EU
The court ruled on the alleged monopolization of European soccer by FIFA and UEFA, and that the relevant UEFA and FIFA regulations violated EU antitrust laws.
The CJEU ruled as follows:
The rules of the Fédération Internationale de Football Association (FIFA) and the Union of European Football Associations (UEFA) on the need for their prior authorization for inter-club soccer matches (e.g., superleague matches) are in violation of EU law.
The rules set by FIFA and UEFA regarding any new inter-club soccer program that must be pre-approved by them and prohibiting clubs and players from participating in these competitions are illegal and violate competition law and freedom of service provision.
FIFA's and UEFA's rules granting themselves exclusive control over the commercial rights associated with these competitions are considered to restrict competition. These provisions may have important implications for the media, consumers and television viewers in the EU mainland.
FIFA and UEFA are organizations based in Switzerland and governed by private law. Their objective is to promote and develop a framework for soccer at the global and European levels and to empower themselves through rule-making to sanction European inter-club soccer matches and develop media rights in relation to those matches.
This ruling will have an impact on the control of FIFA and UEFA's commercial interests and may lead to more competition and openness. However, the exact impact and subsequent developments need to be further observed and studied.
A group representing 12 European soccer clubs plans to form a new soccer competition called the Super League. However, FIFA and UEFA objected to the project and threatened to impose sanctions on clubs and players who might participate in it.
In an attempt to resolve the dispute, the UEFA Super League companies filed a lawsuit in the Commercial Court of Madrid, Spain, claiming that FIFA and UEFA regulations on match sanctioning and exploitation of media rights violated EU law.
Taking into account, among other facts, the fact that FIFA and UEFA have a monopoly on the market, the Spanish court decided to refer the issue to the Court of Justice of the European Union in order to seek a ruling on whether or not the regulations were contrary to EU law.
This case could have far-reaching implications for the European soccer community, possibly involving the application of competition law and EU law. However, the exact ruling and its implications await a final decision by the Court of Justice of the European Union.
The Court noted that the organization of inter-club soccer matches and the exploitation of media interests are economic activities and are subject to competition rules and freedom of action. Although the sports economy has some specific characteristics, such as the fact that associations have a certain degree of regulation and control and the power to impose sanctions, they are still subject to the rules of competition.
The Court also noted that when a dominant undertaking has the power to determine the conditions of market access, the conditions of entry of potentially competing undertakings must be subject to transparent, objective, non-discriminatory and proportionate criteria in order to prevent the risk of conflicts of interest. However, FIFA and UEFA were not bound by these criteria, and the Court therefore found that they had abused their dominant position.
The ruling means that FIFA and UEFA may need to make some adjustments in the organization of inter-club soccer matches and the development of media rights in order to comply with competition rules and freedom of movement. This will have important implications for the European soccer community and may change the way soccer matches are organized and managed.
The court found that the FIFA and UEFA regulations on authorization, control and penalties constituted an unreasonable restriction on the freedom to provide services, as they were arbitrary in nature. Nonetheless, it does not mean that the competition program (e.g. Super League) must be approved. In its judgment, the Court reviewed the rules of FIFA and UEFA in general, but did not rule on that particular item.
In addition, the Court noted that FIFA and UEFA's regulations on the exploitation of media rights caused harm to European soccer clubs, media market operators, as well as to end-consumers and television viewers, and prevented them from enjoying novel or entertaining match events.
This ruling emphasizes the arbitrary nature of FIFA and UEFA regulations and the limitations on the freedom to compete and provide services. It may have implications for the conduct of these organizations in the organization and management of soccer matches and the exploitation of media interests.
The Madrid Commercial Court should determine whether these rules are still beneficial to other stakeholders in the soccer world, for example by ensuring that similar solidarity distributions are achieved with respect to the profits generated by these interests.
European Court of Justice
There is no decision on the dispute itself. National courts or arbitral tribunals will deal with the case in accordance with that judgment, and other national courts or arbitral tribunals confronted with similar problems will have to comply with it.
A22 is responsible for planning the new European Super League and has filed this lawsuit with the Court of Justice of the European Union. The new European Super League will showcase their plans for open competition and ensure that all clubs are treated equally.
The decision in this case will have a significant impact on the European soccer community, potentially changing the way in which soccer matches are organized and managed and media rights are developed.
The Court of Justice of the European Union (ECJ) is the general name for the court system of the European Union. It works with the national courts of the EU member states to ensure that EU law is interpreted and applied uniformly across the EU. The Court of Justice of the European Union is headquartered in Luxembourg and consists of three different courts: the General Court, the Specialized Courts and the European Court of Justice.
The ordinary courts deal with litigation against European Union institutions, bodies and individuals. Specialized courts deal with litigation in specific areas, such as civil service disputes, fair competition, and public service. The European Court of Justice, on the other hand, is the highest court in the European Union's court system and is responsible for interpreting European Union law and ensuring its consistent application across European Union countries.
One of the functions of the Court of Justice of the European Union (CJEU) is to settle legal disputes between European Union member States or with European Union institutions and to provide guidance on the interpretation of European Union law. Its judgments are binding on the interpretation of European Union law and must be followed by the courts of all European Union member States.
[Background]
April 19, 2021 AC Milan, Arsenal, Atletico Madrid, Chelsea, Barcelona, Inter Milan
Juventus
Liverpool, Manchester City, Manchester United, Real Madrid and Tottenham Hotspur announced the formation of a European Super League (
Euclid
(League).
However, the six teams of the English Premier League (known as the BIG6), Atletico Madrid, AC Milan and Inter Milan, the nine teams that followed, announced one after another that they were withdrawing from the UEFA Premier League and signed a Declaration of Commitment of Clubs with the Union of European Football Associations (UEFA). Currently, only two teams, Real Madrid and Barcelona, remain to announce their stay in the UEFA Premier League.
This series of withdrawal announcements has sparked widespread interest and controversy, with significant implications for the fortunes of the UEFA Premier League. It also highlighted the divisions and opposition to the UEFA Premier League within the European soccer community.
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EU
European Court of Justice
