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ESPORTS – LEX SPORTIVA OR LEX MERCATORIA?

This article is dedicated to the question of possible application of Lex Sportiva in esports related disputes by arbitrators. The article examines similarities between the traditional sports and e-sports, the sporting merits in those and the extent of possible applicability of Lex Sportiva. It also studies the “rules of the game” of esports from traditional sports perspective and other analogies and comparison between the two industries.

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Esports - Lex Sportiva or Lex Mercatoria

Introduction

Esports is self-organizing, community-based activity with its own ecosystem. The debates on whether esports is sports or other activity are not fading. This question was already discussed at many levels by different organizations and scholars. The International Olympic Committee (IOC), while having made moves to recognise virtual gam­ing as a sport, limits itself to games that simulate actual sport, saying that video games that have a vio­lent nature do not fall in line with its core values. It also has qualms with the lack of traditional physical skill found in esports.[1]

But what is inherent to esports in the same way as it is in traditional sports is the fact of competition, the event includes competition of two or more participants to find out the winner within the framework of game rules. Put differently, the meaning of competition is to find out the strongest.

It can be said that the current consensus achieved is as follows: esports is not traditional sport but is subject of interest of traditional sports. The question of the esports being sports-related activity within the light of Article R27 of the CAS Code of Sports-related Arbitration of CAS is questionable. From the merits perspective it seems to have the characteristics of sport, but for falling under the scope of R27 the characteristics are not enough. Consequently, the question arise, what type of dispute resolution shall be chosen for delivering the best possible quality in resolution of such disputes in order to safeguard the values, aims, sustainability of the industry as a whole.

Many authors have agreed over time that the most convenient form shall arbitration. For that reason, it already the World Esports Association (“WESA”) and the Arbitration Court for Esports was created in 2016. Is it enough? Do its rules reflect necessary mechanism to consider specificities of sports? This will be the subject for review here. For that reason, the following questions shall be raised:

  1. Is there Lex Ludica in esports?
  • Are there any similarities of characteristics of esports and traditional sports industries?
  • Is it subject to Lex Mercatoria or Lex Sportiva or both?

Raising and reviewing these questions will help to identify what requirements the dispute resolution system like arbitration shall take into consideration.

Is there Lex Ludica in esports?

Any sport includes a competition, which is being conducted under certain rules. These rules are inherent to the essence of the competition. there are voluntarily accepted by the parties wiling to compete under the specific framework therein. The match officials are granted an extent of autonomy to assess the processing of the competition/match in compliance with those rules. Ken Foster develops this concept as Lex Ludica and defines it as follows:

“The Lex Ludica is a concept that is employed to signify that there are sporting matters that are outside legal intervention, and as such are simply not suitable for arbitration by the Court. It is a zone of autonomy for match officials and federations in so far as they are dealing with the rules of the game, a Lex Ludica that is defined by its non-application by the Court of Arbitration for Sport.”[2]

In other words, these are the set of rules, which are purely under the autonomy of match officials and national federations and are not subject ot be legally challenged, in football – those are “Laws of the Game” adopted by IFAB, in basketball – “Official Basketball Rules” adopted by FIBA and so on.

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However, the autonomy behind it is not absolute, the wrong application of the rules by match officials or the violations committed by the athletes may cause disciplinary consequences, which already fall into the scope of legal challenge subject to the pertinent regulations of the corresponding sport governing body.  These rules already fall under scope of Lex Sportiva. The latter can be described as rules and regulations drawn up by the international sporting organisations and CAS arbitral awards that do not stand in isolation from these rules.[3]

Now back to esports, there is no any Lex Ludica as the competition is conducted in a closed virtual or augmented environment, and the “rules of the game” are the actual programmed rules available within the game. Therefore, there is no need of any Lex Ludica and/or autonomy of match officials appointed to safeguard the match processing. All the process can be regulated by simple anti-cheat. For esports athletes, in order to understand this a following example can be brought: many, if not all fighting games, which are competitive are locked at 60 frames per second.

This is required to properly establish, program and foresee the entire balance of the game: “startup frame” – the time period from when the attack starts, up until the active frames begin; “Attack Active Frames” – the time during which the attack motion has a hitbox; “recovery time” – the period after the active frames have ended, until the character can move again.[4]

Moreover, nowadays the developers provide the full spreadsheet of this data or built them in the game or the community collects this information on its own.[5]

Now, in additional to the skills sharpened over the years the competitive players clearly know the data of the game programmed therein, For instance how long is the recovery time of the opponent’s move, which was blocked by the player? This knowledge helps the player to execute the proper “punishment” in milliseconds. Nowadays, this data can be changed from time-to-time by the game developer’s updates issued over the air.

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Players know that technical equipment can affect the input and output of the move in milliseconds, but never in frames, therefore the frames, hit-boxes and the animated physics therefrom make the game predictable and foreseeable for the players, therefore the compilation of this programmed conditions within the game are exactly the “laws of the game”. Therefore, there is no any match official to assess if the frames or animated physics work correctly within the game during the competition as everything is programmed in advance.

Before the competitions, the participants exactly know the version of the update of the game. Thus, the classical approach of Lex Ludica does not exist in esports due to virtual environment, which obeys the rules of the closed systems.

According to Dr. David S. Walonick:

“A closed system is one where interactions occur only among the system components and not with the environment. An open system is one that receives input from the environment and/or releases output to the environment. The basic characteristics of an open system are the dynamic interaction of its components, while the basis of a cybernetic model is the feedback cycle. Open systems can tend toward higher levels of organization (negative entropy), while closed systems can only maintain or decrease in organization”.[6]

In other words, the programmed environment is enough to exclude the need of match officials or their autonomy of interpretation within the game. This should not be confused with the competition rules, sanctioned by the competition organizer. The set of these regulations is the supra layer following the actual game/match process. In other words, even if there is Lex Sportiva in esports, the focal point to start are the competition rules sanctioned by the competition organizer, which can be the publisher, or independent organizer entitled to organize such competition.

In traditional sports, the violation of Lex Ludica generally leads to disciplinary sanctions, which subsequently fall under the disciplinary law. In esports, it is different, as these laws are framed and programmed, they fall under “cheating” or “technical cheating” (edoping)[7].

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Why is this important?

It was already mentioned, that Lex Ludica is part of the Lex Sportiva, which is compiled not only by the rules and regulations of the particular sports, but also the CAS awards. Over the years CAS established a set of conduct, which may be perceived as minimum requirements in sports industry subject to the relations being disputed at its level. For that and in order to understand if that set of conduct can be applied to the esports industry, it is needed to be understood if esports has characteristics similar to traditional sports compared to traditional sports.

Similarities of characteristics of esports and traditional sports industries.

The similarities can be divided into two categories – 1) category of organizing the events, 2) characteristics inherent to athletes. For the sake of comparison, the football industry shall be taken into comparison from traditional sports and “Tekken World Tour 2024” (TWT Rules)[8], sanctioned by Bandai Namco Entertainment America Inc. (BNEI) as an esports event. Of course, the induction method is not correct to assert completely, but for the reference it is more than enough as these principles can be found in vast majority of organized sports.

  1. From the event organizing standpoint – competition[9], integrity requirements (anti-doping,[10] fight against match fixing[11], and other disciplinary matters), the employment or commercial matters (including broadcasting)[12], status of the athlete,[13] fast pace of the industry (transfers, quantity of events)[14]; and
  • From the athletes’ standpoint – development of skills inherent to the athlete specifically, image (personality) rights of the athlete,[15] freedom of association (establishing and/or joining trade union) or employment (or service providing)[16], commercial matters (including sponsorship and/or merchandizing), very short period of career,[17] high density and level of stress.

Regarding the density and level of stress it should be underlined that it is a common opinion that eSports is not physically exhausting or intense. However, a study amongst German eSports players showed that they are exposed to high levels of stress which are common for traditional sports. Up to 400 precise clicks on keyboard and mouse per minute are not uncommon.

This uses different brain regions that are not accessed that much in any other sport. Furthermore, it was found that the cortisol level was similar to that of a racing driver. Also, a high pulse of 160-180 beats per minute was measured, which is almost on par with a marathon runner.[18] In football, the bpm reaches 192 ± 9.[19]

These characteristics are of a paramount importance as they serve as fundamental pillars for the reasons of creating CAS. One of the reasons of creating CAS was the need to create a specialised authority capable of settling international disputes and offering a flexible, quick and inexpensive procedure.[20] CAS has been applying general principles of law to sporting institutions, and it has been also creating specific principia sportiva.

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Secondly, the CAS plays a significant role in interpreting sports law, thus influencing and conditioning rulemaking activity by sporting institutions. Thirdly, the CAS greatly contributes to the harmonization of global sports law, also because it represents a supreme court, the apex of a complex set of review mechanisms spread across the world: for instance, doping case decisions issued by national anti-doping panels can be appealed to the CAS.[21]

Apart from the controversial topic if CAS is entitled to accept the dispute under article R27 or R47 if the requirements stipulated therein are met, this derives us to the point where it can assumed that the arbitration in esports can at least take into consideration the standards developed by CAS in its jurisprudence.

For the proper functioning of the industry within the light of the legitimate expectation, it’s worth to highlight the following already developed standards: the employment contract cannot be terminated or the salary be reduced upon sporting performance,[22] principle of interpretation of the rules and regulations,[23] definition of the “supporter”[24] and alike awards, which have already set a long standing jurisprudence.

This complex of approach envisaged in those awards may be applied to comfort the uniformity of the industry, whilst taking into consideration the similarities of the industries mentioned above and create its own jurisprudence subject to specificities of esports not falling under the scope of the abovementioned similarities. For instance, the specificity of media rights belonging to the developer/publisher. This fundamentally different approach to media rights management makes competitive gaming unique in comparison to almost every other professional sport. Critics claim that this difference prevents the esports industry from maximizing its potential to profit from the leveraging of media rights for its competitions.[25]

Now, coming back to the arbitration esports. In esports as in traditional sports, there are different arbitration courts available.[26] Some authors correctly highlight that an eSports arbitration court would have a more thorough understanding of specific games and their rules and be able to reach the appropriate decision in cheating allegations.[27] But, these principles derive from the fair competition in sports and are used in traditional sports for thousand of years. There is no need in inventing wheel again, where there is already well-established jurisprudence by CAS in terms of traditional sports. These principles deriving from Lex Sportiva are inherent to any event engaging a competitive element between two or more parties with the aim of winning in such event.

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WESA arbitration court was established in 2016. However, due to WESA’s close connection to the largest eSports company in the world, the ESL (Electronic Sports League), many players felt that it was not an independent institution so that the WESA Arbitration Court never succeeded.[28] It should also be noted that some standalone relations fall under the CAS as well, for instance the Seoul based International ESports Federation (IeSF) is a signatory party of World Anti-Doping Agency, and stipulates CAS competence CAS in case of an appeal related to anti-doping rules violations.[29]

The same TWT rules set an arbitration jurisdiction clause American Arbitration Association (“AAA”) and, where applicable, the AAA’s Supplementary Procedures for Consumer Related Disputes.[30] Thus, we see that the esports arbitration is not systemized. But this a different topic of discussion. The question is what law should be applied by an arbitrator, when dealing with a dispute related to an esports, what law should be the focal point for application: Lex Sportiva, Lex Mercatoria or both?

Is the esports subject to Lex Mercatoria only or Lex Sportiva only or both?

Before answering to this question, it should be noted that Lex Sportiva is a part of Lex Mercatoria in global sense. Both terms are part of transnational legal order. Despite appearances, the term Lex Sportiva is neither old nor proper Latin but relatively recently created from the term Lex Mercatoria. By making this connection, Lex Sportiva positions itself in the context of transnational legal orders and by way of comparing itself to Lex Mercatoria, lex Sportiva draws on the pedigree of its older and more well-established cousin.[31]

Consequently, taking into consideration the similarities mentioned above, the following can be assumed. in terms of the disputes related to:

  1. purely sporting factors such as doping, “edoping”, other disciplinary matters – Lex Sportiva is to be applied;
  2. employment or service providing – Lex Sportiva and + are to be applied, subject to the specificities pertaining the facts at hand and the connection of regulations between the event organizer, federation and the athlete;
  3. commercial matters, such as intellectual property, broadcasting and sponsorship – Lex Mercatoria is to be applied.

Put differently, Lex Sportiva can be applied to the extent, which esports shall permit by establishing the necessary legal framework for it.

Conclusion

The creation of the Supreme Court of world ESports as a phenomenon, alike CAS for traditional sports might help to establish its own jurisprudence comforting a uniformity in the industry. Until, then the arbitrators are free to consider the well-established jurisprudence of CAS, which are cornerstone of the industry and the facts at hand and the characteristics of the dispute, and its object have similarities with the dispute of esports. Eventually, the rich arbitration practice will filter the differences between the characteristics of the industries and finally resolve the self-identification of esports in between the commercial activity and the sports industry.

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[1] Camilleri Neil & Huk Iryna-Mariia Mykhailivna, “CAS for esports: reality or utopia?” Lex Sportiva, M. M. (2023) (1), 19, 20

[2] Ken Foster, ‘Lex Sportiva and Lex Ludica: the Court of Arbitration for Sport’s Jurisprudence’, in: Siekmann, R., Soek, J. (eds) ‘Lex Sportiva: What is Sports Law?’ (ASSER International Sports Law Series. T.M.C. Asser Press, 2012) 144,  https://doi.org/10.1007/978-90-6704-829-3_7 /

[3]Antoine Duval, ‘Lex Sportiva: A Playground for Transnational Law’ (2013) 19(6) European Law Journal 822, 827.

[4] https://game.capcom.com/cfn/sfv/column/131432?lang=en accessed 26 May 2024

[5] Street fighter 6, available at https://www.streetfighter.com/6/character/jp/frame accessed 26 May 2024

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Tekken 8, available at https://tekken8framedata.com/ accessed 26 May 2024

[6] David S. Walonick, ‘Organizational theory and behavior’(1993).

[7] Leonid Shmatenko, ‘eSports — “It’s In The Game”: The Naissance of A New Field of International Arbitration’ in Carlos González-Bueno (ed), 40 under 40 International Arbitration (Dykinson SL 2021) 393, 402

[8] https://www.bandainamcoent.com/legal/community-events/official-rules-twt accessed 25 May 2024

[9] Cf. art. 45 of FIFA World Cup Qatar 2022 regulations, adopted on 11 Aug. 2022 by the Bureau of the FIFA Council (FIFA WCQR) with art. 2 of TWT Rules, adopted on 15 March 2024 by BNEI

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[10] Cf. ch. III of FIFA Anti-Doping Regulations adopted on 25 June 2020 by FIFA Council with para. 13 of art. 10 TWT Rules

[11] Cf. art. 20 of FIFA Disciplinary Code adopted 16 December 2022 by FIFA Council with para. 14 of art. 10 TWT Rules

[12] Cf. art. 44 of FIFA WCQR and para.3 of art. 7 and para. 4 of art. 11 of TWT Rules

[13] Cf. art. 2 of FIFA Regulation and Status and Transfer of players adopted on 17 Dec. 2023 by FIFA Council with art. 6 of TWT rules

[14] In football, season is ongoing every year, see FIFA Worldwide Registration Periods Calendar Available at https://digitalhub.fifa.com/m/32d2905602f855be/original/Transfer-Window-Calendar.pdf accessed 26 May 2024 and TWT started in 2017 and is organized annually, see https://liquipedia.net/fighters/Tekken_World_Tour

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[15] These relations are purely of civil legal and contractual nature.

[16] For instance, ‘League of Legends Championship Series Players Association’ founded in 2017, https://www.lcspa.org/about accessed 25 May 2024, in football – FIFpro, founded in 1965, https://fifpro.org/en/who-we-are/our-organisation/history accessed 25 May 2024

[17] In e-sports, the athletes career starts to fade in mid 20s. See, Franz Christian Irorita, Retirement in esports: Why do esports players retire so early? (2020)Available at https://clutchpoints.com/retirement-in-esports-why-do-esports-players-retire-so-early accessed25 May 2024.

In football the retirement age is between the mid-30s and early 40s. See, Aidan White, ‘The Retirement Experiences of Former Professional Footballers: An Exploratory Study’ (Doctoral dissertation, Dublin, National College of Ireland, 2019), 7

[18] Sebastian Block and Florian Haack, ‘eSports: a new industry’ (2021) 92 SHS Web of Conferences, https://doi.org/10.1051/shsconf/20219204002 , 3

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[19] Neil Dallaway, ‘Movement Profile Monitoring in Professional Football’ (September 2013) School of Sport, Exercise and Rehabilitation Sciences, University of Birmingham, 21.

[20] https://www.tas-cas.org/en/general-information/history-of-the-cas.html#:~:text=Another%20reason%20for%20setting%20up,flexible%2C%20quick%20and%20inexpensive%20procedure. accessed 25 May 2024

[21] Lorenzo Casini, ‘The Making of a Lex Sportiva by the Court of Arbitration for Sport’, in Siekmann and Soek (eds), Lex Sportiva: What is Sports Law? 157, https://doi.org/10.1007/978-90-6704-829-3_8

[22] CAS 2009/A/1784, MSK Zilina v. Velimir Vidic, award of 27 August 2009

CAS 2012/A/2844, Gussev Vitali v. C.S. Fotbal Club Astra & Romanian Professional Football League (RPFL), award of 7 June 2013

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CAS 2010/A/2049, Al Nasr Sports Club v. F. M., award of 12 August 2010

[23] CAS 2020/A/7008, Sport Lisboa e Benfica SAD v. Fédération Internationale de Football Association (FIFA) (180009) & CAS 2020/A/7009, Sport Lisboa e Benfica SAD v. FIFA (180010), award of 10 May 2021

CAS 2017/A/5006, Harold Mayne-Nicholls v. FIFA, award of 14 July 2017

CAS 2019/A/6330, Sara Castillo Martínez v. World Skate, award of 18 February 2020

[24] CAS 2007/A/1217, Feyenoord Rotterdam v. UEFA, award of 20 April 2007

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CAS 2014/A/3944, Galatasaray Sportif Sinai A.S. v. UEFA, award of 30 July 2015

[25] John T. Holden and Thomas A. Baker III, ‘The Econtractor? Defining the Esports Employment Relationship’ (2019) 56(2) American Business Law Journal 397.

[26] It should be noted that in United States U.S. Olympic Committee (USOC) bylaws designate the American Arbitration Association to administer arbitrations between the USOC and athletes or representative sports organizations regarding (1) athlete eligibility and (2) a National Governing Body’s (NGB) franchise status, or recognition as an Olympic sport.

[27] Ryan Boonstra, ‘Player 3 Has Entered the Game: Arbitration Comes to the eSports Industry’ (2018) 10(1) Arbitration Law Review 106.

[28] Shmatenko, ‘eSports — “It’s In The Game”’ in González-Bueno (ed), 40 under 40 International Arbitration 394

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[29] Ibid. 405

[30] TWT Rules, art. 13(b)(III)

[31] Johan Lindholm, ‘Cour Suprême du Sport Mondial’, in: ‘The Court of Arbitration for Sport and Its Jurisprudence’ (ASSER International Sports Law Series. T.M.C. Asser Press, 2019) 8, https://doi.org/10.1007/978-94-6265-285-9_1

Author

  • Ashot Kyureghyan

    Ashot Kyureghyan is founder of A.K.A. Lex Sportiva Law Office, which operates worldwide and is profiled exclusively in sports industry alongside with its commercial activities. Having 8 years of experience in sports industry, Ashot was engaged in various committees, organizational groups and other activities related to the sports governance, management and law. Ashot is an qualified lawyer with expertise in Armenia and Switzerland, in Court of Arbitration for Sport (CAS). Ashot also operates internationally by representing various stakeholders within the scope of the legal framework of prominent international sports institutions like FIFA, UEFA, FIBA, International Olympic Committee, located in Switzerland. Ashot is nominated as a Panel member of Boxing Independent Integrity Unit of International Boxing Association, which acts as an alternative dispute resolution body for disputes occurred within the scope of activity of IBA competitions. At the same time, he is also included in Legal & Regulatory Working Group of European Club Association (ECA), located in Switzerland, which is one of the most respectful organizations in the industry. Ashot is an author of various articles dedicated to international sports law and governance and is engaged in multiple academical activities aimed to the sports law development. View all posts Partner

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Tencent’s Light of Motiram – Innovation or Imitation?

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The line between inspiration and imitation in the gaming industry has again sparked debate, this time involving Tencent’s title, Light of Motiram, and Sony’s Horizon Zero Dawn. The controversy highlights the ongoing tension in intellectual property (IP) law within gaming, echoing past cases like Palworld vs. Pokémon. Here, we explore these issues, their legal implications, and what they mean for the future of game development.


The Allegations Against Light of Motiram

Tencent’s Light of Motiram, bears striking visual and thematic similarities to Sony’s Horizon series. Both games feature post-apocalyptic settings where players navigate lush environments populated by mechanical animals. Critics have pointed out uncanny resemblances, from the aesthetic of mechanised creatures to thematic overlaps like “nature meets machine”​. For a side by side comparison, see here .

While Light of Motiram distinguishes itself by introducing survival mechanics, such as team-based gameplay and base-building, it doesn’t escape comparisons. This raises the question: at what point does inspiration become actionable under IP law?

Fans have drawn parallels between this situation and the ongoing legal battle between Nintendo and Pocketpair over Palworld, suggesting Sony might consider legal action for intellectual property infringement. While Light of Motiram incorporates some original features, the resemblance in core design has led many to accuse Tencent of unoriginality and blatant copying. Neither Sony nor Tencent has officially commented on these accusations or hinted at legal steps so far.


A Familiar Pattern: Palworld vs. Pokémon

Tencent’s predicament mirrors the legal battle between Nintendo and the creators of Palworld. The latter faced allegations of patent infringement (among other IP infringements). Their game, which shares visual and mechanical similarities with Pokémon, has been called “Pokémon with guns” due to its concept of capturing and using creatures in combat and other tasks.

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Nintendo and The Pokémon Company filed a lawsuit in September 2024 in Japan, claiming that Palworld infringes on patents related to mechanics like capturing creatures using a throwable object, visual indicators for capture success rates, and riding creatures in an open world. These patents stem from a broader set filed in 2021, before Palworld’s official release

There’s growing speculation about potential legal issues between Sony and Tencent. Given Sony’s history of protecting its intellectual property and the attention this controversy is garnering, a legal dispute similar to the Nintendo-Pocketpair case could emerge, especially if Light of Motiram proves successful upon release. For now, the gaming community is watching closely to see if Sony takes action or if Tencent modifies the game to address the criticisms.


Concluding Remarks

Legal disputes like these, underscore the challenges of fostering creativity while protecting original work. Developers tread a fine line when drawing inspiration from popular titles. While derivative works can expand genre boundaries, they risk infringing on protected IP, leading to costly litigation.

Whether or not Sony files a lawsuit (most probably will do so), the discourse surrounding this case will likely influence stakeholders’ understanding of the balance between innovation and IP protection—a critical issue as the esports and gaming industries continue to grow.

Tencent’s Light of Motiram – Innovation or Imitation?

Light of Motiram – Steam

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Author

  • Tencent’s Light of Motiram – Innovation or Imitation?

    Despoina, a pivotal member of Esports Legal News, seamlessly blends her fervour for Intellectual Property and Internet law with a specialised focus on the vibrant Video Game industry. In her current role as the Programme Element Leader for Pre-Masters and Lecturer at Brunel University London Pathway College, she navigates the realms of academia and legal practice, with a particular emphasis on the digital domain. Despoina’s commitment to advancing the legal understanding of the video game industry is evident in her Ph.D thesis, titled “The Interpretation of Copyright Protection in Video Game Streaming in Europe” which delved into the intricate relationship between copyright protection and the emerging phenomenon of video game streaming in the European context. Her dedication to this field ensures that she remains at the forefront of legal developments. With a Master of Laws (LLM) degree in International Commercial Law from Brunel University London, Despoina has solidified her expertise in the legal facets of the global business environment, providing a sturdy foundation to navigate the legal challenges within the esports and video game industry. At Esports Legal News, Despoina not only brings her academic rigor and legal expertise but also plays a crucial role in the coordination of a major ELN project, which, while still confidential, promises to be a significant contribution to the esports industry. She ensures that the intersection of Intellectual Property, Internet law, and the video game industry is navigated with precision, depth, and foresight, contributing to the ethical and legal progression of the esports industry. View all posts

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Book Review: The Routledge Handbook of Esports

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The Routledge Handbook of Esports edited by Seth Jenny, Nicolas Besombes, Tom Brock, Amanda Cote and Tobias Scholz, offers a comprehensive and interdisciplinary exploration of one of the fastest-growing sectors in contemporary sports and entertainment. This handbook is an essential resource for students, researchers, and industry professionals alike.

The structure of the book is both logical and engaging, divided into ten key themes that address the multifaceted nature of esports. Each of the 62 chapters, authored by 93 leading academics and industry specialists, presents rigorous research, practical examples, and case studies that illuminate the current landscape of esports. The themes range from foundational definitions and historical context to critical discussions on players, business management, and the future directions of esports.

Book Review: The Routledge Handbook of Esports

Chapter-by-Chapter Analysis of the The Routledge Handbook of Esports

Section 1: Introduction to Esports

The opening chapters provide a solid grounding in the subject, notably Chapter 1.2, which tackles the complex task of defining esports. Nothelfer, Jenny, and Besombes navigate the nuances of this definition with finesse, distinguishing between recreational gaming and competitive esports. Their proposed definition serves as a cornerstone for the entire handbook, establishing a clear framework for subsequent discussions.

In exploring the history of global esports, Jin and Besombes highlight significant technological milestones and cultural shifts that have propelled esports from niche competitions to a global spectacle. Their chronological account, pinpointing key transitions since the late 1950s, contextualizes the evolution of esports within broader societal changes.

Further enriching this exploration is Chapter 1.4, which meticulously outlines the diverse stakeholders within the esports ecosystem. Carrillo Vera and Antón’s depiction of the interdependencies among players, publishers, broadcasters, and fans emphasizes the complexity of this burgeoning industry. This holistic view is crucial for understanding how various entities collaborate and compete in the esports landscape.

Chapters focusing on esports genres and the role of game developers provide valuable insights into the mechanics of the industry. Hamer and Besombes categorize game genres with precision, while Ashton delves into the evolving responsibilities of game publishers, notably their transition to the “Game as a Service” model. These discussions reflect the dynamic nature of esports and its continual adaptation to technological advancements.

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Section 2: Esports Research

The second section of the handbook shifts focus to esports research methodology, a particularly notable feature as it addresses the nascent state of academic inquiry in this field. Baker, Sharpe, and Jenny’s overview of current research topics emphasizes the multidisciplinary nature of esports studies and suggests a robust framework for organizing future research efforts. While Jenny, Harris, Scholz and Besombes discuss the organisations, Labs/Centres and Journals related to Esports research, Campbell, Jenny, Cregan and Smithies provide general recommendations for Esports research. The call for more rigorous methodologies, including randomized controlled trials and qualitative approaches, is both timely and necessary as the field matures, as Cote, Foxman and Law highlight in 2.5.

Each chapter contributes to a greater understanding of the methodologies employed in esports research, providing practical recommendations and critical insights. For instance, Macey and Hamari’s examination of survey methodologies, along with DiFrancisco-Donoghue and Varga’s focus on experimental designs, equips researchers with essential tools to explore this vibrant field.

Section 3 – Esports Players

This section of the handbook highlights the vital role of players in the esports ecosystem, examining various facets crucial for their development, support, and sustainability. Featuring insights from both industry experts and academics, it presents evidence-based strategies aimed at enhancing player performance while prioritizing overall wellness. Chapter 3.2 by Hong and Wünsch offers an in-depth look at the daily routines and pressures faced by esports players, providing a comprehensive overview of their professional lives and the expectations from various stakeholders.

Jenny explores the essential skills required for elite esports performance, emphasizing the importance of physical coordination, mental acuity, and teamwork in competitive environments. Chapter 3.4 by Varga, Scholz, and Tan delves into the use of data to assess and improve player performance, highlighting both the strengths and limitations of analytics in capturing the nuances of communication and team dynamics. Watson, Jenny, and Johnson discuss the multifaceted roles of esports coaches, offering practical advice on coaching philosophies and educational pathways to enhance coaching effectiveness. Chapter 3.6 by Swettenham, Abbot, and Leis emphasizes the significance of mental fortitude in esports, presenting strategies for improving team communication and guidance on seeking psychological support. Migliore provides practical recommendations for physical activity, sleep, nutrition, and mental health, addressing common issues like stress and gaming addiction.

Chapter 3.8 by McGee, Ho, and Jenny highlights common injuries in esports and advocate for ergonomic practices to enhance player safety and performance. Meissner shares valuable insights on how to support children through various stages of their esports journey, from early involvement to professional aspirations. Chapter 3.10 by Fisackerly outlines the journey from casual to professional play, noting the impact of collegiate esports systems and the challenges players face in their careers.

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Section 4 – Esports Business and Management

Section 4 of the handbook dives into the commercial landscape of esports, examining the business and management practices that underpin this rapidly growing industry. While esports have attracted entrepreneurs and investors, it has also faced challenges, leading to calls for more sustainable business models. This section seeks to bridge traditional business principles with the unique dynamics of esports, offering readers valuable insights into various aspects of the field.

Chapter 4.2 by Parshakov and Barajas explores the financial frameworks and business models that drive the esports industry. It highlights diverse revenue streams and cost structures, alongside the evolution of prize money, showcasing the financial maturation of esports and investment opportunities within publicly traded companies.

Gentile introduces the discipline of esports management, emphasizing the need for effective managerial and leadership practices in this burgeoning landscape. The chapter reviews organizational structures within esports teams and leagues, providing a solid foundation for aspiring managers.

Chapter 4.4 by Helmefalk, Berndt, McCauley, Borg, and Erlandsson serves as a practical guide to orchestrating offline esports events. It covers key processes and stakeholder expectations, equipping readers with insights to successfully plan and execute tournaments.

Kauweloa explores the evolving architecture of esports venues, categorizing them into three types. The chapter addresses the design and technical considerations that influence venue management, urging future research to rethink conventional definitions of esports arenas. Chapter 4.6 by Becka, Antón, Vera, and Ruera examines the intersection of esports and tourism, identifying how esports events can enhance city branding and attract tourists. It highlights nine global “esports tourist capitals” and the potential for integrating esports within the hospitality sector.

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McCauley and Baker dissect the marketing strategies shaping the esports landscape. They analyse consumer behaviours and innovative branding techniques, offering a comprehensive overview of team and player branding as well as digital marketing practices. Chapter 4.8 by Pizzo and Hedlund delves into the critical role of sponsorships in esports, examining the relationship between endemic and non-endemic brands. It emphasizes the importance of authentic engagement to resonate with esports audiences and provides recommendations for maximizing sponsorship effectiveness.

Mitchell, Möglich, and Ritacco explore the evolving field of public relations within esports, discussing challenges and best practices. They highlight effective communication and crisis management strategies that are essential for navigating the complex PR landscape. Chapter 4.10 by Büßecker, Lenke, Ruhland, Vitale, and Scholz investigates unique HR management practices in esports, from talent acquisition to organizational culture. It emphasizes the need for tailored HR approaches to foster engagement and adapt to the industry’s distinctive demands.

Section 5 – Esports Media and Communication

Section 5 of the handbook delves into the pivotal realm of media and communication within esports, illustrating how digital athleticism is conveyed to audiences worldwide. This segment combines insights from seasoned practitioners and scholars, providing a thorough exploration of esports journalism, production, streaming, spectatorship, and fandom.

Chapter 5.2 by Wolf and Cote traces the evolution of esports journalism, detailing its transition from niche forums to mainstream coverage. The authors examine the challenges faced by traditional media, such as ESPN and Yahoo, in grasping the esports narrative, while also highlighting the rise of content creators as an alternative source of news and insights.

Knutson and Liebig discuss the intricate processes behind esports broadcasts, focusing on the livestreaming ecosystem. They outline the various roles involved in production and draw comparisons with traditional sports broadcasting, emphasizing the unique elements of digital content creation, audience engagement, and the technologies that drive profitability.

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Smethers provides a deep dive into streaming platforms like Twitch and YouTube, along with traditional TV networks. Smethers explores monetization strategies, rights management, and the engagement dynamics unique to each platform, shedding light on the financial structures that support esports broadcasting.

Välisalo, Brock, and Law examine the evolution of esports audiences, from casual gatherings to structured events. They analyse demographics, motivations, and engagement practices, emphasizing the importance of real-time interaction and data insights in enhancing the viewer experience for both in-person and online audiences.

Jarrett explores the profound influence of fandom on the esports ecosystem, highlighting the symbiotic relationship between the industry and its fans. He discusses the origins of esports genres from fan adaptations and introduces theoretical frameworks from cultural studies to analyse fan identities, creativity, and the dynamic interactions that define esports fandom.

Section 6 – Esports Education

Section 6 of the handbook explores the integration of esports into educational settings, addressing both instructional and competitive dimensions. As a relatively new phenomenon, this section presents cutting-edge insights into how esports can motivate learning, improve student retention, develop digital literacy skills, and enhance essential life skills such as communication and teamwork.

Chapter 6.2 by Jenny, Gawrysiak, O’Hagan, and Besombes provides a global perspective on esports education at both secondary and higher education levels. The authors clarify a common misconception that esports education solely focuses on gaming skills, emphasizing instead the importance of acquiring knowledge relevant to various esports and gaming industry careers, such as management and media. They present a detailed inventory of academic programs, noting that most focus on preparing students for business-related roles in esports. The authors outline essential characteristics of effective programs, including qualified faculty and industry connections, while acknowledging existing scepticism about esports education’s sustainability.

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Foxman, Jenny, Cote, King, and Becka discuss the environment and challenges faced by collegiate esports teams, highlighting both student-driven clubs and institution-supported varsity programs. Key issues include diversity, equity, and inclusion, as well as the lack of standardization across programs. The authors provide practical advice for establishing a collegiate esports program, along with insights from interviews that capture different regional perspectives.

Harvey offers a practical guide for developing competitive esports programs in primary and secondary education. The chapter emphasizes how esports can foster digital literacy and provide a low-risk environment for students to engage with technology while having fun. As students advance, competitions become more structured, and considerations such as staffing, resources, and game selection become crucial. Harvey advocates for a balanced approach that combines education, sport, and gaming, empowering students through their participation in esports.

Section 7 – Critical Concerns in Esports

Section 7 of the handbook tackles the complex challenges and pressing issues within the esports ecosystem, shedding light on eight key areas that demand further research and attention from both participants and organizations. This section provides a comprehensive overview of the critical concerns that shape the future of esports, including governance, ethics, inclusion, and environmental sustainability.

Chapter 7.2 by Abanazir and Shinohara addresses the rapid growth of esports outpacing its regulatory frameworks. The authors highlight the intricate relationship between game developers and third-party organizers, noting the lack of established governing bodies and the resulting fluid legal environment. They suggest that supranational entities like the EU could play a pivotal role in establishing coherent guidelines for esports governance.

Jenny, Schelfhout, and Besombes explore the potential inclusion of esports in the Olympic Games, outlining the challenges and opportunities involved. The authors stress the fragmented nature of the esports landscape, which lacks a legitimate international governing body, a significant hurdle for integration into the Olympic framework. However, they remain hopeful about the possibility of esports participating in the 2028 Games in Los Angeles.

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Brock and Johnson investigate the role of gambling in esports, particularly focusing on contentious practices like loot boxes and skin betting. These forms of gambling raise ethical concerns and have led to public scandals and regulatory scrutiny. They emphasize that new technologies complicate the gambling ecosystem, introducing both opportunities and challenges.

Partin discusses the ethical dilemmas surrounding cheating in esports, arguing that it undermines the integrity of competition. The chapter examines the socio-technical factors that contribute to cheating, suggesting that players’ social and economic circumstances can influence their decisions.

Chapter 7.6 by Frommel and Mandryk delves into the pervasive issue of toxicity within esports communities. The authors highlight the ambiguity of the term and the challenges it presents in creating effective enforcement mechanisms. They discuss efforts by organizations to categorize toxic behaviours and explore the role of AI moderation in promoting safer online environments.

Friman, Ruotsalainen, and Ståhl tackle the cultural barriers that alienate women and minorities in esports, challenging the stereotype of the “esports athlete” as predominantly white and male. They advocate for initiatives that promote diversity and equity, highlighting organizations working to support underrepresented players.

Chapter 7.8 by Hassan, Baltzar, and Kämäräinen examines the barriers faced by gamers with disabilities and the need for accommodations. The authors argue for a more nuanced understanding of disability that considers intersecting factors such as socio-economic status and race, and they draw parallels to the Paralympics as a potential model for inclusivity.

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Hiltscher and Möglich situate esports within broader environmental challenges, advocating for corporate social responsibility (CSR) to drive sustainability in the industry. They encourage esports organizations to invest in renewable energy and align with the United Nations’ Sustainable Development Goals (SDGs) to reduce their carbon footprint.

Section 8 – Global Esports Cultures

Section 8 of the Routledge Handbook of Esports offers a fascinating exploration of the diverse esports ecosystems around the world. While esports is often viewed through the lens of its origins in East Asia and North America, this section emphasizes the unique cultural, social, and economic factors shaping esports in various global regions. Each chapter provides critical insights into how esports is developing and operating differently across the globe, highlighting both commonalities and distinct differences.

Chapter 8.2 by El Borno and Mokhtar traces the evolution of esports in the MENA region, from grassroots tournaments in cyber cafes to its current professional landscape. The authors discuss significant challenges faced, such as infrastructure and investment, while also showcasing success stories like the Intel Arabian Cup, illustrating the region’s potential for growth.

Focusing on East Asia as the heart of the esports industry, Jin and Kim expand the conversation to Southeast and South Asia. The authors emphasize regional nuances, fan culture, and emerging esports markets, offering a holistic view of Asia’s complex esports landscape beyond just the established powers like China and South Korea.

Koskimaa examines the dual trajectory of European esports: its integration into broader digital entertainment and the sportification of competitive gaming. The chapter highlights regional variations, popular titles, and the impact of local fandoms, providing a comprehensive picture of Europe’s diverse esports culture.

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Micallef and Formosa discuss the mixed history of esports in Oceania, particularly in Australia and New Zealand, noting both advancements and setbacks, such as the cancellation of the Oceanic Pro League. The authors identify unique challenges, like geographic barriers and market size, while emphasizing the growth of university esports programs as a bright spot.

Chapter 8.6 by Scholl and Stout offers a critical analysis of the North American esports scene, detailing the influential role of organizations like Major League Gaming. It explores the intricate relationships among game publishers, streaming platforms, and traditional sports leagues, highlighting the interconnectedness of esports cultures in the U.S. and Canada.

Focusing on Brazil, Argentina, Peru, and Chile, Macedo, Kurtz, and Becka discuss the growth and diversity of esports in South America. They address challenges such as governance and gender equity while identifying trends that could shape the future of esports in the region.

Overall, this section effectively captures the rich tapestry of global esports cultures, emphasizing that while esports is a worldwide phenomenon, its expression is deeply influenced by local contexts. The inclusion of tables summarizing key leagues, publishers, and games further enhances the readers’ understanding of each region’s esports landscape.

Section 9 – Esports Future Directions

Section 9 delves into the uncertain future of esports, acknowledging the inherent unpredictability of the industry. Jenny, Brock, Scholz, Cote and Besombes provide a thought-provoking analysis of potential trends and sustainability challenges facing esports, encouraging readers to engage in discussions about its direction.

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The chapter begins by reflecting on recent developments, such as the dissolution of the Overwatch League and changes in collegiate esports structures. These events exemplify the volatility within the esports ecosystem and the difficulty of making long-term predictions. By examining past predictions, the authors provide a foundation for understanding how external factors, such as the COVID-19 pandemic, can drastically alter the trajectory of esports. The authors emphasize the need for sustainable practices across economic, social, and environmental dimensions. They argue that without addressing these sustainability challenges, the future of esports remains precarious, echoing concerns about overreliance on sponsorship and the need for diversified revenue streams. Predictions regarding future technological advancements in esports venues, streaming, and training highlight the importance of adapting to evolving consumer preferences and market demands.

Section 10 – Key Terms Definitions

Section 10 offers essential definitions of key terms relevant to the esports field, providing a valuable resource for both newcomers and seasoned professionals. This section enhances the handbook’s accessibility and understanding, ensuring that readers are equipped with a solid foundation of terminology as they engage with the broader discussions presented in the previous sections.

Conclusion

The Routledge Handbook of Esports provides a comprehensive examination of the esports industry, from its diverse global cultures to the challenges and uncertainties it faces. The insights and analyses presented are essential for understanding the current state and future possibilities of esports, making it a vital resource for anyone interested in this rapidly evolving field.

While the handbook touches on esports governance and law in Chapter 7.2, a more comprehensive examination of esports law could be beneficial. For example, adeeper dive into how intellectual property laws affect game developers, players, and tournament organisers, contractual agreements, labour law considerations, legal implications of streaming and content creation, and dispute resolution mechanisms would provide a more thorough analysis of the legal challenges and frameworks within the esports industry.

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Author

  • Book Review: The Routledge Handbook of Esports

    Despoina, a pivotal member of Esports Legal News, seamlessly blends her fervour for Intellectual Property and Internet law with a specialised focus on the vibrant Video Game industry. In her current role as the Programme Element Leader for Pre-Masters and Lecturer at Brunel University London Pathway College, she navigates the realms of academia and legal practice, with a particular emphasis on the digital domain. Despoina’s commitment to advancing the legal understanding of the video game industry is evident in her Ph.D thesis, titled “The Interpretation of Copyright Protection in Video Game Streaming in Europe” which delved into the intricate relationship between copyright protection and the emerging phenomenon of video game streaming in the European context. Her dedication to this field ensures that she remains at the forefront of legal developments. With a Master of Laws (LLM) degree in International Commercial Law from Brunel University London, Despoina has solidified her expertise in the legal facets of the global business environment, providing a sturdy foundation to navigate the legal challenges within the esports and video game industry. At Esports Legal News, Despoina not only brings her academic rigor and legal expertise but also plays a crucial role in the coordination of a major ELN project, which, while still confidential, promises to be a significant contribution to the esports industry. She ensures that the intersection of Intellectual Property, Internet law, and the video game industry is navigated with precision, depth, and foresight, contributing to the ethical and legal progression of the esports industry. View all posts

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CMS Advises on Inaugural Esports World Cup in Riyadh

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The international full service law firm CMS has provided comprehensive legal counsel to the Esports World Cup Foundation in organizing the first-ever Esports World Cup (EWC), set to take place in Riyadh, Saudi Arabia, over eight weeks from July to August 2024.

The Esports World Cup is poised to make history, with over 1,500 players from more than 60 countries competing in 21 of the world’s most popular games for a share of a record-breaking USD 60 million prize pool.

“This is a monumental event in the history of esports,”

commented Ralf Reichert, CEO of the Esports World Cup Foundation.

“We are witnessing the convergence of gaming and sports as universal languages, uniting the global community through competition, advancing the esports industry, and fostering growth across the entire network.”

A global CMS team, led by Dr. Pietro Graf Fringuelli and Samuel Oustayiannis, consisting of over 30 lawyers from Germany, the UK, and Saudi Arabia, provided legal advice on all aspects of the EWC. This included team agreements, tournament rules, sponsorship contracts, media rights distribution, and partnerships with game publishers.

Dr. Pietro Graf Fringuelli, Partner at CMS Germany and Co-Head of the international CMS Technology, Media & Communications Group, stated,

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“The esports industry is growing at an astonishing pace, drawing record numbers of viewers worldwide. The EWC will transform the entire esports landscape and contribute to developing a sustainable ecosystem.”

The Esports World Cup, supported by major sponsors like Sony, TikTok, Amazon, Adidas, Pepsi, and MasterCard, is an annual tournament series featuring over 450 teams globally. The event is accessible to both professional esports players and gaming enthusiasts, with broadcasts on television and streams across various digital platforms. Featured games include League of Legends, Call of Duty: Warzone, Counter-Strike 2, EA Sports FC 24, and Fortnite.

CMS Partner Sam Oustayiannis, leading the UK team on media rights and partnerships, added,

“The Esports World Cup is a unique event attracting significant interest from competitors, sponsors, and the media. We’ve assembled a collaborative team across multiple offices to cover all legal aspects, ensuring a successful and enjoyable event. We eagerly anticipate the future of the Esports World Cup!”

The EWC continues in Riyadh until August 24, 2024, marking a new chapter in esports with CMS playing a crucial role as the legal advisor to the organizers.

CMS Legal Team Overview for Esports World Cup

CMS Germany

  • Dr. Pietro Graf Fringuelli – Lead Partner, TMC (Technology, Media & Communications)
  • Dr. Sebastian Cording – Partner, TMC
  • Dr. Markus Häuser – Partner, TMC
  • Dr. Patrick Ehinger – Counsel, TMC
  • Dr. Fiona Savary – Counsel, TMC
  • Dr. Felix Glocker – Senior Associate, TMC
  • Georg Schneider – Senior Associate, TMC
  • Lara Grünberg – Associate, TMC
  • Dr. Malte Bruhns – Partner, Corporate/M&A
  • Dr. Henrik Meurer – Associate, Corporate/M&A
  • Dr. Martin Gerecke – Partner, IP (Intellectual Property)
  • Dr. Tobias Nasr – Senior Associate, IP
  • Dr. Robert Budde – Partner, Commercial
  • Phillip Bubinger – Counsel, Commercial
  • Prof. Dr. Björn Gaul – Partner, Labor, Employment & Pensions
  • Victoria Kaule – Counsel, Labor, Employment & Pensions
  • Hanna Hamacher – Senior Associate, Labor, Employment & Pensions
  • Thomas Gerdel – Partner, Tax
  • Dr. Hendrik Arendt – Senior Associate, Tax
  • Christoff Soltau – Partner, Antitrust, Competition & Trade
  • Dr. Denis Schlimpert – Counsel, Antitrust, Competition & Trade

CMS Saudi Arabia

  • Mohammed Aldowish – Partner
  • Wala Alawajy
  • Sara Alsaud
  • Reem Alsmail

CMS United Arab Emirates

  • Ben Gibson – Partner

CMS UK

  • Sam Oustayiannis – Partner
  • Rebekah Hayes – Partner
  • Coralie Barker
  • Georgia Clark
  • Harry Hall
  • Laurel O’Dell
  • Carter Rich
  • Hamish Temporal
  • Daniel West

Author

  • Leonid Shmatenko

    Leonid Shmatenko is part of Eversheds Sutherlands’ data protection and technology law team. He has vast experience in regulatory and general issues in the areas of eSports and Blockchain. He advises eSports associations and clubs on all legal issues, advises and supports crypto startups in all matters from planning, preparation to execution of private and public token offerings (so-called Initial Coin Offerings or ICOs). Furthermore, Leonid Shmatenko specializes in international arbitration and has participated in several arbitration proceedings (SAC, ICC, DIS, UNCITRAL, ICSID, ad hoc) as a party representative and secretary of the tribunal. Leonid Shmatenko studied at the Heinrich Heine University in Düsseldorf and is currently pursuing a PhD in international law. After his successful first state examination (2011), he completed his legal clerkship, inter alia, at the German Embassy in Lima and within international law firms in Düsseldorf and Paris. He passed the second state examination in 2015. He is an external lecturer at the National Law University of Ukraine “Yaroslav Mudryi”, where he teaches International Investment Law. He is admitted to the Bar in Switzerland and Germany. Before joining Eversheds Sutherland, Leonid Shmatenko worked as an attorney at leading law firms in Geneva, Munich and Paris. View all posts

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