This agreement made and entered into on [date], between [name], of lawful age, hereinafter referred to as “Sponsor”, and [name], of lawful age, both residents of the State of [state], hereinafter referred to as “Player”,
1. Primary Term. Player, a professional golfer, desires to play in golf tournaments sponsored by the Professional Golfers Association or other associations and participate in all other activities of a professional golfer, and Sponsor desires to advance funds to Player for a primary term of one year from [date].
2. Renewal of Term. Player grants to Sponsor the exclusive right, option and privilege of renewing this one year contract for an additional two one-year periods. This option is to be exercised by Sponsor by notifying Player in writing that he desires to exercise the option to continue the arrangement between them, which terms and provisions of the new agreement as each option is exercised shall be the same as are provided in this contract.
3. Advances by Sponsor. Sponsor binds and obligates himself to advance to Player the sum of $[amount] per year, payable in semimonthly installments of $[amount], commencing on [date], the remaining $[amount] to be held in reserve for any emergency which may require the use thereof, and if said $[amount] is not so used, then same shall be paid to Player prior to the termination of the primary term of this agreement. The aforesaid semi-monthly advances shall be deposited in the [name of bank] in the name of Player, specifically, or any other bank designated in writing to Sponsor by Player.
4. General Duties of Player. Player agrees to and binds and obligates himself to devote all of his time and energy to the business of performing as a professional golfer, will comply with all rules and regulations of the Professional Golfers Association or any other association conducting tournaments in which he plays, will pay all expenses, living and otherwise, in connection with performing as a professional golfer pursuant to the terms and conditions of this agreement, will carry automobile liability insurance on the automobile driven by him, with Sponsor also named as an insured, with policy limits of $[amount] and $[amount] for damages to persons and $[amount] liability insurance with respect to damages to property and will further carry a general liability insurance policy with the same limits as above set forth for damages to persons, naming himself and Sponsor as the insureds and shall pay for the premiums of said policies.
5. Participation in Tournaments. Player shall attempt to qualify for the Professional Golfers Association tournament to be held in [location], known as the [name] Open, and agrees to attempt to qualify for the number of and tournaments selected by Player but not less than fifteen tournaments during the primary term hereof, or during any extension hereof, if any, and to play in those tournaments for which he qualified. Once Player is qualified by virtue of winning a tournament, or otherwise, without the necessity of having to play rounds of golf for the purpose of qualification, he agrees to and shall play in every tournament thereafter during the primary term of this agreement, unless by mutual oral agreement of Sponsor and Player certain tournaments may be passed.
6. Division of Earnings. All earnings as a golfer by Player, such as winnings in tournament play, endorsements of products, matching by sporting goods companies of winnings in tournament play, exhibition matches and any other income derived from, related to or connected with his playing golf, or being a professional golfer, shall be delivered to Sponsor until Sponsor has recovered his $[amount] advance per year he is obligated for and thereafter, all of such earnings shall be divided between Sponsor and Player in the proportions of [number]% to Sponsor and [number]% to Player. The advances made by Sponsor shall in no event be considered a loan to Player and Player shall not be obligated to repay Sponsor for any funds advanced except out of earnings as hereinabove set forth, if any.
It is expressly understood that if at the end of the first year, Sponsor has not recovered his advances and he exercises his option for the first one year period, then he will continue to receive all earnings of Player until he has made full recovery of funds advanced during the first year hereof and during the second year before Player shares in said earnings on the basis set forth above. If at the end of the first and second year hereof, Sponsor has still not recovered his advances and he exercises his option for the second year, then he will continue to receive all earnings of Player until he has made full recovery of the funds advanced during the first, second and third year before Player shares in earnings on the basis set forth above.
7. Disability. In the event Player is permanently disabled from being a professional golfer during the term of this agreement due to physical or mental disability, then and in that event this agreement shall terminate and whatever funds have not been advanced during the year will not have to be advanced subsequent to such disability.
8. Not a Partnership. It is further expressly understood and agreed that this agreement does not constitute or create a partnership between Sponsor and Player, nor is same to be construed as a joint venture, but is a mere Sponsor-Player Agreement.
IN WITNESS WHEREOF, the parties have executed this Agreement on the dates shown below.