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Athletic Resource Management and ProFiles Sports Plans to Merge Operations

If possible, I always like to break big news on a Monday.  A lot of people are scouring the news at the beginning of the week, and it gives people the entire week to share it with others.  That’s why I feel that the news of the Athletic Resource Management (ARM) and ProFiles Sports, Inc. merger plans did not get as much publicity as it deserved.  The press release was delivered to the media on Thursday, November 18, which only gave me enough time to make a mention to it on our Shabbat Shalom: Friday Wrap-Up.  But it really needs to be recognized for its importance.  After all, the merger will combine some of the best athletes and coaches under one representation roof.

The new company will be called SportsTrust Advisors.  It will have offices in Memphis, Tennessee and Atlanta, Georgia.  Here are just a few names that SportsTrust will represent: Matt Cain, Lane Kiffin, Rex Ryan, Nick Saban, Philip Rivers, Jason Witten, Ryan Fitzpatrick, Brian Urlacher, and DeMarcus Ware.  There will be more than 100 football players and over 40 coaches all represented by this new company.  Has Rosenhaus, CAA Football, and Todd France met its match?  And is there any company that rivals its status as being the preeminent coaches agency?

With so many football players and coaches managed by the same company, how can all potential conflicts of interest be avoided?  One thing to consider is the National Basketball Players Association’s rule against representing professional players and coaches.  What if the NFL Players Association decides to adopt a similar rule?  If it is limited to preventing an individual agent from representing a professional player and a coach, then SportsTrust Advisors would probably be able to get around the restriction based on its sheer number of employees who could interchange names on representation agreements.  However, if the restriction prevented any one company from representing both classes of professionals, it could sure make this merger rather questionable in the future.

Another issue to consider is how Morgan Keegan will factor into this merger.  Morgan Keegan Financials Inc. purchased Athletic Resource Management, Inc. in 1995.  ARM became financially connected to Morgan Keegan, and Morgan Keegan became a recommended place for ARM clients.   Morgan Keegan has been, and continues to be, sued by its clients for funds that were supposed to be long term safe retirement funds, when in reality, they were placed in very high risk security funds.  This affected many of ARM’s clients.  Amongst those affected by these actions are Donte Stallworth, Gibril Wilson, Horace Grant, Jerome Woods and many more.  Woods and his wife Dana received $950,000 in a case against Morgan Keegan for losing nearly all of Woods’ money he placed with Morgan Keegan for retirement.   Horace Grant received a $1.45 million judgment.

In the meantime, the merger joins two of the larger names in the industry, Jimmy Sexton and Pay Dye, Jr., and their immense client lists.  Good luck to the gentlemen involved.

By Darren Heitner

Darren Adam Heitner, Esq., is a preeminent sports attorney and the founder of Heitner Legal, P.L.L.C., a Fort Lauderdale-based law firm specializing in sports law, contract negotiations, intellectual property, and arbitration. He earned his Juris Doctor from the University of Florida Levin College of Law in 2010 and a Bachelor of Arts in Political Science, magna cum laude, from the University of Florida in 2007, where he was named Valedictorian of the College of Liberal Arts and Sciences. Admitted to practice in the state bars of Florida, New York, and the District of Columbia, as well as multiple federal courts, Darren also serves as a certified arbitrator with the American Arbitration Association.

As an adjunct professor, Darren imparts his expertise through teaching Sports Law at the University of Florida Levin College of Law and Name, Image, and Likeness (NIL) at the University of Miami School of Law in the Entertainment, Arts, and Sports Law LL.M. program. His scholarly contributions include authoring several books published by the American Bar Association, such as How to Play the Game: What Every Sports Attorney Needs to Know, and numerous articles in prominent publications like Forbes, Inc. Magazine, and Above the Law. His thought leadership in NIL has earned him recognition as one of the foremost experts by The Wall Street Journal, USA TODAY, and On3, and he has been lauded as a “power player in NIL deals” by Action Network and a “top sports trademark attorney” by Sportico.

Darren’s passion for sports law led him to establish Sports Agent Blog on December 31, 2005, initially titled “I Want To Be A Sports Agent.” The platform, created as a New Year’s resolution, has grown into a cornerstone of the sports agency community, offering in-depth analysis of industry trends, legal disputes, and agent-player dynamics. His commitment to the field is further evidenced by his representation of numerous athletes and sports agents, as well as his prior role as an Adjunct Professor at Indiana University Bloomington, where he developed and taught a course on Sport Agency Management from 2011 to 2014.

Darren’s contributions have been recognized with prestigious honors, including the University of Florida’s 40 Under 40 Award, the University of Florida Levin College of Law’s Outstanding Young Alumnus Award, and designation as the best lawyer in Fort Lauderdale by Fort Lauderdale Magazine. He remains an active voice in the sports law community, sharing insights through his weekly NIL newsletter and his X posts, engaging a broad audience on legal developments in sports.