Defeat for FIFA before the European Court of Justice in the dispute over transfer rules: The decision could have serious consequences for world football.
In the dispute over Fifa’s transfer rules for football players, the association suffered a defeat before Europe’s highest court. Certain regulations violate EU law, as the European Court of Justice (ECJ) ruled in Luxembourg. According to the ruling, the freedom of movement of players and competition between clubs granted by EU law are restricted by the rules with which the ECJ dealt. The association was asked for a statement.
French footballer Diarra sued FIFA
The background is a lawsuit brought by former French professional footballer Lassane Diarra. He was signed by Russian club Lokomotiv Moscow in 2013. After just a year, a break occurred and Diarra demanded compensation. The former national player sued the club for outstanding salaries. He claimed that finding a new club would be difficult. According to FIFA rules, any new club would be liable for paying compensation to Lokomotiv Moscow if a contract with them was terminated for no reason.
Because of this, a contract with the Belgian club Sporting du Pays de Charleroi was not concluded. Diarra then sued FIFA and the Belgian Football Association for damages and loss of earnings amounting to six million euros. He complained that FIFA’s transfer rules violated EU law on freedom of movement and competition. The Belgian court then referred the case to the ECJ.
ECJ recognizes burden on athletes and clubs
The judges have now decided that FIFA’s rules go too far. These burdened the athletes and the clubs with “significant legal, unforeseeable and potentially very large financial and significant sporting risks,” the court said in a press release. Some rules could be justified on the grounds that they ensure a certain degree of stability in the teams. Here, however, the rules seem to go beyond that, according to the judges.
The Belgian court must now decide on the specific case and implement the requirements of the ECJ. What happens next depends on how the associations implement the ruling.
Source: Stern
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