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Naming Rights

Can I buy naming rights for a public park?

It depends on municipal laws. Generally, naming public spaces requires a transparent auction process and city council approval.

What if the sponsor goes bankrupt?

The contract should have an immediate termination clause upon insolvency, allowing the owner to remove signage and seek a new sponsor.

Does naming rights include tickets?

Yes, naming rights deals almost always include a dedicated VIP box and a set allocation of tickets for every event held at the venue.

How to measure the ROI of naming rights?

Contracts often include clauses for measuring media exposure (mentions in press, TV, digital) to justify the sponsorship fee.

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Naming Rights represent a specific and high-budget form of sponsorship where a company buys the right to name a physical facility (stadium, arena, hall) or an event. In Georgia, this practice is becoming increasingly relevant (e.g., "Adjarabet Arena"). This is a long-term marketing investment requiring complex legal regulation. The contract must cover not just changing the signage, but using the name in all official documents, tickets, maps, and media reports. Lawyers ensure that the sponsor's brand is protected while the facility owner receives a stable income.

What Does the Naming Rights Service Cover?

The service covers the full legal cycle of naming:

  • Facility Branding: Technical and legal conditions for placing the name on the stadium facade, interior, tickets, and uniforms.
  • Term and Renewal: Contract duration (usually 5-10 years) and the First Refusal Right upon expiration.
  • Media Integration: Obligation for media outlets and commentators to use the new name instead of the old, historical one.
  • Event Exclusivity: The sponsor's right to hold corporate events at the facility on preferential terms.
  • Rebranding: Procedures in case the sponsor company changes its name during the contract period.

Real-World Situations When You Need This Service

Naming Rights deals often face the following challenges:

  • Power of Historical Name: Fans and media stubbornly use the old stadium name. The lawyer develops a PR and legal strategy to establish the new name.
  • Sponsor Reputation: The company went bankrupt or got involved in a scandal. The facility owner wants to remove the signage immediately. A contract termination mechanism is needed.
  • Infrastructure Failure: The stadium closed for repairs for 6 months. The sponsor demands compensation for lost visibility.
  • International Tournaments: UEFA/FIFA tournaments often prohibit the use of commercial names ("Clean Stadium" rule). The contract must account for this exception.

Georgian Legal Framework

Naming Rights are regulated by the "Civil Code" and the "Law on Advertising". If the facility is municipal or state property, the "Law on State Property" and relevant auction rules additionally apply. The "Law on Architectural Activity" is also important regarding permits for placing signage on facades.

Process: How a Specialist Works

Lawyer involvement implies:

  1. Assessment: Legal audit of the asset's value.
  2. Drafting: Preparing a complex, multi-year contract.
  3. Permits: Obtaining signage permits from the City Hall.

Why Legal.ge?

Legal.ge offers lawyers with experience at the intersection of real estate and intellectual property law. Naming Rights are part of the city landscape and big business. We will help ensure this deal is legally sound and commercially successful.

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Specialists for this service

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