Union head Tony Clark, MLBPA hire separate lawyers in face of federal probe
In the face of a federal investigation, Tony Clark and the union he runs, the Major League Baseball Players Association, have hired separate lawyers.
The Eastern District of New York is reviewing whether MLBPA officials used licensing money or equity to improperly enrich themselves, according to people briefed on the investigation who were not authorized to speak publicly. That could put the union and its membership in a place where they have divergent interests.
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'In close coordination with the players, MLBPA has hired outside counsel at Morrison & Foerster to respond to an investigation conducted by the Department of Justice,' the MLPBA said in a statement Tuesday. 'The MLBPA has, and will continue to, fully cooperate with law enforcement during this investigation.'
Clark's outside counsel, Daniel Collins of Katten, Muchin and Rosenman, declined comment. The Eastern District of New York declined comment as well.
The full scope of the probe is unclear, but investigators have also communicated with the National Football League's players' union and a licensing company co-founded by both unions, OneTeam Partners, the people briefed on the investigation said. In a statement it first issued last week, OneTeam positioned itself outside of investigators' crosshairs.
'We are aware of an ongoing investigation of allegations concerning our partners,' OneTeam said. 'We want to emphasize that OneTeam is not the subject of the investigation and has not been accused of any wrongdoing in any way. OneTeam is fully committed to cooperating with the investigation and remains steadfast in our commitment to following the best business practices, as has already been determined by the independent audit conducted earlier this year.'
The NFLPA declined comment on Tuesday and said last week it would cooperate with investigators.
The MLBPA co-founded OneTeam, a company that specializes in athletes' name, image and likeness rights, in 2019 alongside other sports unions and backers. Last year, an anonymous complaint was filed with the National Labor Relations Board alleging that Clark had wrongly received equity in OTP. The MLBPA has previously called that allegation 'baseless.'
A similar concern, however, arose in football. The NFLPA in December hired the firm Linklaters to review, in part, whether OneTeam had improperly granted equity, said people briefed on that process who were not authorized to speak publicly. The NFLPA did not disclose its findings publicly, but Lloyd Howell, the head of the union, in March notified OneTeam's board of directors that Linklater's report found the NFLPA and OneTeam had been in compliance, per an email reviewed by The Athletic.
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Collins, Clark's attorney, is a former federal prosecutor who 'regularly defends clients in investigations conducted by the Department of Justice (DOJ), the Securities and Exchange Commission (SEC) and other government agencies,' per his firm's website.
Clark and Howell both sit on the board of directors at OneTeam. Two other MLBPA officials and three other NFLPA officials do as well, per the company's website.
The MLBPA reported $44.5 million in revenue from OneTeam in 2024, per a filing with the Department of Labor.
(AP Photo / Godofredo Vásquez )
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