As stated in Article I of this
Constitution, the purpose of the League is to increase participation in amateur
baseball by making membership available to all who qualify under the rules of
the League. If all new memberships were limited to franchises, co-franchises
and limited franchises, participation in the League would be unduly limited,
particularly in the younger age divisions, where members with large school
districts tend to have more than enough players to populate their teams. Since
most of the largest school districts in the League area are already franchised
in the League as either primary or secondary core areas, it would be an
impediment to League participation not to provide some mechanism to allow
multiple owner participation in certain areas. To encourage maximum League
participation in such areas the League has created a special fourth class of
membership called the sub-franchise.
Under a sub-franchise agreement, an
existing franchise member voluntarily grants an applicant team and restricted
player rights in his primary core area and possibly other portions of his
To qualify for a sub-franchise membership,
an applicant must:
negotiate a Shared Participation Agreement (SPA) with the existing franchise
(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
Existing members are under no obligation to
enter into such agreements. Any special restrictions imposed on the
sub-franchisee are stipulated in the SPA. The League may assist in the
negotiation of the SPA.
General Participation Rights
RULE 61 A
sub-franchise is granted the right to participate in the League at all age
divisions and its rights to restricted players in the primary core area of the
franchise area shall be equal to those of the host franchise.
The sub-franchise agreement may extend to
other, non-discretionary franchise area as well. Limitations may be placed on
the maximum allowable number of teams participating in each age division. All
such extensions or restrictions shall be a matter of negotiation between the
host franchise and its sub-franchise, and shall be stipulated in the SPA.
Once granted, a sub-franchise can not be arbitrarily terminated by its host
To terminate a sub-franchise arrangement
the sub-franchisee would have to be found to be in violation of the SPA, or
other league rules, or fail to register teams in the League’s younger age
divisions, 15U and below. Should the sub-franchise membership be terminated for
any reason, all teams owned by the sub-franchise, already started in the
League, shall be entitled to continue in the League from one year to the next,
provided they remain in good standing.
14.3 Franchise Area Rights
The franchise area is owned exclusively by
the franchise member. The sub-franchise has no territorial ownership rights.
14.4 General Player Rights
See Article XVI for a comprehensive discussion of member’s rights to
The first year roster of any sub-franchise applicant shall be limited to
players that did not participate in the league in the previous year.
A non-discretionary release shall be sufficient to allow any restricted free agent to be added to the applicant’s official League roster i.e., for this purpose, the sub-franchise shall be viewed no differently than than its parent franchise.
Roster additions in subsequent years shall be regulated in the same manner as
any franchise member.
Sub-franchises are entitled to add to their
rosters any unrestricted free agents as well as restricted players from within
the part of the host franchise area that has been sub-franchised. The latter
would include the primary core area of the franchise area as well as any other
area specifically granted by the host franchise member in the SPA establishing
RULE 64 The roster of
a sub-franchise member is protected within the League from one year to the
Player Release Rights
By rule 38, sub-franchises have no power to
grant releases to protected or restricted players. The host franchise shall
have the exclusive power to release its own protected players as well as those
of the sub-franchise, and all restricted players within the franchise area.