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ARTICLE XI
FRANCHISE MEMBERS
The franchise membership is the gold standard, conferring to owners the maximum participation, territorial and player rights. Rights enjoyed exclusively by franchise members include: · Franchises have an exclusive right, albeit limited, to all younger aged players residing within their “franchise area” that qualify as restricted players (see Section 16.2 - Restricted Players). · Franchises have territorial or “franchise area” rights. Some territorial rights are permanent and others are non-permanent under certain conditions (see Section 11.3 herein). · Franchises have the right to continue in the league as members during periods of inactivity (see Section 11.8 herein). Section 11.1 Qualifications To qualify as a franchise member, an applicant must; (1) Apply for a franchise area consisting exclusively of OPEN and/or nondiscretionary area, consistent with the definitions in section 11.2 and 11.3. (2) Register at least two different teams in the League for three consecutive years where at least one team is aged 15U or younger. (3) Register teams in the same age division in any two of those three years (replacement participation). Until all these requirements are met, the member is in probationary status but enjoys all franchise rights except for actual franchise ownership. When all requirements are met, the member is granted permanent ownership of a franchise and all the rights thereto. If either condition (2) or (3) is unsatisfied at the end of 3 years, the Executive Board may grant an extension to the applicant’s probationary period. Section 11.2 Definition Of Franchise Area A franchise area is comprised of a “core area” and a “non-core area”. Each of these areas is defined in terms of school district boundaries. (NOTE: ENYTB is open competitive at age 16 and up for non-roster players. All franchise area or territorial based rights to non-roster players ceases in the League at age 16.) The core area of a franchise is comprised of two (2) adjoining school districts, one of which is designated as the primary core area while the other is designated as the secondary core area. Only one of the core area school districts can be class A or higher (unless an exception is granted by the League). The other core area school district can be no higher than class B. Thus, the maximum size of a franchise’s CORE area is one class AA school district and one class B school district. These restrictions are designed to balance competition within the league. The non-core portion of a franchise area is comprised of all school districts that adjoin its core area, provided the adjoining school district is not part of another franchise’s core area. Also, any non-core school district that adjoins the core area (primary or secondary) of two or more franchises, shall be included as part of the non-core area of each franchise that it adjoins. Franchise Area = Core Area + Non-Core Area Where: Core Area = Primary SD + Secondary SD (Must Adjoin the Primary SD) Non-Core Area = Any other adjoining SD not part of another core area. At the very least, a franchise area shall consist of a single school district not currently designated as the primary core area of another full franchise member. Section 11.3 Nondiscretionary/Discretionary Franchise Area As stated in Article I of this Constitution, the purpose of the League is to increase participation in amateur youth baseball by making membership available to all who qualify under the rules of the League. If all new members franchises were limited only to areas without a recognized League franchise, new participation in the League would become quite limited. To encourage League expansion, the League adopted rules to require existing franchises to “surrender” certain portions of their franchise area to new franchises joining the League. Under certain conditions, defined below, franchises are available to new members in any portion of an existing franchise area except its primary core area. Together, these areas are referred to as an existing franchise member’s nondiscretionary franchise area. It is non-discretionary in the sense that the existing member has no choice in giving up such area provided the conditions below are met. Nondiscretionary Franchise Area RULE 23 Any member’s non-core area may be claimed by an applicant as its primary or secondary core area. RULE 24 Any member’s secondary core area may be claimed by an applicant as its primary core area only. A franchise member’s primary core area is referred to as its discretionary area because this area belongs exclusively to him and those exclusive rights can not be taken away except as noted in Section 12.1 - Inter-league co-franchise agreements, which are extremely rare and must be approved by the League membership. It can be shared with other members on a permanent (co-franchise) or temporary (sub-franchise) basis if and only if the existing members permits it. Discretionary Franchise Area RULE 25 Any school district that has been designated as the primary core area of an existing member’s franchise area. A franchise member’s primary core area is permanent and forever exempt from “double franchising” by and/or “surrender” to, new or existing members. Such area is unique and exclusive to each franchise member unless that member consents to sharing it with a new member through the establishment of a co-franchise (see Article XII), sub-franchise(s) (see Article XIV) or limited sub-franchise(s) (see Article XV). The League reserves the right to establish limited sub-franchises without the consent of the franchise member in age divisions where the franchise member is not currently active (see Section 15.1, subsection 2a). A franchise member’s secondary core area is a hybrid of nondiscretionary and discretionary. It is nondiscretionary in that it can be lost to a new member that wants to create a franchise with that area as it primary core. Short of that, however, it is discretionary in that it is unique and exclusive to each franchise member unless that member consents to sharing it with another franchise member or to the establishment of a co-franchise (see Article XII), sub-franchise(s) (see Article XIV) or limited sub-franchise(s) by a new member (see Article XV). FRANCHISE AREA · Primary Core - Discretionary · Secondary Core - Non-Discretionary · Non-Core - Non-Discretionary Section 11.4 Residual Player Rights In Surrendered Areas RULE 26 An existing franchise that is required to surrender all or part of its nondiscretionary franchise area to a new franchise under the league’s mandatory surrender rules (see Section 11.3) shall have equal rights (to those of the new member) to all “restricted” players (defined in section 16.1 and 16.4) residing in the surrendered area during the first League season that the surrender takes effect. RULE 27 Restricted players residing in a surrendered area have the option in that year of playing for either franchise without a release. This is a one time only option and once a player makes a choice to play for either team he is bound from that day forward by the League’s usual release rules. RULE 28 Rules 26 and 27 shall apply equally to restored areas for a reactivated franchise. RULE 29 Surrendered territory is lost forever unless the territory is subsequently abandoned. Ownership of surrendered territory that is later abandoned shall revert back to the succession of currently active franchises that previously surrendered the territory in the order of most current first. If that succession results in no claim, it may be claimed as core area by other League members. If that results in no claim, it may be given as non-core area to all adjoining franchises. Abandoned territory that does not fall into either of these categories becomes an OPEN area within the League. Franchises may come and go, but territory always remains in the League. Section 11.5 General Participation Rights RULE 30 Members with Full Franchises, Co-franchises, Sub-franchises and Limited Franchises have the permanent right to participate in the League, provided the club remains active or, as provided in section 11.8, is inactive. RULE 30A Limited Franchises are limited to participation in age divisions at 16U and above. Limited Franchises may be allowed to register teams in the younger age divisions if and only if they restrict themselves to players not already registered in the league by a full franchise, co-franchise or sub-franchise member. RULE 30B Restricted sub-franchises are restricted to whatever age levels the league grants. RULE 30C Full franchises and co-franchise members are allowed to register an unlimited number of teams in any age division. Limited Franchises have the same right in the open competitive age divisions i.e., age 16U and up. RULE 31 Should any member abandon his membership, all teams owned by the member, once started in the League, shall be entitled to continue in the League from one year to the next, provided they remain in good standing with the League. See section 11.11 for provisions regarding the dispersal of an abandoned franchise area. Section 11.6 General Player Rights See Article XVI for a comprehensive discussion of member’s rights to players. RULE 32 Every franchise member has the exclusive rights to its roster (“protected”) players in their natural age divisions from one year to the next (see Section 16.6), except as provided in Section 16.7. RULE 33 No member shall have any player rights in age divisions it is not active in. A player’s natural age shall be used to determine his league status in all matters related to player rights except as provided in Article XVI. RULE 34 Each full franchise member has a limited right to all “restricted” players residing within any parts its franchise area. See Sections 16.1 thru 16.5. It is not uncommon for the non-core area of one franchise to overlap or be shared with one or more other franchises. Though less common, it also is possible for two franchises to share the same secondary core area by agreement. RULE 35 When a non-core or secondary area is shared by two or more franchise owners, all such owners shall have an equal right to all restricted players residing within the shared portion of their discretionary (defined in 11.3) franchise area. RULE 36 A player residing in the shared portion of discretionary franchise area may play for the franchise of his choice from among those franchise members sharing player rights in his home school district. This is a one time only option and once a player makes a choice to play for either team he is bound from that day forward by the League’s usual release rules. Once any commitment, oral or written, is made by or on behalf of any player residing in a shared area, to play for one or the other of the teams in that area, that team retains his exclusive playing rights throughout that player’s remaining eligibility for League play unless he is either released or sits out of League play for one year (see Section 16.4). The League Player Agent shall settle all disputes in this regard. Signed and dated written evidence (e.g., canceled check) shall be given preference over verbal claims. Verbal statements by a parent or the player that they have changed their mind shall have no standing. Such players shall be considered roster or protected players and require a release to play for a team owned by another member. RULE 37 Any restricted player residing in a shared non-discretionary franchise area, wanting to play for a franchise outside that area, must obtain his release from all franchises sharing player rights in his home area (see Section 16.4). Section 11.7 Player Release Rights RULE 38 The League shall confer to full franchise and co-franchise owners, or their designated representatives, the exclusive power to grant releases to restricted players within their franchise area. Neither the individual teams owned by a franchise member nor any of its established sub-franchise owners or their individual teams shall have the power to grant releases to its restricted or protected players. RULE 39 All club owners, or their designated representatives, except for sub-franchises, shave have the power to release their own roster players. RULE 40 Roster players of sub-franchises may be released by their host franchise owner only. Section 11.8 Franchise Inactivation RULE 41 Any franchise member, upon determining it will not be registering a team, 15U or younger, for league play in the current season, may request that its franchise be continued and held inactive for an annual fee of $50. Such requests must be made no later than the April meeting of the new season. Failure to make such a request in a timely manner may result in the Executive Board declaring the franchise abandoned and reassigning the franchise area to new or existing members. RULE 42 Franchises may remain inactive for an indefinite time period but requests to remain inactive must be renewed each year for a fee of $50 and are subject to approval by the Executive Board. RULE 43 Throughout the period of franchise inactivity, the discretionary portion of the member’s franchise area shall be preserved. RULE 44 An inactive franchise shall have no player rights during its period of inactivity, other than the rights to any players it may roster on its older age division teams. Section 11.9 Rights To Inactive Franchise Area RULE 45 Rights to inactive franchise area shall temporarily revert back to the last currently active franchise to have held that territory as part of its core area for the duration of the period of inactivity. If the franchise first in succession does not want the area back (prefers to keep its current core area as is) it reverts back to the next owner of record. This process continues until the area is reclaimed or all qualified franchise members are exhausted. If the territory goes unclaimed as a temporary core area it shall become the temporary non-core area of all adjoining League members. If the unclaimed territory does not adjoin a core area within the league, it shall become a temporary open area within the League. RULE 46 To the extent any portion of an inactive franchise area is non-discretionary, as defined in section 11.3, this territory shall be eligible to be claimed as a core area or non-core area by new or existing members in accordance with the League’s mandatory surrender rules, as provided in section 11.3. Section 11.10 Reactivation Of Franchise Area Inactive franchises may be reactivated in the current season by a franchise representative simply informing the League of the franchise’s intention to reactivate no later than the April meeting.RULE 47 All territories held by the inactive franchise at the time of its inactivation shall be restored, except as provided in section 11.3 regarding non-discretionary area reassigned as core area to new or existing franchises during the period of inactivity. RULE 48 Similar to when non-discretionary areas are surrendered to new franchises (see Section 11.4), any restricted players residing in the restored areas shall have the option of playing for either franchise without a release. This is a one-time only option available in the first year that the inactive franchise is reactivated, and once a player makes a choice he is bound from that day forward by the usual league release rules. Same as Rule 28. The above rules for restoring franchise area to reactivated franchises applies equally and individually at all age levels. Section 11.11 Franchise Abandonment RULE 49 Failure to either a registration a team 15U or younger or pay a required inactivation fee for the current season by the League’s April meeting, will result in a de-facto determination of franchise abandonment by the Executive Board. Abandoned franchises lose claim to any and all rights to their previous franchise area but are eligible to reapply for new membership provided no outstanding indebtedness is owed to the League. Any such indebtedness must be paid in full prior to the League’s consideration of an applicant for re-entry. Abandoned territories are available to existing and new members in accordance with the rules of this Constitution and By-Laws for any open area except that a succession procedure similar to that provided in Section 11.9 shall be applied first.
