FIFA announced Monday it has adopted an interim framework for the Regulations on the Status and Transfer of Players following a ruling by the Court of Justice of the European Union (CJEU).
The EU's top court ruled in October that certain FIFA transfer rules violated European Union laws and principles of free movement. The case originated from a dispute involving former Chelsea, Arsenal and Real Madrid player Lassana Diarra.
The framework revises key aspects of player contracts, including the calculation of compensation for contract breaches and the burden of proof for compensation claims and inducements to breach contracts.
It also introduces a general definition of “just cause,” stating it exists when “a party can no longer reasonably and in good faith be expected to continue a contractual relationship.”
The interim framework eliminates the specific calculation criteria deemed problematic by the court. Instead, compensation will now be calculated objectively and transparently to restore the injured party to the position they would have been in had the breach not occurred.
FIFA said it consulted key stakeholders before implementing the interim amendments, which will take effect on Jan. 1, 2025. However, the players' union FIFPRO declined to participate in discussions and later criticized FIFA's approach.
“We do not agree with the temporary measures announced by FIFA, which have been introduced without a proper collective bargaining process,” FIFPRO said in a statement. “The measures do not provide legal certainty to professional footballers and do not reflect the judgment by the European Court of Justice.”
In 2014, Diarra left Lokomotiv Moscow one year into a four-year contract. The Russian club argued before FIFA's Dispute Resolution Chamber that Diarra breached the contract without just cause after a pay cut.
Diarra later received an offer from the Belgian club Charleroi, but the deal fell through when FIFA refused to issue the International Transfer Certificate (ITC), barring him from registration with the Belgian federation.
The CJEU ruled that refusing to issue the ITC is unlawful.
In 2015, FIFA ordered Diarra to pay Lokomotiv 10 million euros ($11 million) in damages. The player subsequently sued FIFA and the Belgian FA for damages in a local court.
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