5 3 March 2007

News:

The murder of Pakistan Cricket Coach, Bob Woolmer, has prompted widespread speculation about corruption in international cricket.

Sports governing bodies are introducing rules to restrict internet news coverage in an attempt to protect commercial contracts with licensees for exclusive live broadcasts.

The England & Wales Cricket Board (ECB) 'has taken appropriate action to comply' with the Data Protection Act 1998 following a complaint about the ECB's use of Criminal Records Bureau (CRB) data to promote a new 'Officials Association' for umpires and scorers.

Features:

The FIFA Players' Status Committee passes decisions (in accordance with the FIFA Statutes) on disputes between football clubs belonging to different member associations. Such disputes involve, in particular, contractual disputes relating to international player transfers. In February 2005, the FIFA Players' Status Committee ordered a Spanish club¹ to pay a Brazilian club² a certain amount of money by a certain deadline on the basis of a transfer contract concluded between the two clubs. This decision was binding.

Major League Soccer (MLS), which was formed in 1996, is the Division 1 professional soccer league in the United States. The league today has 13 teams (including one in Toronto, Canada). Unlike other sports leagues, in which independent team owners compete with one another on and off the field, MLS is structured as a single limited liability company. The league office, rather than any individual team, contracts with, employs and pays all players. Player compensation, bonuses and specific employment terms are determined by the league, not the clubs. In addition, the way in which players are allocated among the teams is set by the league office (e.g., player drafts, waiver drafts), and the teams operate within this regulatory framework to select and acquire the players they want. The teams, therefore, select their rosters rather than the league. These regulations, together with a league and individual team salary budget, are designed to provide equal competitive opportunity among the teams. Put simply, the league office creates an environment where teams have the ability to create their rosters and compete equally irrespective of an individual club's revenue or market size.

A recent action by Newcastle United against FIFA for the injury sustained by Michael Owen at the 2006 FIFA World Cup has brought the financial consequences of injuries sustained by players during international fixtures to the attention of the media. Peter Limbert, a solicitor with Hammonds, examines the existing FIFA Regulations governing this issue, and the pressure for change.

Real Madrid has recently signed a television contract granting Mediapro its TV rights until 2013, however the European Parliament and Spain's competition authority, the TDC, are investigating regulation in this area following competition concerns. Rafael García del Poyo, of Garrigues Abogados, explains the TDC's findings following an inquiry, and the implications that they could have for sports television rights in Spain.

As the European Commission prepares to draw up a White Paper on sport, the Committee on the Internal Market and Consumer Protection of the European Parliament commissioned Toine Manders to examine how professional sport fits with the European internal market and competition rules. Mel Stein, a Consultant with Clintons, examines Manders' findings, which warn that some rules governing the world of sport may constitute a breach of EU rules on fair competition and nondiscrimination.

Increased TV revenues from the Premier League and Champions League are distributed in favour of the Premiership's most successful clubs, which allows them to buy better players, repeat their success and reduce the prospect of relegation. Daniel Geey, an associate solicitor, competition department at Field Fisher Waterhouse, explores how this makes England's successful clubs attractive options for investors, and how the Takeover Code facilitates investment.