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11. Ambiguity in the guidelines of the ceiling of the clubs’ contract


According to the sports reporter of Tasnim news agency, the guidelines governing the contracts of clubs with players, staff and other people participating in the competitions of the 1402-1403 season were announced in June of this year. This instruction is better known as the “budget cap law” among football people.

While the league organization says that this notification was written in the working group with the presence of legal and economic advisors and relevant institutions, there are many ambiguities and contradictions in it, which will be addressed in the following.

1- The first ambiguity starts from paragraph number one of the notification. The announcement, with ambiguous sentences, considers the signing of the contract dependent on the success of the medical, academic, duty system and educational conditions of the players; But previously, in paragraph 6 of article 19 of the country’s football transfer regulations, the validity of a contract does not depend on the success of the medical test and work permit. Meanwhile, the recommendation instruction cannot conflict with the regulations approved by the Football Federation Assembly. Therefore, priority is given to the country’s football transfer regulations.

*Paragraph one of the notification of the instructions governing the contracts of the clubs with players, staff and other people present in the competitions of the season 1402-1403

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* Clause 6, Article 19, of the country’s football transfer regulations

With all these cases, let’s assume that there is no foreigner in the entire paragraph 6 of article 19 in the football rules of the country; However, paragraph 14 of article 18 of the FIFA regulations does not consider the conclusion of the contract to be dependent on the success of the medical test, etc. Therefore, the first paragraph of the notification of the recommendation instruction cannot be implemented without the vote of the assembly and the permission of FIFA.

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* Paragraph 4 of Article 18 of FIFA regulations

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*Part a, paragraph 3, article one RSTP

2- In clauses 16 and 17 of the notified instructions, the terms of termination of the contract are mentioned, but the condition of not entering into the nature of the termination is immediately stated. This notification, which refuses to enter into the content and nature, is itself a factor for increasing complaints and hearings. This is while the league organization says that a working group is trying to correct the legal issues, so why should it not explicitly and clearly mention the terms of the termination of the contract? The multiplicity of hearings, in addition to the waste of time and budget of the parties, adds to the fan tensions and margins created until the time of the meeting.

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3- Paragraphs 16, 17 and 20 specify the terms of termination for head coaches and write “All head coaches working in the Premier League and League One, in case of termination of their contract with the club, will not be allowed to work in that category of competitions, with any title, until the end of the season.” ». Now let’s assume that the head coach terminated his contract due to not receiving demands from a club that did not have good financial conditions, why and why can’t this head coach choose a new team? What is the justification behind this issue? Football Federation, Iran Football League Organization,

4- The drafters of the law in the media and television programs have repeatedly mentioned the reluctance of players to sign a contract for more than one year. Therefore, the spirit of the mentioned instruction should lead the player or people to the contract in the second year, but such a case is not seen in the notification and no incentive is considered for this.

5- Clause 27 of the directive talks about the conclusion of two-year contracts and the condition of separation in case of collapse. According to the law, the player in question must pay 50% of the original contract to cancel. Which player would be willing to sign a two-year contract under these conditions? Doesn’t this actually affect the stability of the composition in average or weaker teams? Therefore, the law not only does not help to sign two-year contracts, but also encourages players to sign one-year contracts.

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6- The main part of this announcement is the ceiling of the contract and the punishment of the wrongdoers. However, in the way of implementing the said instructions, the wrong clubs will be dealt with and decided based on the regulations that will be mentioned later. Is it possible for a working group composed of different experts to deal with such an issue and approve a guideline that the punishment of the violators and wrongdoers is not clear?

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7- In paragraph number four of the guidelines, it is discussed about the transfer agent or lawyer who has an official contract; However, it has been said about unofficial and non-contracted brokers that it should be discussed in the competent bodies of the federation. Writing the law in the second part of this story can be a support for unlicensed brokers.

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8- The budget ceiling of Premier League clubs is set at 250 billion, which can be increased up to 300 billion tomans by implementing some notes. For the teams of the first division league, however, a budget ceiling of up to 35 billion tomans has been considered. According to these cases, the newly promoted Premier League club will become the first choice for relegation because the Premier League club spends money to strengthen itself according to the law at least in two seasons (250+250); But the League One club, which has just reached the first level of football, was allowed to spend only 35 billion last year and can spend 250 billion in the new year.

If we expect an equal output from the two teams, it is a misplaced expectation! If this difference in the payment of two teams is formed in a natural way, there is no problem with it, but the legal requirement of the politician violates the policy of neutrality! The noticeable difference between the budget ceiling of Premier League and League One clubs is not the only problem with this issue!

In another case, the League One club that was able to get the permission to advance to the Premier League was allowed to attract 10 quotas of the Premier League and naturally, the team in question will keep some of its players. How do we expect players with a value of nearly 5 billion, including the increase in value due to promotion (League of Ones), to sympathize with their teammate of nearly 20 billion? How can the manager and coach manage the huge price difference between these players? In fact, these cases fuel the increase of disciplinary cases within the team and the lack of cohesion of the newly promoted league teams.

10- According to the circular prohibiting the signing of dollar contracts with foreign athletes and coaches by the order of the first vice president, this is possible through regional currencies. Let’s assume that a team with a total contract of riyal and foreign currency contracts up to the budget of 250 billion. What is the amount and basis for calculating the contract ceiling after the fluctuation of the currency price? Will another team that has complied with the law because of the Riyal contract have equal competition with the team that has a foreign currency contract?

11- Suppose a club paid the contract amount through digital currency. With what means can the league organization or the federation monitor this issue and investigate the compliance with the contract ceiling?

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