Contract between Tfue and FaZe Clan Reportedly Released

Nicholas Barth,

May 23, 2019 5:54 PM

The infamous contract between Tfue and FaZe Clan has reportedly been leaked before being officially released by FaZe Clan.

This past week has seen two of the biggest names in the esports world engaged in a legal battle with High-profile Twitch streamer and YouTuber Turner "Tfue" Tenney having sued his organization of FaZe Clan for an "oppressive" contract where the organization had a legal right to take 80% of the earnings Tfue earned from brand deals. However, FaZe Clan had stated that it had never acted upon this contractual clause and had only collected $60,000 from sponsorship deals that he had brought to the star Fortnite Battle Royale player during the time that Tfue has been a member of the organization. 

This did not stop Tfue from uploading a video on Wednesday, May 22nd to his YouTube channel where he asked FaZe Clan to release his contract to the public and allow everyone to see what it actually entailed. While FaZe Clan Owner Ricky "Banks" Banks did confirm that the organization would indeed be releasing the contract to the public, a report by TheBlast reportedly released the contract between the two popular esports parties on Thursday, May 23rd. 

FaZe Tfue Contract Released

According to the report by TheBlast, the document that was obtained by a non-member of FaZe Clan and released confirmed the 80/20 revenue split that was at the center of the original lawsuit by Tfue against FaZe Clan.

FaZe Tfue Contract Released
(Source: TheBlast)

While this revenue split had been confirmed by the organization have been what the original document, Banks had stated that the organization had attempted on multiple occasions to restructure the deal with Tfue. However, the Fortnite streamer reportedly refused to negotiate with the organization on any of these restructuring deals for his contract. 

This released document of Tfue also states that the organization can collect a 50% share of the revenue that the player secures from his Epic Games creator code or in-game sticker/merchandise. Brand deals brought in by Tfue and appearances he makes also see a 50/50 split between himself and FaZe Clan. 

The released contract between Tfue and FaZe Clan also includes a matching right where the organization was granted the ability to match any offer made to the content creator by another organization and that he must share the identity of the organizations who make an offer with FaZe Clan. 

There is also a very off clause where the releases contract states that Tfue would not be allowed to play video games publicly for a period of six months following his termination from FaZe Clan. This means that if the organization decided to let go of the streamer he would not be able to live stream, make YouTube videos or compete in tournaments for half a year due to his contract. 

Tfue leaked contract

Sources told TheBlast that they believe the whole contract is invalid for numerous reasons that include FaZe Clan operating as a talent agency when it is not licensed to do so and how clauses in the now released contract violate anti-competition laws for the workplace. However, the main issue with the contract looks to be how FaZe Clan is currently entitled to collect millions of dollars of revenue from Tfue at any time with the released contract currently still in effect. 

(cover photo courtesy of FaZe Banks)



Discussion

You need to be logged in to post a comment.

Join us