ARTICLE XII
CO-FRANCHISE MEMBERS
Two or more franchise members or a
franchise member and a franchise applicant agree to share equally their entire
core area, they become co-franchises.
Non-core area may be owned in common under
a co-franchise arrangement but this is not different from the case of
franchises with shared non-core area, and would be treated the same as
prescribed for franchises (see Section 11.6). Co-franchises with the same
non-core area are called full co-franchises and co-franchises with different,
though partially overlapping non-core areas are called partial co-franchises.
All co-franchise arrangements are permanent and are usually entered into
voluntarily by two existing franchises or an existing franchise and a
co-franchise applicant but, on rare occasions, they also can be imposed through
inter-league agreements. The latter shall be limited to instances where both
franchises were previously established in separate leagues. ENYTB has two
such agreements as noted below in sections 12.6 and 12.7.
NOTE: Two franchises that agree to share
their secondary core area only, remain separate franchises and the secondary
area is treated the same as shared non-core area.
Section
12.1 Qualifications
Except for the separate core area
requirement, applicants for a co-franchise must meet the same qualifications as
for a franchise (see Section 11.1). The co-franchise applicant seeks to share
the entire core area (primary and secondary) of an existing franchise member.
Section
12.2 General Participation Rights
The participation rights of the
co-franchise member are the same as the franchise member (see Section 11.5)
except these rights are shared equally between or among co-franchises. For
example, co-franchises have an equal right to participate in all age divisions
of the League and to register an unlimited number of teams in each.
RULE 50
Should either co-franchise partner become inactive, the active partner shall
have temporary exclusive rights to his core area during the period of
inactivity.
RULE 51
Should either co-franchise member abandon its membership, the active partner
would be reclassified as a franchise member.
All teams owned by the inactive or
abandoned co-franchise, 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.
Section
12.3 Franchise Area Rights
The core franchise area is owned jointly
and equally by all co-franchise partners. The same would be true of any
overlapping non-core area. Non-overlapping non-core area is owned by that
partner alone.
RULE 52
All rules applicable to the franchise areas of franchise members are also applicable
to co-franchises e.g., permanency, mandatory surrender, inactivation,
restoration and abandonment.
Section
12.4 General Player Rights
See Article XVI for a comprehensive
discussion of member’s rights to players.
Co-franchises have the same general rights
as franchise members except that many of these rights are shared equally
between or among co-franchisees within the overlapping portion of their
franchise areas. In particular, all restricted players residing in the
overlapping portion of the franchise area shall have the option of playing for
any of the co-franchisees.
RULE 53
Co-franchises shall share rights to all restricted players within any
overlapping franchise area no differently than if the territory were shared as
non-core area between or among franchises (See Rules 35, 36 and 37). Any
restricted player residing in an area shared by two or more co-franchises may
play for the co-franchise of his choice. Once that choice is first exercised,
that player’s rights shall reside exclusively with that co-franchise.
RULE 54 A
co-franchise member’s roster is protected within the League from one year to
the next.
Section
12.5 Player Release Rights
RULE 55
Each co-franchise shall have the exclusive power to grant releases to its own
protected players. Included in Rule 39.
As provided in Section 12.4, co-franchise
members share the rights to restricted players in their franchise area.
RULE 56
Any restricted player residing in an area shared by two or more co-franchises
shall need to obtain a release from each of the various co-franchises sharing
player rights in his home area in order to play for a member outside that area.
By Rule 38, sub-franchise owners within a
co-franchise area have no power to grant releases.
Section
12.6 2002 Agreement Re: WASAREN
Participation
Early in 2002, the League was granted the
exclusive local rights to establish an AABC sanctioned Pee Wee Reese Division
(12U, later extended to 11U in 2003). The WASAREN League, like ENYTB was AABC
sanctioned at the 13U and 14U age divisions at that time. Most of the franchise
area between the two leagues was separate but some portions overlapped. ENYTB
voluntarily established rules to ensure that none of the existing franchises
from the WASAREN League would be excluded from participating in ENYTB’s newly
formed 12U Division.
1.
Any AABC/WASAREN League registered team in the year of this ruling (2002) is
granted the right to participate in the Pee Wee Reese Division of the ENYTB. In
the event such a franchise is not active in Pee Wee Reese in the first year of
this ruling, its right to do so in the future will be preserved for three years
from the date of this ruling (through the start of the 2004 season).
2. Any
territory that was single franchised in the year of this ruling (2002) shall
remain single franchised within the ENYTB’s Pee Wee Reese Division provided the
franchise is or becomes an ENYTB member prior to another franchise being
established.
3.
Sub-franchises shall be mandated in the PWR Division alone, in any territory
that was franchised in both AABC affiliated Leagues in 2002, and the WASAREN
franchise establishes ENYTB teams in the PWR Division alone.
4.
Co-franchises shall be mandated in the PWR Division alone, in any territory
that was franchised in both AABC affiliated Leagues in 2002, and the WASAREN
franchise meets ENYTB’s qualifications for a co-franchise.
5.
During the window of this agreement, all existing franchise members shall
continue to have the right to enter into such discretionary limited franchise
arrangements with new applicants as it wishes e.g., co-franchises,
sub-franchises and limited sub-franchises.
6. No
franchise from the WASAREN League, prior to establishing a franchise or
co-franchise in ENYTB persuant to this agreement, has any standing with ENYTB
to prevent it from granting membership to new applicants in any territory
franchised within the WASAREN League and not the ENYTB. Any new non-WASAREN
members during the window of this agreement would be granted temporary status
until 2004. At that time, they may apply for any membership status that they
would qualify for. If a WASAREN team has established a franchise in ENYTB
during this window period, its membership status would be determined in
conjunction with the WASAREN member. Should it not qualify for a franchise or
co-franchise, and not be granted a sub-franchise, any of its teams already
established within the League shall have the right to continue their League
participation as they age up.
7.
Should a WASAREN member avail itself of the provisions of this agreement and
establish an ENYTB membership and then abandon that membership, it would be
treated in accordance with ENYTB’s usual abandonment rules.
Section 12.7 2004 Agreement Re:
CDABL Participation
Late in 2003, the UNYSABA (the local AABC
Association) notified its members that the CDABL, would no longer be recognized
as an AABC affiliate. In response, the ENYTB voluntarily agreed to grant all of
the 2003 CDABL franchises membership status in the ENYTB, consistent with the
provisions of the 2002 WASAREN Agreement (see Section 12.4) IF they applied
for membership for the 2004 season.