tampa Bay Rays) – Paragon
33. Kevin Matthews (Texas Rangers) – Bobby Barad

Notes:

• Greg Genske and Legacy Sports Group had the same amount of clients taken in the first round (5) as Scott Boras.  The two of them account for almost one-third of all players selected in the first round (both companies also had superb offseasons).  Creative Artists Agency was next in line with a total of 3 clients selected, followed by Wasserman Media Group, SFX, Jet Sports Management, and Franklin-Frye Sports, each with 2 advisees drafted in the top 33 picks.
• Speaking of Creative Artists Agency - the company does not seem to be taking a hit in recruiting after the departure of Casey Close…or is it too soon to make such a statement?  No one knows just how much of an influence Close had in recruiting Mikie Mahtook, Levi Michael, and/or Danny Hultzen over the years, but they all have  stayed with CAA.
• Back to Genske vs. Boras.  While Genske tied Boras with regards to the number of clients selected in the first round, no one compared to Boras when it came down to signing bonuses negotiated.  Combined, Gerrit Cole ($8 million), Bubba Starling ($7.5 million), Anthony Rendon ($7.2 million), Chris Reed ($1.589 million), and Alex Meyer ($2 million) received a total of $26.289 million.  Genske’s clients – George Springer ($2.525 million), Jed Bradley ($2 million), Tyler Anderson ($1.4 million), Taylor Guerrieri ($1.6 million), and Blake Swihart ($2.5 million) – received a total of $10.025 million, which is absolutely nothing to scoff at.

2011 MLB Draft Round 1 Advisors/Players List from Sports Agent Blog - Sports Business, Sports Law, Sports Negotiations, NCAA Rules

When I first heard that Francisco (K-Rod) Rodriguez was switching agents from Paul Kinzer of Wasserman Media Group to Scott Boras of Boras Corp., I praised Kinzer for a job well done in his representation of the former New York Mets closer.  After all, Kinzer helped Rodriguez negotiate a 3-year, $37 million deal, which included a very impressive $17.5 million for an additional year had Rodriguez closed 55 or more games this season.  But as of late, most people are talking about a mistake Kinzer may have made, which could have negatively affected his former client.

I linked to a HardballTalk article in last week’s Shabbat Shalom: Friday Wrap-Up, which brought up a New York Times report about Kinzer failing to submit Rodriguez’s no-trade list to the Mets prior to his trade to the Milwaukee Brewers.  Rodriguez could have provided a 10-team no-trade list roughly 2.5 years ago, but Sandy Alderson of the Mets stated that the organization never received said list from Major League Baseball and/or the MLBPA.  Further, Rodriguez seemed to be under the impression that the list was effective and that the Brewers were a team on that list.  And apparently, Alderson recently told Kinzer and Arn Tellem of Wasserman Media Group that the Mets never received the no-trade list.  Boras says that Alderson’s message was never relayed to Rodriguez.

Luckily for Rodriguez and Kinzer, the only reason Rodriguez had not wanted to go to the Brewers was because back in 2008, Trevor Hoffman had the closer position on lock.  Unfortunately for Kinzer, even if Rodriguez closes at least 55 games this season, he will not be earning any commission on the closer’s 2012 salary.

Late last week, K-Rod and Boras agreed to turn Rodriguez’s $17.5 million vesting option into a mutual option in exchange for changing K-Rod’s buyout from $3.5 million to $4 million.  It is almost certain that Rodriguez will in fact become a free agent next season at the ripe age of 29 and command a large multi-year deal based on his final numbers from this season and past seasons combined.  Scott Boras will negotiate that contract, which means Kinzer will take no part of it.

But maybe Kinzer should just be thankful that K-Rod ended up on a team that he no longer wanted on his no-trade list and that Boras was able to structure a deal with the Brewers that makes Rodriguez happy.  In a different situation, where K-Rod would have been traded to a team that he wanted on his original no-trade list and continued to want to block from attaining his services, he could have been taken the issue up with the MLBPA by filing a grievance.  David Waldstein of the New York Times thinks that Rodriguez may still argue for damages based on Kinzer’s alleged failure to submit a no-trade clause.  Waldstein states,

It could be argued, and most likely will be, that his rights under his original contract were compromised and he lost something of value.

I happen to believe that after Boras accomplished a re-structuring of Rodriguez’s deal, he will not suggest to his client that a grievance be filed for any damages resulting from Kinzer’s apparent lack of providing the no-trade list to the Mets.  Damages would be particularly hard to prove.

Navigating Francisco Rodriguez’s No-Trade Clause from Sports Agent Blog - Sports Business, Sports Law, Sports Negotiations, NCAA Rules

The Pittsburgh Pirates will have their hands full negotiating with Gerritt Cole.  In 2008, the Pirates had fun dealing with Pedro Alvarez, also a Boras client, who was selected #2 overall.  Initial reports indicated that the Pirates signed Alvarez for a $6 million bonus, but Boras claimed that Alvarez refused to sign the deal with the Pirates until 45 minutes after the signing deadline, which would have made the deal null and void.  The Major League Baseball Players Association looked into the matter and found that the rules were violated by the signing which apparently took place post-deadline.  Later, Alvarez agreed to a 4-year Major League deal with the Pirates that included a $6.355 million bonus.

Stories like this give us an idea of what it must be like to negotiate with Scott Boras, but nothing is as good as hearing it straight from someone who has a past of negotiating with the head of Boras Corp.  A few days ago, Jim Bowden provided everybody with a treat by going there – writing a breakdown of Boras’ negotiating style.  Bowden starts with the pre-draft process.

Boras will talk to all 30 scouting directors, general managers and owners (if they’ll take the phone call). He will give him his expectations for his client list — how he values them (not in terms of specific dollars but against previously signed talent) and reminds clubs that his player could re-enter the draft or go to college. If he’s talking with a small-market club whose history includes not paying over recommended slot, Boras might suggest that they pass on that player because he probably won’t sign with them and then will suggest maybe they draft one of his second-round type players in the first round because they could afford him. He also will look at an organization’s depth chart from the major leagues to the minor leagues. If a team has an All-Star catcher in the major leagues and a top catching prospect at Double-A, he might advise a team not to draft his catcher, realizing it might take his client longer to get to the major league team in that organization, thus delaying arbitration and free agency — where the real money is. He wants clubs to be prepared to pay the price if you draft one of his players.

It sounds like a very strong and effective strategy.  However, Bowden probably did not realize nor intend it when he wrote the piece for ESPN, but stating that Boras has direct communications with all 30 scouting directors, general managers and owners is the same as saying that Boras violates NCAA Bylaw 12.3.2.1 in the advising process for each of his clients.  NCAA Bylaw 12.3.2.1 reads as follows:

12.3.2.1 Presence of a Lawyer at Negotiations. A lawyer may not be present during discussions of a contract offer with a professional organization or have any direct contact (i.e., in person, by telephone or by mail) with a professional sports organization on behalf of the individual. A lawyer’s presence during such discussions is considered representation by an agent.

Boras advised former University of Kentucky baseball player James Paxton, who was suspended after he would not cooperate with NCAA investigators who wanted to question him about Boras supposedly having direct communication with a Blue Jays front office member after Paxton was drafted.  Between the Paxton controversy and Bowden’s piece, I assume the NCAA will be keeping a close eye on Boras Corp. employees.

NCAA Bylaws aside, the Bowden piece is a great read.  It includes Boras’ great leverage game, how he employs his own slotting system, and the record-breaking Boras draft deals he has negotiated.

Jim Bowden Discusses Boras’ Negotiating Power; Disregard For NCAA Rules? from Sports Agent Blog - Sports Business, Sports Law, Sports Negotiations, NCAA Rules

My absolute favorite part of the MLBTradeRumors.com post was the spreadsheet linked at the top of the page, prior to the breakdown by agency.  Not only does the spreadsheet do a great job listing the money earned in this past offseason, but it also has an up-to-date listing of Major League Baseball players along with their current representation.  In fact, it is even updated to show that Jason Heyward is no longer a client of Career Sports Entertainment (CSE), but instead a client of Excel Sports Management, where former CSE baseball agent Victor Menocal has gone to work alongside Casey Close in the development of a new baseball agency at the Excel basketball powerhouse.

Boras Corp. had a remarkable offseason, racking up roughly $444.5 million in contracts for its clients.  More than $100 million behind Boras Corp. stands Legacy Sports Group and its main agent, Greg Genske.  Third on the list is Creative Artists Agency, which will likely not be ranked as high in future years with the departure of Casey Close to Excel Sports.  Dan Lozano sits at #17 on the list, but should be near the top of next year’s rankings.

The spreadsheet discussed above is embedded below.  Enjoy.

Boras Corp. And Legacy Sports Boast Strong 2010/11 Offseasons from Sports Agent Blog - Sports Business, Sports Law, Sports Negotiations, NCAA Rules

Alex Rodriguez has been around the block when it comes to representation.  In 2007, he dropped Scott Boras (only concerning marketing) in favor of Madonna’s agent, Guy Oseary.  Then, in 2008, Rodriguez hired William Morris Agency (WMA) for marketing purposes.  In 2010, Rodriguez dropped all ties to Boras, terminating his relationship with Boras Corp. with regards to negotiating baseball contracts.  Many people believed it did not matter based on the likelihood that Rodriguez would no longer play after his current contract ends.  This year, Rodriguez changed marketing agents again, hiring Steve Loy of Gaylord Sports Management.  And finally, A-Rod has just hired a new agent to handle any future baseball contracts.  The lucky new agent is Dan Lozano, who broke off from Beverly Hills Sports Council (BHSC) to start his own agency with clients like Albert Pujols, Nick Swisher, Yonder Alonso, and now Alex Rodriguez.  Let’s hope that A-Rod does not change his mind any time soon for the sake of Mr. Lozano and Mr. Loy.

Dan Lozano’s Empire Expands With Addition Of Alex Rodriguez from Sports Agent Blog - Sports Business, Sports Law, Sports Negotiations, NCAA Rules

Baseball

• Former Boras Corp. employee talks about the industry and his new position [Baseball Sports Agency: Meet VP, Tim Murphy].
• His best response was getting Oliver Perez a new deal [Agent Boras defends himself against 'Player X'].
• 7-day disabled list [MLB, union adopt universal concussion policy].

Football

• I think the NFLPA has done enough; no need to affirmatively encourage players to attend the NFL Draft [NFLPA says it’s not asking players or agents to boycott draft].
• Rosenhaus is advising his clients to hold off on workouts organized by players [Miami Dolphins players trying to set up workouts].

Basketball

• Group workout being planned in New Jersey on the weekend of April 29 [Testing the NBA Draft Waters May Never Be the Same].

Sports Law

• A good video clip featuring some experts on the subject [MIT Sloan Sports Analytics Panel on "The Coming War: Sports Labor Relations"].

Sports Business

• Donation earns Falk the David B. Falk College of Sport and Human Dynamics [David B. Falk ’72, Rhonda S. Falk ’74 make $15 million gift to Syracuse University].

Shabbat Shalom: Friday Wrap-Up (4/1/2011) from Sports Agent Blog - Sports Business, Sports Law, Sports Negotiations, NCAA Rules

Football

• Referring to Arn Tellem, Wasserman stated, “I’m fortunate enough to get to call him a good friend” [Casey Wasserman: Why I Want an NFL Franchise in L.A.].
• Teague Egan is back, and he wants to build the next Nike [How A 5-Minute Golf Cart Ride Paved One USC Student's Path To Building The Next Nike].
• Nice rap sheet on the attorney [Sources: Former Ohio State football player tipped Tressel to player investigation].

Baseball

• Not quite as much as Boras Corp. [Legacy Sports Group Brokers Over $300MM].
• Issues may include an international draft, mandatory slotting in the draft, expanded playoffs, increased drug testing, lower luxury tax threshold, eliminating the “super two,” etc. [The ABCs of Baseball’s Next CBA].

Basketball

• It all started with the recruitment of Kevin Walls [How Calipari's Relationship With Worldwide Wes Began].
• Read. Of. The. Week! [Industry Insider: Legendary Agent David Falk [Part 1 / 2]].
• Which means you have to read Part 2 [Industry Insider: Legendary Agent David Falk [Part 2 / 2]].

Sports Agents

• The agent is David Arluck of Arluck Promotions [Athlete, agent share 'little steps' to success (with video)].

Shabbat Shalom: Friday Wrap-Up (3/11/2011) from Sports Agent Blog - Sports Business, Sports Law, Sports Negotiations, NCAA Rules

According to Tweets by Melissa Segura of Sports Illustrated, Rodney Fernandez has been charged with grand theft based on allegations that he stole money from Los Angeles Angels of Anaheim first baseman, Kendry Morales.  More specifically, it is based on an allegation that Fernandez is linked to $300,000 magically disappearing from Morales’ bank account.  Fernandez was held at the Broward County Main Jail, which is less than a mile from my office.

Rodney Fernandez used to be an agent with Hendricks Sports Management.  He was briefly famous for becoming Aroldis Chapman’s agent after he fired Edwin Mejia of Athletes Premier International (API), which resulted in a lawsuit filed by API.  The suit claimed that Hendricks Sports made material false and disparaging statements to Chapman concerning API and Mejia, and provided improper enticements to Chapman in an effort to make him switch to Hendricks Sports.  That lawsuit was later settled for an undisclosed sum of money.

At the time that Chapman made the switch to Hendricks, many people speculated that Kendry Morales played a role in wooing Chapman to his new representatives.  Not long thereafter, Morales switched to Boras Corp.  Rodney Fernandez was likely a big part of Morales’ switch.

Will Fernandez attempt to take down Hendricks Sports Management with him?  In February 2010, Fernandez spoke to ESPN The Magazine and stated that Randy and Alan Hendricks approved the removal of money from Morales’ bank account.  Furthermore, Fernandez claimed that the money was used for “expenses related to Hendricks Sports Management.”

Former Hendricks Sports Agent Rodney Fernandez Charged With Grand Theft from Sports Agent Blog - Sports Business, Sports Law, Sports Negotiations, NCAA Rules

I first found out about Teixeira dropping Boras through a Tweet by Bryan Hoch of MLB.com.  Later in the day, Hoch provided a bunch of worthwhile quotes from Teixeira on his MLB.com article.  Here are some of Teixeira’s quotes scrapped from Hoch’s article:

“There’s no reason to get into a lot of specifics right now, but sometimes business relationships just run their course.  For me and my family, right now this is the best decision for me.”

“I felt at times I was Mark Teixeira, Scott Boras client, instead of Mark Teixeira, baseball player.  We had a great relationship and he gave me everything that I asked for contract-wise.”

“He was obviously disappointed.  Scott and I have had a great relationship business-wise.  We both have worked well together.  I’ve known him for 12 years.  After 12 years, sometimes it’s just time to make a little bit of a change.  Hopefully when I see him, we’ll be able to shake hands.”

So for all of you hoping that Teixeira would slam Scott Boras for something, tough luck.  In fact, Teixeira praised Boras for doing a great job negotiating his current deal with the New York Yankees.  If anything, Teixeira’s statements further solidify Boras as one of, if not the best in baseball when it comes to seeking suitors for clients and negotiating his clients’ deals.  However, even Boras is not the best at everything, and at this stage of Teixeira’s career, he seems to have no need for the services of Boras Corp.  Instead, Teixeira’s concerns include helping the Yankees win a championship (something no agent can assist with) and becoming more involved in the community (where a specialized sports agent or non-sports entity could come in to help).

Teixeira has been working with John McMahon of the Jonas Group.  Expect McMahon to take an even greater role in the management of Teixeira’s off-field work.  The Jonas Group is run by the Jonas Brothers’ father, Paul Kevin Jonas, Sr.  The company markets a lot of young talent including Jordin Sparks and Demi Lovato in addition to Mark Teixeira.

And don’t feel bad for Scott Boras.  He will still get his full commission on that luscious $160 million contract.

On To The Next One: Mark Teixeira from Sports Agent Blog - Sports Business, Sports Law, Sports Negotiations, NCAA Rules

While Nick Swisher did not sign Scott Boras (he ended up going to Dan Lozano), Michael Bourn has made the move to Boras Corp.  Bourn was previously represented by SFX.  Prior to SFX, Bourn was represented by Beverly Hills Sports Council.  Some guys really have a problem picking an agent and sticking with him.

Boras gets Bourn at a great stage of his career.  He is going into his 2nd season as an arbitration eligible player and should be heading towards the most productive years of his career, as he is only 28-years-old.  Bourn has already established himself as a great fielder, racking up 2 Gold Gloves, and is a speed demon, owning the stolen base record for the past 2 seasons.

Take a look at this list of Scott Boras clients.  It makes you realize just how powerful he is in the business of baseball.

On To The Next One: Michael Bourn from Sports Agent Blog - Sports Business, Sports Law, Sports Negotiations, NCAA Rules