Remember The Nike v. Boris Berian Court Case?
Remember The Nike v. Boris Berian Court Case?
Nike's lawsuit against world indoor champion Boris Berian this year brought to light the complicated nature of professional running contracts.
When Nike filed a lawsuit against world indoor champion Boris Berian this year, it brought to light the complicated nature of professional running contracts.
In 2015, Berian emerged as the world leader in the 800m after dropping out of Adams State and working at McDonalds until the Big Bear Track Club invited him to train in California.
After running 1:43, Berian signed a short-term contract with Nike through the end of the year, which gave the sportswear company the right to match a competitor's offer after the contract expired. According to court filings, Berian was offered a three-year, $405,000 contract by New Balance in January of 2016. Nike argued that the company attempted to match the offer. But when Berian competed in New Balance products during the indoor season, Nike filed a breach of contract lawsuit against the middle distance runner. He was served with a lawsuit in the middle of a track meet in May.
A months-long legal battle ensued, causing an uproar throughout the running community. In the middle of the suit, Nike was granted its request, and Berian was barred from competing in New Balance footwear and apparel for 14 days in June.
Berian and his agent Merhawi Keflezighi took issue with the reduction clauses included in Nike's contract offer. New Balance's contract didn't contain reduction clauses, which reduce an athlete's pay if he or she doesn't meet certain performances standards.
Nike eventually withdrew its lawsuit one week before the U.S. Olympic Trials to eliminate the distraction for Berian. The company issued a statement that read: "In the interests of the athlete we have dismissed our case. We wish Boris the best of luck and success in the future."
A few days later, Berian officially signed with New Balance with a reportedly bigger contract than the one offered in January. The second contract took into account Berian's success at the U.S. indoor and world indoor championships where he claimed titles in both meets.
As a New Balance athlete, Berian went on to finish second at the Olympic Trials and eighth overall at the Olympic Games.
Watch Berian react to making his first Olympic team after the six-month ordeal:
In 2015, Berian emerged as the world leader in the 800m after dropping out of Adams State and working at McDonalds until the Big Bear Track Club invited him to train in California.
After running 1:43, Berian signed a short-term contract with Nike through the end of the year, which gave the sportswear company the right to match a competitor's offer after the contract expired. According to court filings, Berian was offered a three-year, $405,000 contract by New Balance in January of 2016. Nike argued that the company attempted to match the offer. But when Berian competed in New Balance products during the indoor season, Nike filed a breach of contract lawsuit against the middle distance runner. He was served with a lawsuit in the middle of a track meet in May.
Today, I got served at the Hoka Classic, @nike is going to sue me for breach of a contract that expired on 12/31/15. What shall I do?
— Boris Berian (@borisgump800) May 21, 2016
A months-long legal battle ensued, causing an uproar throughout the running community. In the middle of the suit, Nike was granted its request, and Berian was barred from competing in New Balance footwear and apparel for 14 days in June.
Berian and his agent Merhawi Keflezighi took issue with the reduction clauses included in Nike's contract offer. New Balance's contract didn't contain reduction clauses, which reduce an athlete's pay if he or she doesn't meet certain performances standards.
Nike eventually withdrew its lawsuit one week before the U.S. Olympic Trials to eliminate the distraction for Berian. The company issued a statement that read: "In the interests of the athlete we have dismissed our case. We wish Boris the best of luck and success in the future."
Nike dismisses its suit against former endorser Boris Berian, who it contended unlawfully switched to New Balance pic.twitter.com/hBFWxliwIl
— Darren Rovell (@darrenrovell) June 24, 2016
A few days later, Berian officially signed with New Balance with a reportedly bigger contract than the one offered in January. The second contract took into account Berian's success at the U.S. indoor and world indoor championships where he claimed titles in both meets.
As a New Balance athlete, Berian went on to finish second at the Olympic Trials and eighth overall at the Olympic Games.
Watch Berian react to making his first Olympic team after the six-month ordeal: