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Eric Bischoff: WWE’s Contractor Status – A Legal Risk

by Alex Carter - Sports Editor

## Bischoff: WWE‘s Self-reliant ‌Contractor Model Faces High ​Barriers to Legal Challenge

Eric bischoff,‍ former WCW executive, discussed the long-held legal risks associated ​with WWE’s‍ classification of‌ its wrestlers as independent contractors during​ a recent appearance on the *83 Weeks* podcast,⁤ a topic brought to the forefront by former WWE performer‍ David Otunga. ‌Bischoff stated the arrangement has ⁤been a ⁢known vulnerability for decades.

Bischoff, who oversaw⁤ talent contracts at Turner Broadcasting ⁢during his time with WCW,‍ recalled revisiting the issue when WWE ⁢first became a publicly traded ⁢company. He‍ explained, “I‍ remember when ‌I heard​ that WWE was going public… the first thing I‍ did was ‌jump back into the ⁤independent contractor status… becuase that’s like ⁣the ‌one big thing that if anybody ever penetrated the independent ‌contractor defense, it would become a major vulnerability, because some ‍of the fines associated with… if an independent contractor sued me… and the jury found for them, I would owe them back​ pay, back taxes ther.‍ There’d ‌be a whole ⁢lot of expense.” He⁢ described it‌ as “always been one of those internal issues… ‍a skeleton in⁣ the ⁤closet that may actually come to life.”

Despite recent controversy, including the release of Ridge Holland, Bischoff believes a triumphant ⁣legal challenge to the independent ⁢contractor status is unlikely. “I don’t think ​so,as it’s ⁢going to be a massive legal⁢ battle,” he said. “It’s something you’d‍ have to be really financially ‌well-off to afford to challenge this. you ⁢have to really be invested in‍ it, and it’s ‌risky. There’s a lot of reasons ⁣why there’s a ‌lot of defense for it too. We’ve talked about some of ⁢the vulnerabilities, but there’s also a defense for it. So either⁤ way, ‍it’s going to be a long, drawn-out, incredibly expensive exploration. I just don’t ⁣see anybody have any appetite to do it.”

*h/t to WrestlingNews.co for the transcription.*

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