Sports arbitration could face changes in upcoming ECJ ruling

Qatar Tribune

3 days ago

DPA
Brussels
The European Court of Justice (ECJ) will rule on Friday whether the Court of Arbitration for Sport (CAS) can continue to have the final say in legal sporting matters ranging from doping bans for athletes to competition entry regulations.
The ECJ ruling could turn sports arbitration upside down, and following are the most important aspects of the case.
What is the ECJ ruling about? The highest European court in Luxembourg will decide whether decisions by the CAS are binding or whether courts in European Union member states can check its rulings for violations of EU law.
The CAS is based outside the EU in Lausanne, Switzerland, and its rulings can only be appealed at the Swiss Federal Tribunal. This tribunal only looks into potential procedural errors by the CAS. The ECJ will decide whether that is sufficient or whether national courts can look into CAS rulings.
Why is the case important for the sporting world The ECJ could end an essential system in sports jurisdiction. The basic idea behind an institution such as the CAS is that privately established rules in sport are interpreted in the same way around the world - and not differently in each country depending on the court decisions there. This is to ensure fairness of the competition.
'We need something like the International Court of Arbitration for Sport because it decides uniformly and usually quickly,' German sports law expert Jan Forth from Cologne university has said.
However, the CAS has also been criticized for favouring sports federations in its decisions and being very expensive for athletes.
How did the ECJ get involved Belgian football club RFC Seraing took action after losing a case concerning Third Party Ownership against the ruling body FIFA at the CAS. The ruling was confirmed by the Swiss Federal Tribunal.
FIFA had imposed a transfer ban and a fine on the club in 2015 as it prohibited Seraing to give external investors rights on players.
Seraing went to court in Belgium, questioning the independence of the CAS because it is financed by international sports federations.
How will the ECJ rule? The decision on Friday is scheduled for 0800 GMT but its Advocate General, Tamara Capeta, has said in an opinion that CAS awards 'must be open to full review by national courts' to ensure they are compatible with EU law.
She said that commercial arbitration saw the free acceptance of the arbitration clauses by both parties which justifies limiting national reviews.
In sports meanwhile arbitration clauses are mandatory, leaving athletes, officials and clubs with no option but to go before the CAS in the case of disputes.
Advocate General opinions are not binding for the ECJ but the court often rules in their way.
What are the expectations? Anne Jakob, president of the International Sports Lawyers Association (ISLA), has said that 'the world of sports must definitely make a move.' She said that federations must revise their rules to provide the same conditions for athletes, clubs and federations.
Jakob said that the ECJ could put 'considerable pressure' on the federations, depending on how it rules.