PSR and FFP have reduced the excitement of transfer windows of old; clubs are financially limited in what they can do in the market. However, finances aside, I always found it interesting the nuance of a football transfer, and the legal issues that come up. So below I have listed out a few of the legal issues of a football transfer, that the odd person might not know about.
Image Rights clauses – these clauses are often crucial as the clubs need to accumulate commercial revenue from their players and maximise the use of them in the media – most contracts will refer to the clubs sponsors and rights relating to the use of these players rights in relation to growing commercial revenue.
Issues can arise if the player in their personal capacity has sponsorship connections that pre-exist, that may even contravene the existing sponsors at the club. Some clubs could pigeonhole certain services and ensure that these do not prevent the player from doing other commitments.
Grounds for termination or reduction in fees – European qualification or relegation can often impact the level of wages that a player can expect to obtain. A player’s agent would look to minimise grounds in which their player’s contract could be terminated or amended. Termination often relates to custodial sentences rather than sanctions.
Buy out and release clauses - A buy-out clause states the amount a player must pay to his club in order to terminate the contract, but a release clause, is where a club effectively agrees to sell the player when an offer matches the ‘release clause’. Some players such as Gavi at Barcelona, have £1 billion as a release clause. It can be used as a negotiating tactic to warn off any other clubs or to jack up the price in negotiations.
Foreign eligibility – there can be a quota for foreign players and additional limits enforced by nations before joining certain clubs.
Bonuses and incentives and performance-based pay – this can be an important facet of the negotiation – in addition to salary, players can be incentivised by additional bonuses based on the league’s position, the number of goals and assists, clean sheets and loyalty bonuses depending on how long a player has been at a club.