ABSTRACT

Sport sponsorships can help a brand achieve commercial objectives such as direct sales or brand awareness. International sporting events are being hosted by nations with a “bribery-friendly” business culture. The nexus between anti-corruption laws and these “bribery-friendly” business cultures creates a tension for sport sponsors. Violations of applicable anti-corruption laws may lead to significant fines, criminal sanctions and negative publicity. It is imperative that sport sponsors know and comply with these laws. This chapter aims to discuss bribery law, identify potential red flags that may indicate violations, and offer recommendations for legal compliance.

Corruption is the “misuse of entrusted power for private gain” (Transparency International, 2016). It tends to be a “hidden crime” (Joutsen & Keränen, 2009, p. 1). Often there are no witnesses to the offence but this crime harms the public by compensating actors for non-work, encouraging the abuse of power, decreasing market competition, and misallocating resources. Corruption infects every business sector, including sport.