Kings Chambers competition law barrister, Dr Beverley Williamson, was approached for comment by Global Competition Review (GCR) in respect of possible legal action arising from FIFA’s controversial proposal to transfer the commercial operations associated with future World Cups into a new subsidiary, in which minority stakes would be sold to outside investors.
Whilst the proposal was quickly withdrawn following widespread condemnation by member associations across the world, it did result in UEFA informing FIFA that the European body is “actively considering legal action, arbitration, and/or regulatory complaints … arising out of and in connection with the FFE (FIFA Forward Enterprise) plan proposed by FIFA and all related matters.”
GCR approached both Beverley and Stijn Huijts, of competition law specialist firm Geradin Partners, as experts in the field of sports competition law, for their comments on the possible competition law aspects of any potential litigation.
Beverley considers that there may be at least a reasonable prospect of an abuse-of-dominance claim, with a potential theory of harm being that FIFA was attempting to use a presumably dominant position in the market for organising and commercialising elite international football competitions to favour its own integrated commercial vehicle and that, in so doing, it could have the effect of distorting competition in downstream markets.
Any litigation might also rely on the conflict arising from FIFA’s dual role as both regulator and commercial organiser, drawing on the principles identified by the Court of Justice in the European Super League judgment.
The full article is available to Global Competition Review subscribers here.
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