Leaked draft of ESL's CSGO LANXESS agreement and "exclusivity" clause; new version soon

Jan 21 2020 3 min read
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Leaked draft of ESL's CSGO LANXESS agreement still holds "exclusivity" clause; new version soon ⚡⚡⚡ Esports and gaming news, analytics, reviews on WePlay! The latest news on WePlay!

A leaked draft of ESL's CSGO LANXESS agreement shows the "exclusivity" clause that prompted the "Keeping It Competitive" statement released by Valve. A report from Dexerto reveals that an exclusivity clause still remains in the ESL Pro League agreement. ESL has said they have a new version in the works and have meetings soon to discuss it with potential members.

The main piece of this agreement that caused Valve to issue the "Keep It Competitive" statement is:

“Beginning January 1st 2020 all member teams of the Pro League shall not play in other Counter-Strike leagues, this means non Valve sponsored competitions where the first day of competition (excluding qualifiers) and the grand final day are more than fourteen (14) days apart, besides Pro League. All member teams of Pro League shall limit their tournament participation days, meaning active competition days of a tournament they participate in regardless of if they play on that day or not, to not more than 60 days per calendar year… During the League Season (per jointly aligned schedule), teams shall not play in any other tournaments/leagues.”

Dexerto's report also highlights important sections of this agreement here:

  • The voting panel for league decisions will comprise of 17 members, 16 teams and ESL, with ESL having veto rights on matters “materially impacting finances.”
  • A candidate for league commissioner will be scouted by ESL and these members and then voted upon
  • ESL have a veto right when it comes to “exclusivity terms,” agreeing participation in other leagues and making changes to the league to ensure co-operation from Valve
  • Teams are to share 21.25% of gross revenue and 60% of profits in the first year. The share is selected by a “distribution matrix” so not all teams will receive an equal share.
  • Receiving this revenue share is contingent on member teams fielding a roster of three players deemed to be in the top 500 of the ESL world ranking
  • Failure to field such a team will see the team lose 50% of its share, to be distributed evenly among other member teams
  • ESL will assign invites to circuit events based on tour rankings. Teams are allowed to decline a maximum of three events per sixteen but no more than two in a calendar year.
  • Any member team that declines more than this for any reason will forfeit its entire revenue share for the year
  • ESL will also operate in the capacity of an agency for the member teams
  • Agency revenue, such as sales of collective sponsorships, will see 85% of it shared among member teams with the agency part of the ESL business retaining 15%

The leaked document also named teams that were categorized by "suggested" teams and "application" teams. Suggested teams are ones that the league are very interested in while application teams are ones that could "apply" to join and be assessed by ESL.

Suggested teams:

  • FaZe
  • Na’Vi
  • fnatic
  • NiP
  • Liquid
  • NRG
  • Vitality
  • mousesports
  • G2
  • compLexity
  • MiBR
  • ENCE
  • Astralis
  • Cloud9

Application teams:

  • Envy
  • VP
  • BiG
  • North
  • Renegades
  • FURIA
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