EU Court Rules FIFA Transfer Rules Unlawful

The European Court of Justice (ECJ) has ruled that FIFA's transfer rules violate EU law, particularly concerning the freedom of movement for players and competition between clubs, in a case brought by former footballer Lassana Diarra. The court found that FIFA's refusal to issue an International Transfer Certificate (ITC) for Diarra's potential move to Charleroi in 2015 restricted his ability to work with a new club, thereby impeding cross-border competition. Diarra's legal challenges stemmed from FIFA's regulations that made new clubs liable for compensating previous teams if a player breached their contract, which deterred clubs from signing him. The ECJ's decision necessitates a revision of FIFA's transfer rules to comply with EU regulations, potentially impacting the established international transfer system that has been in place since 2001. The Belgian court is now tasked with implementing the ECJ's ruling in Diarra's case, which could lead to significant changes in how player transfers are conducted across Europe.