It was a long-awaited decision, and rightly so: it could allow professional footballers to unilaterally terminate contracts that bind them to a club at any time. On Friday, October 4, the Court of Justice of the European Union (CJEU) ruled that the International Football Federation (FIFA) rules governing transfers between clubs were “opposites” to the legislation of the European Union and “probably hinders free movement” professional footballers.
The CJEU ruled on a dispute between former French international Lassana Diarra and FIFA and the Belgian Football Federation. This ruling could, ultimately, have important consequences on the rules of the transfer market.
What was the problem?
The case “Lassana Diarra and FifPro (the International Federation of Professional Footballers’ Associations) against FIFA and the Belgian Football Federation” dates back to 2014. That year, Lokomotiv Moscow, upset by the actions of the former French international (34 internationalities) He wanted to lower his salary while his contract lasted three years. Considering this withdrawal unjustified, Lassana Diarra expressed her disagreement and expressed her desire to leave the Russian club to join Sporting de Charleroi (Belgium), which then came forward to sign him. The Moscow club then decided to terminate the defensive midfielder’s contract, considering that it had stopped honoring him without “just cause”.
Relying on FIFA rules, Lokomotiv Moscow also claimed 20 million euros (later reduced to 10.5 million) from Lassana Diarra for the damages suffered. Because, according to the rules of the international organization, if a player breaks his contract unilaterally and “without just cause”You must pay compensation corresponding to your remuneration and benefits until the end of your contract. Another rule decreed by FIFA: a club that hires a player who has breached his contract may be forced to pay these expenses jointly and receive sporting sanctions (which could go up to a ban on hiring). This threat ended up discouraging Sporting de Charleroi from hiring Lassana Diarra.
With the support of the players’ unions (in particular, the National Union of Professional Footballers and the International Federation of Professional Footballers’ Associations), the French player took legal action in Belgium. It is in this context that the Mons Court of Appeal addressed the Court of Justice of the European Union with, in essence, the following question: are FIFA’s rules regarding the transfer of players compatible with competition law and the free movement of workers? within the EU?
What did the Court of Justice of the European Union decide?
On Friday, October 4, the European body issued a ruling more favorable to the player. When declaring “opposites” to European Union law certain FIFA rules governing transfers of players and “probably hinders free movement” Of these, the court established in Luxembourg follows the conclusions of its first advocate general, Maciej Szpunar. The latter considered, on April 30, that FIFA rules violated the principle of free competition in Europe.
The Court of Justice considers that the conditions imposed by FIFA “poses to these players and the clubs that wish to sign them significant legal risks, unpredictable and potentially very high financial risks, as well as significant sporting risks that, together, can hinder the international transfer of players”.
Will the rules of the transfer market change?
At this point it is impossible to be formal. In the Lassana Diarra case, the CJEU returns the ball to Belgian justice in its ruling by ruling that, “subject to verification” by the Court of Appeal of Mons, FIFA rules that restrict competition “They don’t seem essential or necessary to me”. On this basis the conflict between the French player and the international federation will now have to be resolved.
The Belgian lawyer Jean-Louis Dupont, who defends Lassana Diarra – already retired – celebrated this decision “important for the regulation of work in football and, in general, in sport”. FifPro also welcomed the decision of the European body, considering, in a brief statement aboutthat she “it will change the landscape of professional football”.
In fact, we do not know at this time whether the FIFA rules questioned by the CJEU will simply be eliminated – thus giving any player the possibility of leaving a club at any time – or replaced by others. In its ruling, the Court of Justice seems to open the door to this second option. It specifies that the compelling reasons, linked to “the general interest”may lead FIFA to issue new transfer rules to ensure some in-season stability in club squads.
On Friday, FIFA said “satisfied that the legality of the key principles of the transfer system has been reconfirmed” by the CJEU. The organization considers, in fact, that the ruling of the Court of Justice of the European Union “It only calls into question two paragraphs of two articles of the regulations that regulate the status and transfer of players”. FIFA finally promises“analyze the decision [de la CJUE] in coordination with other interested parties”.
