FIFA Regulations on Working with Intermediaries Liberalisation or devolution?

1. FIFARegulations on Working with IntermediariesLiberalisation or devolution? MICHELE COLUCCI

2. FIFA • A NEW LIBERAL APPROACH….

3. DEFINITION A natural or legal person who, for a fee or free of charge, represents players and/or clubs in negotiations with a view to concluding an employment contract or represents clubs in negotiations with a view to concluding a transfer agreement.

4. GOALS • Protect the integrity of football • Safeguared high ethical standards • Attack any illegal or unethical practice or circumstances • Enable proper control and transparency of players transfers

5. Whoisresponsibile of What?A Functionalistapproach • Switch of responsibilities • From FIFA to the National Associations • Implement minimum standards • Set up a registration system • New adressees : Players (P)and Clubs (C) • From agents' access to the profession • To the monitoring of obligations of P and C while working with Intermediaries (I) • P and C are responsible for the obligations concerning I (signature and registration of contracts) !

6. Access to Profession • No Selectionanymore • No professionalliabilityinsurance • No bankguarantee • BUT…..

7. Access toProfession • Exam: Czech Rep., Denmark (onlyfor the "certified I" ), Ukraine ("permanent I") • Interview: Argentina, Slovak rep., Spain. (high risk of subjectivity) • Professional Liabilityinsurance: Argentina, Brazil, CzRp. Mexico, Paraguay, Portugal. • Proof of Tax compliance: Belgium, Mexico, Portugal, Slovak rep. • Social Security compliance: Belgium,Portugal • Residence:Argentina, Paraguay, Turkey • Work permit: Mexico • Licence (exam): France • Authorizationfromcantonalempl. (andobligationto co-operatewith a Swiss Interme):Switzerland • Bachelor'sdegree(Bulgaria, Qatar, and Saudi Arabia)

8. MORE TRANSPARENCY • 1.A new Registration process • 2.The Intermediary Declaration • 3.The Representation contract • 4.Disclosure of all relevant documents to the national association • Obligation to disclose, • Omission will lead to sanctions on C and P although the registration and the transfer will remain valid. • Sanctions for the same violation will vary from Association to Association!!! • Whistleblowing (Ukraine): Sanction for any non reported omission concerning third parties!!!

9. REGISTRATION PROCESS • Intermediaries must beregisteredevery time they are individuallyinvolved in a specific transaction (art. 3) • Registrationforeach transaction: • (Croatia, Cyprus, Greece, Russia, Serbia) • Yearlyregistration or onlyoneregistration (ifeligibility criteria are met): • (Bulgaria, England, Mexico, NL, Paraguay, Poland , Qatar Romania) • Dual registration(onefor the intermediariesandoneforeach transaction) • Argentina, Colombia, Denmark, Italy, Japan, SaudiArabia, Spain, Switzerland, Turkey and Ukraine.

10. Registration processParticularities • Italy: a foreign "I" does not need to be registered with FIGC, but needs to be registered with his own association • England: registration with the FA irrespective of any other registration • Brazil: registration with the CBF or alternatevely co-operation with a registered "I" in Brazil • Switzerland: co-operation with an "I" registered in CH

11. REGISTRATION PROCESSCosts • Fromzero ( Croatia, France, Russia, Serbia, Switzerland) • To a Maximum of 5812 Eurosforeach Transaction in Ukraine and 5000 Eurosper intermediaryeveryyear in the UAE

12. FIFA Innovations: Intermediary declaration "THE IMPECCABLE REPUTATION" Certificates: Croatia, the Netherlands "Test of GoodCharacterandReputation" (disqualifyingconditions): The FA Extended proof of goodconduct (foranyadministrative, civil or tax lawinfringement): Germany Authorisationtoinvestigateandobtainany kind of information even fromthirdparties: Spain Honorabilitycertifiedbytworenownedpersonalitiesfrom the footballworld: Colombia

13. RepresentationcontractFIFA: yes to dual representation • BUT forbidden in Bulgaria, France, Japan, Paraguay, Portugal and Russia • Yes, in all others and… • England and Romania, yes but with more guarantees and transparency conditions

14. RepresentationContractexclusivity • FIFA: not required • Germany : prohibited • Czech republic and Italy: yes, an intermediary cannot sign a representation contract with a player or a club already represented by another intermediary

15. Representationcontractduration • Brazil, Croatia, Cyprus, England, Italy, The Netherlands, Portugal, Russia, Spain, Slovak Republic, Turkey, Ukraine: max 2 years • Bulgaria and Czech Republic: max 3 years

16. REMUNERATIONFIFA 3 % cap

17. REMUNERATIONFIFA RECOMMENDS… 3 % cap - 3 % stillrecommendedin 15 countries: Brazil, Denmark, England, Italy, Japan, Poland, Qatar… • 3 % mandatory: Cyprus, Paraguay, Russia, SaudiArabia, Serbia and the UAE • 5 % :Switzerland • 7 %: Bulgaria • 10 %: Croatia, France and Ukraine • 14 %: Germany • No cap: Argentina,Belgium, CzechRepublic, The Netherlands, Portugal • Silentrulesin Spain

18. MinorsFIFA: no remuneration at all • 17 out of 32 of examined associations fullyimplemented the FIFA rules (Argentina, Brazil, Netherlands, Russia, Spain, Japan, Portugal) • England: evenstricterrules • Czech and Slovakrepublic: yesremuneration • Silence inItaly but for amateurs no remuneration. • Germany: judges in favor of remuneration if minor has a Licensedprofessionalcontract

19. Disclosure and Publication of data (art.6, para.1) • Players and/or clubs are required to disclose to their respective association the full details of: • any and all agreed remunerations or payments of whatsoever nature that they have made or that are to be made to an intermediary • All contracts, agreements and recors withintermediaries in connectionwith the transfer or empl. Agreement. • Argentina and Spain go beyond the scope of such a rule: evenpayments not strictlyrelated to the transfer Federationsmust publish by the end of March eachyear: - Namesof registeredplayers - Single transacation - Total amount of all remunerations or paymentsactually made

20. Disciplinary Sanctions (art.9) "Associations are responsible for the imposition of sanctions on any party under their jurisdiction that violates the provisions of these Regulations, their statutes or regulations". "Associations are obliged to publish accordingly and to inform FIFA of any disciplinary sanctions taken against any intermediary. The FIFA Disciplinary Committee will then decide on the extension of the sanction to have worldwide effect in accordance with the FIFA Disciplinary Code". Issues: National Associations have jurisdiction even on international transfers. Intermediaries need to be aware of every national statute to comply with!

21. Disciplinary Sanctions • P, C, I: Warning, fine, reprimand, suspension, revocation of the registration (Argentina,Brazil, England, France, Germany…) • Denmark:heavy sanctions: • Players can be banned from a match • Clubs can be temporay banned from concluding and extending players 'contract, making national and int. transfers, and be excluded from nat and int. tournaments • Only sanctions againts I: Japan, the Netherlands, Poland • Only sanctions against C & P: Ukraine

22. Disputes Resolution • Responsibilitywith national associations • Ordinary labour courts and civil courts on civil and commercial issues parties canwave off those courts in order to defer disputes to Arbitration Body (BE, DK, FR, DE, GR, Mexico) Argentina, Cyprus, Italy,andJapan: parties maychoose sports bodies or ordinary court England: FA arbitral tribunal Russia: obligation to go before the Sports Arbitration Court Serbia and Uruguay: onlyordinarycourts

23. BEST PRACTICES • Certified intermediaries (Denmark) • Mandatory training courses (Turkey) • Certification for associations of intermediaries (The Netherlands)

24. IMPACT ON SPORTS STAKEHOLDERS • Advantages • More Transparency • More freedom for players • Financial balance • Disadvantages • Too many differences in national measures • Risk of contradictions • Increase of difficulties for intermediary • More responsibility for Players and Clubs

25. Conclusions • Noliberalization but rather devolution! • Overall positive assessment • Furtherimprovements and sistematicreview of the implementation in the future