Background/problem/issueOne feature that characterizes National Hockey League (NHL) is that NHL-owners run NHL-clubs in geographical cities/regions that have the best conditions for marketing NHL. Professionalization and commercialization of NHL has also huge impact on global elite ice hockey's development and commercialization (Kidd and Macfarlane, 1972). NHL influences (i.e. Americanization of sport) have also reached Swedish and Finnish elite ice hockey (Backman, 2012). Even though Sweden and Finland are countries with strong historical ties and a similar tradition of organizing sport (i.e. amateurism and promotion and relegation) representatives of elite ice hockey has chosen different paths (Backman, 2012). Swedish sport and elite ice hockey is organized according to the European Model of Sport with the Swedish Ice Hockey Federation as governing body for all Swedish ice hockey. In Finland the elite ice hockey representatives has chosen to implement several significant feature of the NHL (i.e. American Model of Sport). For example one from the Finnish Ice Hockey Federation autonomous SM-liiga, that runs the elite league, and a closed league, with no promotion or relegation (Backman, 2012). The main problem and research task question is hereby to analyze if this organizational difference has affected the geographical structure where Swedish and Finnish elite ice hockey clubs was located geographically in relation to the size of population 2015/2016 season. TheoryAmericanization. The term Americanization means of tradition that American influence and culture is received/imported/forced to a country (Alm, 2002). Americanization has mainly been used in three different meanings. According to the first meaning the concept of Americanization is seen as a center and periphery relationship between the US and the world. As the world's most powerful state, the US, through its economic and political strength have exported their culture to other countries (Alm, 2002). In a hockey perspective this is related to the NHL's ...
Background/problem/issue Swedish ice hockey is by tradition built on the principles of the European Model of Sport (pyramid structure, non-profit, utility maximization, youth fostering, and promotion and relegation etc.) and governed by the Swedish Sport Confederation. Corporation is however allowed since 1999, i.e. sport plc. But, unlike business life generally the Swedish Sport Confederation don't allow full corporation, there is a so called 51-percent barrier, which means that a non-profit sport club must own the majority of votes in its sport plc. (Malmsten & Pallin, 2005). With inspiration from National Hockey League (NHL), i.e. Americanization of sport, new modern multi arenas has mushroomed in Swedish elite ice hockey during the first decade of the new millennium (Lundberg, 2009). These new multi arenas has not only created better sporting facilities. They have also created new sources for revenues and establishment of (sport) business groups. Generally, in Swedish elite ice hockey a non-profit sport club is majority (sole) owner of a multi arena throw a real estate company. To understand some of the legal challenges that arises for clubs in Swedish elite ice hockey, and their plc.'s, take-off must be taken in the Swedish (2005: 551) Companies Act. According to Companies Act (Chap. 1, §11) a limited liability company is a parent company if the limited company owns more than 50 percent of the votes or shares in the subsidiary. A socalled mother-daughter relationship, also called a genuine busi- ness group. Similar rules are contained in the Swedish (1995: 1554) Annual Accounts Act (Chap. 1, §4). If the requisites is not met, instead, a spurious (sport) business group arises. This means directly that a Swed- ish sport business group is a spurious business group, due to the fact that non-profit sport club's must own the majority of votes, i.e. the non-profit sport club is parent company. This means from a Swedish corporate and tax law perspective that group contributions can't be made (Swedish Income Tax Act [1999: 1229], chap. 22 and 35). The reason why Swedish sport business groups are not allowed to do group contributions is that corporate income would avoid taxation. In addition, competition would be distorted against other business forms with other owners (Ågren, 2011). Two Swedish elite ice hockey clubs that faced the Swedish Tax Agency's interest in light of this intricate corporate and tax law area is Leksands IF and Modo Hockey Club. The Swedish Tax Authority's interest were primary based on the question of withdrawal of assets. As a consequence, these two club's real estate companies have been convicted for withdrawal of assets for the 2006/2007 season with 2.4 million and 1.96 million Swedish crowns. The main problem and research task question is hereby to analyze how the organization and regulation of Swedish elite ice hockey and establishment of new multi arenas creates tax challenges. Theory Theory is not necessary for analyzing Swedish jurisprudence. However, Americanization is a valuable theory to understand the commercialization of Swedish elite ice hockey and the growth of new multi arenas, i.e. American influence and culture is received/imported/forced to a country (Alm, 2002). Method The study is based on jurisprudence and document analysis, primarily of Swedish legislation, case law and preparatory work. Also, publications about Swedish elite ice hockey and the American and European Model of Sport has been used. From a jurisprudence perspective, the Swedish Company Act and Income Tax Act, preparatory work and two indicative judgements from Appeal Court in Sundsvall has been analyzed. By analyzing these legal documents important knowledge is achieved from a corporate and tax law perspec- tive. Result Swedish corporate and tax law can never open up for group contributions for Swedish sport business groups without tax consequences even though sport plc's has been established. This also applies to sub- sidiaries. The transition from the non-profit sector to the fully taxable corporate sphere has been driven by financial reasons and international influences. By incorporating the well-known benefits of public limited companies and combining these with international influences, representatives of Swedish elite ice hockey want to be competitive. Swedish Corporate Act and Income Tax Act creates challenges for Swedish sport with the 51percent regulation, which can result in unpleasant tax consequences in case of unconsidered re- structuring. This means that international influences from a Swedish corporate law and tax law perspective are not automatically transferable and applicable to Swedish elite sport. Representatives for Swedish elite ice hockey clubs should for this reason work for the removing the 51-percent regulation (i.e. full corpora- tion). Group contributions can then be made without tax consequences. References Ågren, B. (2011). Beskattning av idrottskoncern [Taxation of Swedish sport business groups]. Skattenytt [Tax news, peer review], 254. Alm, M. (2002). Americanitis: Amerika som sjukdom eller läkemedel: svenska berättelser om USA åren 1900–1939 [Americanitis: America as disease or medicine: Swedish stories about the US the years 1900–1939] (Doctoral Dissertation). Lunds universitet. Kammarrätten i Sundsvall [Appeal Court in Sundsvall]. (2013). Mål nr. 1229–11 and Mål nr. 1594–11, 3436–11. Lundberg, H. (2009). Kommunikativt entreprenörskap: underhållningsidrott som totalupplevelse före, un- der och efter formeringen av den svenska upplevelseindustrin 1999–2008 [Communicative entrepre- neurship: Entertainment sport as experience before, under and after the formation of the Swedish entertainment industry 1999–2008] (Doctoral Dissertation). Växjö universitet. Malmsten, K. & Pallin, C. (2005). Idrottens föreningsrätt [Sport association]. Stockholm: Norstedts.
By describing and analysing normative uncertainties and the commercial immaturity in Swedish ice hockey (Swedish Hockey League/Swedish Ice Hockey Association), this article focuses on the tension and dialectics in Swedish sport; increasingly greater commercial attempts (i.e. entrepreneurship, 'Americanization', multi-arenas, innovations and public limited companies) have to be mixed with a generally non-profit making organization (e.g. the Swedish Sports Confederation) and its traditional values of health, democracy and youth sports and fosterage. In this respect, the elite ice hockey clubs are situated in a legal culture of two parallel norm systems: the tradition of self-regulation in sport and in civil law (e.g. commercial law). Indeed, the incoherent blend of idealism and commercialism in Swedish elite hockey appears to be fertile ground for hazardous (sports) management and indebtedness. This mix of 'uncertainty' and 'immaturity' has given rise to various financial trickeries and negligence, which have subsequently developed into legal matters. Consequently, the legal system appears to have become a playground for Swedish ice hockey. This article reflects on the reasons and the rationale in this frictional development by focusing on a legal case that comes under the Business Reorganisation Act. The analysis reveals support for a 'soft' juridification process in Swedish ice hockey in order to handle the charging tension of the two parallel norm systems.
