FIFA Circular 1867: Enforcement of settlement agreements by the FIFA Disciplinary Committee

FIFA Circular 1867: Enforcement of settlement agreements by the FIFA Disciplinary Committee

Through Circular 1867, issued on 07.12.2023, FIFA provided clarifications about to the application of art. 21 para. 9 FIFA DC.

Art. 21 para. 9 FIFA Disciplinary Code, as amended in 2023, stipulates that:

The Disciplinary Committee shall be competent to decide on cases related to the failure to respect settlement agreements concluded in the context of disciplinary proceedings opened against a debtor with respect to a final and binding financial decision issued by a body, a committee, a subsidiary or an instance of FIFA or by CAS.

Therewith, FIFA clarifies that, for the Disciplinary Committee to be competent to enforce a settlement agreement, this settlement agreement shall be directly linked to a final and binding financial decision issued by FIFA or CAS.

Settlement Agreements signed after a final decision of the FIFA Football Tribunal or a CAS Award

FIFA states that primarily and based on the wording of art. 21 para. 9 FIFA DC, this direct connection would exist only if the settlement agreement was signed following the initiation of disciplinary proceedings in relation to non-compliance with a financial decision passed by FIFA or CAS.

Nevertheless, through Circular 1867, FIFA clarifies that art. 21 para. 9 FIFA DC shall also cover agreements concluded after any decision passed by a body, a committee, a subsidiary or an instance of FIFA or by CAS.

For instance, if after the issuance of a FIFA DRC decision, the parties sign a settlement agreement, the FIFA DC may enforce the settlement agreement directly and the creditor shall not need to lodge a new claim before the FIFA DRC.

Furthermore, it is emphasized that art. 21 par. 9 FIFA DC applies to settlement agreements concluded after 01.02.2023.

The Circular is available in the link below:

https://digitalhub.fifa.com/m/1857815b4005d92f/original/Circular-1867_Competence-of-the-Disciplinary-Committee-on-Settlement-Agreements_EN.pdf