TAS agrees with FIFA: new rules, including upper limit compensation brokers for transfers, are still legitimate

FIFA President Gianni Infantino — © EPA-EFE

The World Football Association (FIFA) welcomes a ruling from the International Sports Tribunal (TAS) underlining the legitimacy of the new rules for agents. One of those rules is an upper limit on brokerage fees for transfers.

The Professional Football Agents Association (PROFAA), an association for agents, successfully sued FIFA over the new rules. But now the TAS has ruled in favor of the World Football Association.

According to FIFA, the TAS underlines the “legality, validity and proportionality” of the FIFA Football Agent Regulations (FFAR), which come into effect on October 1. “The ruling confirms FIFA’s position that the FFAR is a reasonable and proportionate measure that helps resolve systemic deficiencies in the transfer system.”

Negative consequences of higher fees

“FIFA has shown that the prospect of higher agent fees incentivizes agents to secure more transfers, which in turn has a number of negative implications for the market for agent services,” the TAS said. “Consequently, a cap on fees is appropriate to remedy or mitigate the adverse impact highlighted by FIFA.”

Furthermore, FIFA also wants brokers to get a diploma to get a license. To do this, they have to pass an exam. At the end of April, it was announced that almost half of the candidates had failed. Through the exam, FIFA aims to “raise professional standards for agents and ensure the best possible representation of players and other participants in the game”.

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