The lawsuit shows the farmers’ dissecting Hendrick racing
Under the deal, farmer insurance has paid about $660,000 for Hendrick Motorsports in the past six seasons, with Farmers being the main sponsor of Kasey Kahne.
The insurance company is the main sponsor of Kahne’s 22 events in 2012, with a total of $13.5 million, up from $14.4 million in 2013 and $16.348 million in 2014. Over the next three years, a total of 12 games were lost, $7.6 million in 2015, $7.8 million in 2016 and $8 million in 2017.
The company announced last year that it would not renew the contract, and Kahne was told in August that he would not return to the team next season.
Sponsorship contracts are part of a lawsuit by sports marketing consultants on Hendrick Motorsports’s controversial claims that the exchanges owe commissions.
In the period of the first contract between 2002 and 2010, when the farmer’s insurance was the main sponsor, there was a performance clause and bonus structure.
Each match will receive $450,000 to $550,000, the first five $250,000 and the top 10 $100,000. The rest of the $150,000 team is worth $75,000. Those bonuses hit $1.5 million in 2012 and $2 million in 2014, while Kahne’s performance led Hendrick to that number.
A champion can win the team $1,157,895, while the top five is worth $578,947 (Kahne ranked fourth in 2012). Chase’s position is worth $289,474 (Kahne entered the playoffs in 2013 and 2014).
If Mr Strauss-kahn in 2012 or 2012 16th or worse, and there is no top ten top 10 and top 10 in the top five, so the basic contribution to farmers in 2014 will receive a $1 million discount.
Also during the first contract, the farmer’s insurance company received a 9 percent royalty on all licensed products.
From 2015 to 2017, the number of games sponsored by farmers decreased, but no performance terms or royalties were paid.
In other details of sponsorship contracts and litigation:
* Kahne has had to start from 2012-2014 to 2015-2017 for a total of 16 hours per year. He must have a 10-minute reception at each weekend’s game, where farmers’ insurance is the main sponsor and meeting.
* kahn’s production time is three eight hours per year. The team’s boss, Rick Hendrick, produces four hours a year.
* each contract contains moral terms. In the 2015-2017 in the contract, farmers can immediately terminate deal “if drivers were judged to have a felony, or substantial irresponsible behavior, the sponsors the behavior of public prejudice, convicted of driving under the influence, was arrested, charged or prosecuted drunk driving, was arrested, charged or prosecute any involving drugs, controlled substances, sexual misconduct or illegal guns or weapons with or convicted of crimes.
* farmers won “hard card” six year pass, let its personnel to participate in the competition, and won four popular garage pass, single event during the permit holder in the car – every major event in reservoir area into the car.
* farmers will get a set of racing cars, helmets and a set of gloves during the season.
* the original $438.8 million, a three-year deal brought in $3.38 million in commissions to brokers.