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San Francisco Chronicle
5 hours ago
- San Francisco Chronicle
Dutch foundation launches class action lawsuit against FIFA over transfer rules after Diarra ruling
A Dutch group seeking compensation on behalf of soccer players who might have lost income due to transfer regulations has filed a class action lawsuit against the sport's governing body FIFA and five other football associations. The Justice for Players foundation said in a statement Monday that men and women across the world who have played for a club in the European Union or the United Kingdom since 2002 are eligible to join the legal procedure. The legal move follows a landmark ruling from top EU court last year stating that some parts of FIFA's transfer regulations did not comply with the bloc's laws on competition and freedom of movement for labor. The foundation says it is fighting for the right of players 'whose earnings were compromised as a result of FIFA's restrictive rules on termination of contracts and transfers." In addition to FIFA, Justice For Players is also taking legal action against the national football associations of the Netherlands, France, Germany, Belgium and Denmark. 'Preliminary estimates indicate that the number of affected footballers may comprise approximately 100,000 players,' it said. By ruling in the Lassana Diarra case that some FIFA regulations on player transfers are contrary to EU legislation relating to competition and freedom of movement, the European Court of Justice has paved the way for deep changes in the sport's economy. Diarra, a former Real Madrid, Arsenal and Chelsea player, signed a four-year contract with Lokomotiv Moscow in 2013. The deal was terminated a year later after he was unhappy with alleged pay cuts. FIFA and then the Court of Arbitration for Sport found the Russian club terminated the contract 'with just cause' and ordered the player to pay 10.5 million euros ($11.2 million). Diarra argued his search for a new club was affected by FIFA rules, making his next employer jointly responsible for paying compensation to Lokomotiv. Some analysts have compared the ruling to the 1995 decision on Belgian Jean-Marc Bosman. That ruling removed restrictions placed on foreign EU footballers within national leagues and allowed players in the bloc to move to another club for free when their contracts ended. But for now, the decision on Diarra has not changed how the global soccer transfer market, worth more than $10 billion each season, functions. Justice for Players said that economists at Compass Lexecon consulting firm estimate that FIFA regulations caused the affected players to earn about 8% less over their careers. 'All professional football players have lost a significant amount of earnings due to the unlawful FIFA regulations,' said the foundation chair, Lucia Melcherts. 'The past and even current system unduly favours FIFA who has far too much unilateral power. In any other profession, people are allowed to change jobs voluntarily.'
Business Wire
5 hours ago
- Business Wire
Class Action Against FIFA and EU Football Associations on Behalf of Football Players Launched Today by 'Justice for Players', a Dutch Foundation
AMSTERDAM--(BUSINESS WIRE)--The Justice for Players Foundation ('JfP'), a Dutch Foundation has today launched a class action on behalf of professional football players who have been affected by the FIFA Regulations. The claim against FIFA and several national football associations, including the KNVB, the Football Association of the Netherlands, will be filed at the District Court of Midden-Nederland. JfP intends to represent all professional footballers who are playing or who have played in clubs in the European member states and the United Kingdom and who have been adversely affected by FIFA's unlawful rules from 2002 to the present. Preliminary estimates indicate that the number of affected footballers may comprise approximately 100,000 players. This case is being brought in the Netherlands under the Dutch Act on the Settlement of Mass Damages in Collective Action (WAMCA), which allows this legal action to be launched by JfP on behalf of a large group of professional footballers. The case has been launched following the CJEU judgment in October 2024 in the case brought by football player Lassana Diarra and FIFPRO Europe/FIFPRO World against FIFA, which found that the FIFA Regulations seriously infringed EU competition law and the right to free movement of workers, making it extremely challenging for a player to terminate their employment contract without just cause. In short, the CJEU ruled that the FIFA Regulations violated two core principles of European law: free movement of workers and fair competition. By stating unequivocally that FIFA's rules were unlawful and that those rules caused all players to suffer a financial loss, the CJEU in its judgement gave the green light to a Europe-wide class action. This is a classic follow-on claim, in line with the EU Representative Action Directive, that seeks to ensure that the rule of law is upheld, that FIFA is held to account and that all players receive the compensation that is owed to them. In particular, the CJEU noted that the FIFA Regulations had the effect of restricting the free movement of workers and competition by: establishing unlawful criteria for determining the severance 'compensation' a player must pay to their former club; allowing the national federation of the former club to withhold the issuance of an International Transfer Certificate (ITC), without which a player cannot play for a new club; making the player's new club automatically jointly and severally liable for the compensation to be paid to the former club and allowing FIFA to impose disciplinary sanctions on the player and their new club. The unlawful FIFA Regulations granted FIFA complete control over how and when players leave their current football clubs and under what conditions, effectively enforcing an extremely restrictive 'no-poaching agreement'. A preliminary analysis by economists at Compass Lexecon has estimated that affected professional footballers have earned approximately 8% less over the course of their career than they would have if the FIFA Regulations had not been unlawfully restrictive. Lucia Melcherts, Chair of the Board Member of Justice for Players, said: ' All professional football players have lost a significant amount of earnings due to the unlawful FIFA Regulations. 'Justice for Players' is bringing this claim to help achieve justice for footballers and fairness. The past and even current system unduly favours FIFA who has far too much unilateral power. In any other profession, people are allowed to change jobs voluntarily. The same should be true in football, particularly as the average career span of a professional footballer according to a FIFPro study is only 8 years long.' Franco Baldini, Board Member of Justice for Players, said: ' As a former professional footballer, agent and someone who has worked in football in various managerial capacities, I have had first hand experience, in particular with the Mexes case in 2004, of how much control and power FIFA has over the players. So I am very proud to be part of the Foundation 'Justice for Players' and to be part of something that could help change the existing system and make football more inclusive and more sustainable. ' Dolf Segaar, Board Member for Justice for Players said: ' This claim against FIFA brought by 'Justice for Players' is an important and necessary next step that will allow footballers to assert their rights as EU workers and receive compensation from an organisation that for far too long has willingly ignored the rule of EU law. The CJEU ruled in a crystal-clear manner that the FIFA Rules on termination of contracts and transfer were blatant violations of EU competition law and free movement of workers. And the CJEU also made clear that such unlawful rules had caused players to suffer financial losses. Under EU law, victims of such violations are entitled to compensation for the losses they have suffered and that is an important part of what this class action is about.' Koen Rutten, Partner at Finch Dispute Resolution, said: ' For over 20 years, FIFA has enforced unlawful rules at the expense of professional footballers. Finch is supporting 'Justice for Players' so that FIFA can be held accountable and ordered to compensate footballers whose earnings have been impacted by these unfair and illegal rules. Not only are we seeking damages for footballers who have been disadvantaged by the rules that mainly benefit FIFA and the football associations, but through this legal action we are seeking changes to the FIFA Rules so that professional players can finally have greater control over their careers.' For further information please visit: Notes to Editors About Justice for Players Justice for Players was founded to advocate for the interests of professional footballers across Europe. The board comprises of three members: Lucia Melcherts, Dolf Segaar and Franco Baldini. Lucia Melcherts has been the chair of Stichting Massaschade & Consument (Foundation for Mass Damages & Consumers) since 2021. She also holds the position of Coordinating Specialist Advisor at the Dutch Ministry of Justice and Security. Dolf Segaar founded his own law firm Segaar Law in July 2021, specialising in governance and litigation, with a strong focus on sports law. Franco Baldini is a former professional footballer and agent and spent over 20 years in different senior management roles at top international clubs and organizations, including AS Roma, Real Madrid, Tottenham Hotspur and the England National Team. He currently runs his own consulting firm IC20 Ltd. About Finch Finch Dispute Resolution is an independent Dutch litigation boutique law firm, founded in 2022. With a team of around 18 specialised litigators and 5 partners based in Utrecht, the firm handles corporate, commercial, financial, and class-action disputes—domestically and internationally. About Dupont-Hissel Jean-Louis DUPONT and Martin HISSEL are specialists in European law, particularly as applied to the sports sector. Together they have defended hundreds of cases, acting on behalf of all stakeholders in the professional sports sector, before the CJEU, the European Commission, the European Court of Human Rights, national competition authorities, national courts, international (including CAS) and national arbitration tribunals, and the internal judicial bodies of national and international sports associations. In particular, they have led and co-managed cases that resulted in landmark judgements of the CJEU regarding sports governance in the EU and beyond: Bosman (1995), Meca-Medina (2006), Royal Antwerp FC (2023), European Super League (2023), Lassana Diarra (2024) and RFC Seraing (2025). About Deminor Founded in 1990, Deminor is a leading international litigation funder with offices in Brussels, London, Hamburg, New York, Hong Kong, Madrid, Milan, Stockholm and Luxembourg. Combining skill sets from 19 different nationalities and 22 languages, Deminor possesses a highly respected and diverse team of legal and financial specialists across a range of specialisms including arbitration, enforcement, intellectual property, competition, investments & tax, corporate & post-M&A.
Newsweek
6 hours ago
- Newsweek
Max Verstappen Laughs off FIA Investigation on Incident With Lewis Hamilton
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Red Bull Racing driver Max Verstappen opened up on the incident with Lewis Hamilton during the Hungarian Grand Prix, which came under the scanner of the FIA stewards. Verstappen believed there was no need for an investigation since their cars did not make contact. Lap 29 of the race saw Verstappen get very close to Hamilton on Turn 4 as he attempted an overtake. Just as he began to pass the seven-time world champion, Hamilton went off the track before rejoining the race behind Verstappen. From the broadcast, it was unclear if Verstappen made contact with Hamilton that potentially pushed his Ferrari off the racetrack, or if Hamilton reacted to avoid a collision. The FIA began its investigation to ascertain if Verstappen pushed Hamilton off the track to gain an undue advantage, and the verdict was announced after the Grand Prix. The four-time world champion addressed the media before the FIA published its ruling. He said: Max Verstappen of the Netherlands and Oracle Red Bull Racing walks in the Paddock during previews ahead of the F1 Grand Prix of Hungary at Hungaroring on July 31, 2025 in Budapest, Hungary. Max Verstappen of the Netherlands and Oracle Red Bull Racing walks in the Paddock during previews ahead of the F1 Grand Prix of Hungary at Hungaroring on July 31, 2025 in Budapest, Hungary."The thing is that nothing happened. We didn't even touch, that's the thing. So, for me, it's a bit difficult to understand why we have the investigation after the race. "We explained our side. Well, Lewis was not there, but we explained our side of the story. I don't think Lewis actually felt a lot for it, because if he really felt something for it, he's there in the stewards' room, right?" Hamilton started the race in P12 and finished in the same position, while Verstappen started in P8 but finished in P9. He added: "I think both of us didn't have the best of weekends anyway, so that's just that one little thing. What is the more important thing is that we have to look at our performance, which was not good." Elaborating on the incident, Verstappen said: "I went for a move at the inside because it's a fast corner, but with downforce you're a bit more under control anyway. I think he realised very late that I was up the inside there. So then he turned out of it a little bit, and then, of course, went off the track, and that was it. We didn't touch. Nothing happens." The Dutch driver believes there was no point in going to the stewards because neither car made contact. He was eventually cleared of any wrongdoing by the FIA. He said: "I think the problem is that we have so many rules, of course, it's always a complicated matter. It's not always super clear with things. "But it's always a bit weird that you have to go to the stewards for something that you didn't have even a contact or whatever." Related: FIA Delivers Verdict on Max Verstappen - Lewis Hamilton Hungarian GP Incident
