{"id":1783,"date":"2019-11-20T11:19:34","date_gmt":"2019-11-20T11:19:34","guid":{"rendered":"https:\/\/www.ginx.tv\/cloud9-fined-after-violating-lcs-rules"},"modified":"2024-07-19T13:14:20","modified_gmt":"2024-07-19T13:14:20","slug":"cloud9-fined-after-violating-lcs-rules","status":"publish","type":"post","link":"https:\/\/www.ginx.tv\/en\/league-of-legends\/cloud9-fined-after-violating-lcs-rules","title":{"rendered":"Cloud9 fined $175,000 after violating LCS rules"},"content":{"rendered":"

The developer issued a ruling<\/a> against Cloud9 on their website, stating the esports organisation issued equity through restricted stock units (RSU) to seven players over the course of 16 months. They also failed to notify Riot of the payments. <\/p>\n

This breaks a rule implemented in 2017 whereby LCS team owners are prohibited from ‘acting as players’ and prevents active players from owning equity within their team.  <\/p>\n

In June 2019, the League became aware several teams had signed contract extensions which were not properly submitted to them. Cloud9 submitted 10 documents as follow-up, “including contract amendments, summary sheets, and documents labeled as RSUs for several players.” <\/p>\n

According to Riot, none of the documents showed the RSU grants. Cloud9 submitted additional RSU documents in July, but due to a ‘clerical error’ Riot didn’t notice the discrepancy.  <\/p>\n

\n