Despite multiple clarifications on payment requirements by League Officials including an official warning in March 2016, HUMA remains unable to meet their contractual obligations with both former and current players. We conclude that HUMA does not meet League standards for a professional organization and as such, they will not be permitted to continue participating in Riot-sanctioned leagues.
After an investigation during the Spring Split, HUMA received a warning in regard to negligence in their duties of ownership. Since March 2016, there have been verified instances of late payments towards their players and HUMA not meeting all of their contractual obligations towards their players.
- Minimum Player Compensation (MPC): Over the course of this year’s Spring and Summer Split HUMA has been chronically late in paying its players the League-mandated Minimum Player Compensation. In the beginning of August League Officials learned that multiple players on the current HUMA roster had not been paid for the duration of the Summer Split, and were forced to intervene to ensure that MPC owed to date will be paid in full for all players.
- Meeting contractual obligations: As part of the Team Participation Agreement, which owners sign with Riot, they are required to fulfill all the submitted payment terms in their contracts with their players. This is to protect players from false promises as well as ensuring a healthy and stable environment within the League. Our investigation revealed that HUMA did not comply with the Team Participation Agreement and were unable to fulfill their obligations financially.
HUMA’s management has repeatedly violated its Team Agreement, and is hereby disallowed from participating in the Challenger Series or any other Riot sanctioned League. In order to minimize disruption, HUMA’s management will be granted a grace period until 11:59pm CEST on October 1st to sell their Challenger Series spot, meaning a finalized transfer agreement must be presented to League Officials and the new owner must pass the standard approval process. This grace period is contingent on HUMA cooperating with League Officials in any requests/communication around payments and/or the transfer process, and is subject to revocation.
Further, HUMA’s owner Behdad Jaafarian is banned from his position and will not be accepted in any official position for any team in a Riot-sanctioned League for the period of 1 year.
2.1 Player Compensation:
Each team must distribute the required Minimum Player Compensation (€2,250 per starting player per split during the 2016 Challenger Series season) to its starting players, in accordance with the terms of the applicable Team Agreement.
Q: Can you help the players get the money they’re owed?
A: We approached HUMA’s management regarding this issue and they are working together with potential new owners of the slot and the players to resolve this amicably. Our highest priority is to ensure all players are getting paid the Minimum Player Compensation for the respective Split. The potential re-entry of HUMA and their management - after the ban has expired - will be partially contingent on them being able to fully resolve this issue in a swift manner, amongst other ownership criteria which will be assessed at the time of application.
Q: Why does HUMA have a whole month to sell their slot?
A: Given the time remaining before the start of the 2017 European Spring Split, we believe it to be in the best interest of the players to provide a generous time window for the sale so HUMA and the new owners have time to resolve the open payment issues.
Q: Why not give the slot to the HUMA players?
A: While we appreciate the work that the HUMA players have put into their team’s success and continued performance in the European Challenger Series, the slot belongs to the HUMA organization. By allowing HUMA to transfer the spot to an established ownership group (who will still need to qualify through our vetting process), we can bring closure in the most efficient and amicable manner.
Q: What happens if HUMA fails to sell their spot by the deadline?
A: We will have follow up steps should a new owner not be found (and deal agreed upon) within the timeframe. Our primary concern is to facilitate a smooth sale process that protects the players as much as possible, and we will be transparent about further steps in the event that a sale is not made.