Does Dana White & the UFC Own a Piece of Dustin Poirier, Sean O’Malley and Other Athletes Companies? What Is the Clause in Their Contract?

A number of UFC fighters are also successful entrepreneurs today. The unpredictability and risk factor in the sport of MMA is considerably higher than in other sports. Here, athletes are prone to pick up career-threatening injuries, which might also affect their livelihoods severely. This might be the reason why several UFC fighters like Conor McGregor and Dustin Poirier, have invested their UFC earnings into major business ventures. Most fans might think that the revenues from such business ventures go to the fighters solely. Well, it was true to date, but that won’t be the case anymore.

More than 1,200 fighters filed an antitrust lawsuit against the UFC in 2014, which was classified as a Class Act recently. Although they accused the UFC of its “oppressive contracts”, it has hardly restricted the promotion from making vindictive changes in the terms of their contracts. A recent update in the same might stand as a huge shock to the UFC fighters who own individual businesses.

The updated UFC contract clause will subject fighters to bleeding more money

The meager fighter payouts have fetched the UFC quite a lot of bashing from multiple fans and noted personalities. But Dana White and Co. don’t seem to be too bothered about those. Most UFC fans also know that fighters have often fulfilled their lack of income with their individual endorsement deals and business ventures. But the latest update in the UFC’s contract clauses will restrict them from pocketing the entire income from such outside-UFC ventures.

Recently, the noted Canadian combat sports regulatory lawyer, Eric Magraken, took to his X account and highlighted this update in the terms of the contracts between the UFC and its fighters. He highlighted an article by ‘Bloody Elbow’ which mentioned that the UFC will now be legally authorized to receive a large part of the revenue from their fighter’s individual businesses.

This update becomes further shocking when we look at the fact that even a few of the most noted UFC fighters don’t get PPV points. Most UFC fans might know how the promotion barred the former UFC Flyweight king, Demetrious Johnson, from his PPV earnings.

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Even the famed current UFC bantamweight champ, Sean O’Malley, didn’t receive any PPV points even after putting up the superb main event in UFC 292. Hence, a lot of fans might label this update as an “oppressive” one as well. Roughly, a lot of them might also sum up this change as the UFC getting their hands on the outside-UFC income of a fighter. But, refusing to pay them the additional part of their income when the promotion earns insane amounts from their superb performances might not go down well with fans. Only time will tell, how this contract clause episode will play out.

Will Sean O’Malley earn big like Conor McGregor if he gets into boxing after this update?

Most fans would agree that Sean O’Malley’s current stature is a lot smaller than McGregor’s. Hence, they may say he won’t be earning anything around what ‘Mystic Mac’ earned from his boxing bout. However, there’s another factor that will also limit ‘Sugar’s’ earnings from his bout.

Although the UFC also made a massive amount from McGregor’s boxing match against Floyd Mayweather, they didn’t have anything to take away from what McGregor had earned by promoting the fight through his own ventures, like McGregor Sports and Entertainment. But if O’Malley opts to go for a boxing bout now, the updated UFC contract clause will allow it to take away a healthy part of what he makes from his independent sponsorship deal with ‘Sweet Sweat’.

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Even if we imagine that McGregor and O’Malley generated the same revenue from their boxing bouts, this update will still restrict the latter from making an equal amount like McGregor. How do you see this update in the terms of the contract between the UFC and their fighters? Do you think this is a fair deal?