Facts about the MOU

We've completed some detailed analysis of the North's MOU, which you can read by clicking the document below. Here are the key points of our analysis:

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• The MOU contains vague, unenforceable terms and get-out clauses which only benefit North's, for example they will "explore", have "intentions" to preserve the club and improve trading, no "present intentions" to redevelop the club, to do things "where possible", use their "reasonable endeavours" and apply "absolute discretion" on an "as needs basis" 

• North Sydney Leagues Club Ltd takes full ownership and control of the Bowlo from day one, causing the Bowlo to be "wound up" and "liquidated"

• Local sporting clubs will have no certainty about financial support or sponsorships beyond the amounts payable in the first two years. Thereafter support will be reviewed and subject to sponsorship agreements, and may be as little as the very low amounts provided in 2022

• There are no limits on the number of poker machines and gambling facilities after 10 years

• No local influence or power over decisions made, the Sydney-based North's board is in charge from day one. After 10 years the advisory committee ceases to exist

• The so-called $3.5 million pledge to renovate the Bowlo is limited to only "necessary" and "financially viable" repairs, replacements, renovations refurbishments and upgrades. And where will this money come from? 

• North's will take out insurance on the Bowlo only if it isn't too expensive ("if available on reasonable commercial terms")

• The Bowlo can be sold off after just three years if certain conditions are met (clause 10.4) such as financial losses beyond certain limits or other circumstances arguably within North's control

• There are no guarantees North's will keep the Bowlo's doors open, it must always do what's best for North Sydney Leagues Club Limited

• Lastly, it's worth considering what would happen if North's fails to honour any part of the MOU. Who's going to fight to enforce it and at what cost?