Huge transfer market changes incoming?! Court says FIFA rules governing transfers conflict with EU law

Huge changes in the transfer market could be on the horizon after the European Union said that some FIFA rules surrounding player contracts conflict with their freedom of movement laws. The former France international was ordered to pay £8.8million ($11.2m) to Lokomotiv Moscow after terminating his contract early. His search for a new team was then made more difficult as FIFA rules meant any club would have to contribute to what Diarra was paying as part of any deal.

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  WHAT THE COURT SAID

  The Court of Justice of the European Union were eventually handed the case and ruled that players like Diarra and others could seek compensation.

  Diarra’s lawyer said: “All professional players have been affected by these illegal rules [in force since 2001] and can therefore now seek compensation for their losses. We are convinced that this ‘price to pay’ for violating EU law will – at last – force FIFA to submit to the EU rule of law and speed up the modernisation of governance.FIFA’s immunity is over, there will be a before and after in [football] governance after the EU [court] ruling.”

  • THE BIGGER PICTURE

    The court ruling highlights a significant issue in the world of football and shows a clear lack of modernisation when it comes to player contracts. FIFA said it was satisfied that they were managing the transfer system legally but are holding back from commenting further until they have considered the ECJ’s decision.

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    WHAT NEXT?

    The decision could spark huge change in the transfer market. More and more players could now be owed compensation from past difficulties when moving clubs and any new contracts drawn up will now consider the potential consequences of player welfare and freedom of movement.