Asser International Sports Law Blog

Our International Sports Law Diary
The Asser International Sports Law Centre is part of the T.M.C. Asser Instituut

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Asser International Sports Law Blog | International and European Sports Law – Monthly Report – April 2016. By Marine Montejo

Asser International Sports Law Blog

Our International Sports Law Diary
The Asser International Sports Law Centre is part of the T.M.C. Asser Instituut

International and European Sports Law – Monthly Report – April 2016. By Marine Montejo

Editor’s note: This report compiles all relevant news, events and materials on International and European Sports Law based on the daily coverage provided on our twitter feed @Sportslaw_asser. You are invited to complete this survey via the comments section below, feel free to add links to important cases, documents and articles we might have overlooked.  


The Headlines

This month saw the conflict between FIBA Europe and the Euroleague (more precisely its private club-supported organizing body, Euroleague Commercial Assets or ‘ECA’) becoming further entrenched. This dispute commenced with FIBA creating a rival Basketball Champions League, starting from the 2016-2017 season with the hope to reinstate their hold over the organization of European championships. The ECA, a private body that oversees the Euroleague and Eurocup, not only decided to maintain its competitions but also announced it would reduce them to a closed, franchise-based league following a joint-venture with IMG. In retaliation, FIBA Europe suspended fourteen federations of its competition (with the support of FIBA) due to their support for the Euroleague project. More importantly, this suspension could concern the 2016 Rio Olympics and the Spanish title-holder whose federation backs up the ECA. In February 2016, the ECA announced it had filed a complaint before the European Commission against FIBA and FIBA Europe as a consequence of an alleged abuse of their dominant position in forcing national federations to rescind their participation in the Euroleague competitions. In response, FIBA filed a complaint in April against the ECA before the same European Commission for the same breach of EU competition law provisions. DG Competition is expected to decide on the opening of both cases unless the ongoing negotiations between both parties resolves these issues first.

Sport has placed a lot of emphasis on EU competition law in the past weeks. In a similar situation to basketball, the FEI is fighting the emergence of the successful Longines Global Champions League (‘LGCL’), a private worldwide horse jumping competition. The Belgian competition authority already granted interim measures to the LGCL in a dispute arising when the FEI tried to suspend riders and horses that were participating in the unsanctioned league from its own competitions. While still waiting for the final decision in the case, the FEI recently suspended two of its officials for six months following the first leg of the LGCL in Miami.

On the media selling rights front, the German competition authority has decided to impose the “no single buyer” obligation starting in 2017. This clause was first imposed by the European Commission as a remedy against the risk of monopolization in the Premier League selling media rights case. The rule is designed to ensure that more than one TV broadcaster will win all live broadcasting rights, changing the status quo in Germany which had previously awarded all broadcasting rights to Sky Deutschland. The decision was made in order to ensure that innovation on the Internet-based offering is not at risk.

The Greek government is involved in a bitter struggle with FIFA over its decision to cancel its national cup due to the crowd violence witnessed this season. FIFA provided the Greek authorities with a new deadline to change their decision, otherwise the national federation will face a suspension. An agreement between both parties seems to have been found.


Cases law

The very long awaited Hillsborough stadium disaster decision was delivered on the 26th of April 2016. The jury in the inquest ruled that 96 persons were unlawfully killed 27 years ago and that the behaviour of Liverpool fans did not contribute to the disaster. The jury also said that the police’s planning for the match and actions on the day did contribute to the tragedy. The prosecutor now has to decide whether criminal charges should be brought against individuals or organizations.

The UK Information Tribunal ordered the London Legacy Development Corporation (‘LLDC’), which managed the London Olympic Stadium, to publish the deal it has with the West Ham football club concerning the use of the stadium. The LLDC was fighting a freedom of information campaign that argued there was not enough transparency concerning this contract. West Ham will move to the Olympic Stadium at the end of the season.

The Paris Court of Appeal decided that it was not necessary to refer for a preliminary ruling to the European Union Court of Justice and rejected the appeal relating to alleged violations of EU law by the now revoked FIFA Regulations on the Status and Transfer of Player concerning the players’ agents profession. This decision is probably the final point of the never-ending Piau case. FIFA first modified its provisions for players’ agents after the European Commission opened a case for an alleged breach of EU competition law. Mr. Piau contested the European Commission’s decision to close the investigation but both of its appeals at the European Court of Justice were rejected (see here and here).

The British Tax and Chancery Chamber of the Upper Tribunal referred a question for a preliminary ruling to the Court of Justice of the European Union relating to tax law. The CJEU will have to tackle the definition of sport in deciding whether bridge is a sport (Case C-90/16).


Official Documents and Press Releases

In the news

Football

Formula 1

Athletics

Tennis

Olympics

Others


Academic materials


Upcoming Events May and June


 


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Asser International Sports Law Blog | Athletes = Workers! Spanish Supreme Court grants labour rights to athletes

Asser International Sports Law Blog

Our International Sports Law Diary
The Asser International Sports Law Centre is part of the T.M.C. Asser Instituut

Athletes = Workers! Spanish Supreme Court grants labour rights to athletes

Nearly twenty years after the European Court of Justice declared in the Bosman case that all professional athletes within the EU were given the right to a free transfer at the end of their contracts, the Spanish Tribunal Supremo[1] provided a judgment on 26 March 2014 that will heighten a new debate on the rights of professional athletes once their contract expires.

This case originates in a dispute between the Spanish Association of Professional Cycling Teams (Asociación de Equipos de Ciclismo Profesional) and the Spanish Association for Professional Cyclists (Asociación de Ciclistas Profesionales). The two parties had concluded a collective agreement for professional cycling in 2010. Even though it is common practice that cyclists would never sign employment contracts for an indefinite period of time, nor would cycling teams compensate their cyclists merely for contract expiration, article 15(2) of the agreement established that, at the end of the contract, the team is obliged to compensate the cyclist with the amount that is due to him based on the employment contract[2].

On 14 May 2012 the Association of Professional Cycling Teams, as applicant, requested from the Spanish Audiencia Nacional to pronounce itself on the correct interpretation of article 15.2 of the collective agreement, taking into account the Real Decreto 1006/1985 on the special employment relationship of professional athletes and article 49.1.c) of the Workers Statute (Disposición Transitoria Decimotercera del Estatuto de los Trabajadores). According to article 49.1.c) of the Workers Statute, after expiration of the contract, a worker shall have the right to receive a compensation of an amount equal to 12 days of salary for every year of service. One of the goals of this article was to promote indefinite contracts.

The applicant argued that, due to the nature of contracts of professional athletes, for which the duration is never indefinite, article 49.1.c) is not applicable to professional athletes. By contrast, article 6 of Real Decreto 1006/1985, which states that the duration of sporting contracts are always fix-term contracts, should be used for the interpretation of the collective agreement between the two cyclist associations.

In its judgment of 16 July 2012, the Social Chamber of la Audiencia Nacional[3] confirmed that professional athletes are not to be treated differently than regular employees, and should therefore be compensated at the end of their contract. However, the Audiencia Nacional recognized the specific nature of the employment contracts of professional athletes, whose employment conditions are specifically regulated in Real Decreto 1006/1985. Hence, it declared article 49.1.c) of the Workers Statute inapplicable to professional athletes.

The decision of the Audiencia Nacional being appealed, the Spanish Supreme Court was in turn confronted with the question whether a professional athlete is entitled to the compensation as stipulated in Article 49.1.c of the Workers Statute after expiration of the employment contract. In other words, are the general labour rules regarding the end of the employment contracts also applicable to professional athletes?

The Court answered this question affirmatively, seeing no reason whatsoever for the Workers Statute, including article 49.1.c) not to be equally applicable to professional athletes. Moreover, by applying the Workers Statute, the compensation will become an instrument for the promotion of contract extensions, thereby improving the employment stability of athletes. Lastly, and referring to point 6 of the preamble of Council Directive 1999/70/EC concerning the framework agreement on fixed-term work, the Court argued that indefinite contracts contribute to the quality of life of the affected workers[4], and is therefore in line with the original goals of article 49.1.c) of Workers Statute.

The consequences of this judgment are simple enough: A professional athlete who had a five year contract with a specific club or team for 100,000 Euros a year will, at the end of his contract, receive a compensation of approximately 16,438.36 Euros (100,000 / 365 x 12 x 5), or 16.4% of his yearly salary.

This ruling is an important step forward on the long and tangled road towards the full recognition of professional athletes as true workers deserving the same rights and duties as their peers.


[1] El Tribunal Supremo is the highest court in Spain for all matters not relating to the Spanish Constitution

[2] Article 15(2) …Al finalizar la relación laboral se liquidará el finiquito que contendrá todos los conceptos económicos que regule la legislación vigente.

[3] The Audiencia Nacional is a special and exceptional high court in Spain

[4] Sentencia del Tribunal Supremo de 26 de Marzo de 2014 (CASACION 61/2013), part 7, §1

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