A landmark ruling by the European Union’s top court has upended the legal framework governing international sports disputes, empowering athletes and clubs to challenge decisions by global governing bodies outside Switzerland. The European Court of Justice (ECJ) declared on Friday that rulings by the Court of Arbitration for Sport (CAS)—long considered the final authority in sports-related cases—must now be subject to judicial review across EU member states. This decision weakens Switzerland’s decades-long dominance as the legal hub of global sports and introduces a new era of accountability for organizations like FIFA and the International Olympic Committee (IOC).
For over 40 years, CAS, headquartered in Lausanne, Switzerland, has resolved disputes ranging from doping sanctions to player transfers, with appeals largely restricted to Swiss courts. Critics argued this system disproportionately favored sports federations by limiting athletes’ ability to contest rulings. The ECJ’s verdict mandates that EU national courts can now scrutinize CAS decisions to ensure compliance with EU law, including antitrust regulations and fundamental rights. “The awards made by the CAS must be amenable to effective judicial review,” the court stated, emphasizing the need for “in-depth” examinations of fairness.
The ruling stems from a case brought by Belgian soccer club RFC Seraing and Maltese investment firm Doyen Sports, who challenged FIFA’s 2015 ban on third-party ownership (TPO) of player transfer rights. TPO allows external investors to hold economic stakes in athletes, a practice FIFA claimed undermined competitive balance. While the ECJ did not directly rule on TPO’s legality, its decision erodes the legal immunity previously shielding FIFA and similar bodies from external challenges.
Approximately 950 cases pass through CAS annually, many involving football. FIFA alone contributed 2.5 million Swiss francs ($2.75 million) to CAS in 2023, reflecting its financial stake in the system. Legal experts suggest the ECJ’s move could embolden athletes, clubs, and agents to contest sanctions or transfer bans in their home countries rather than navigating Switzerland’s restrictive appeals process. This shift may also complicate enforcement of decisions by FIFA and UEFA, which have faced mounting legal setbacks.
The ECJ has now ruled against soccer’s governing bodies three times in recent years, including its 2023 rejection of efforts to block the European Super League and a 2018 decision siding with French midfielder Lassana Diarra in a contract dispute. While FIFA and CAS have yet to publicly respond, the ruling signals a broader realignment of power in sports governance. Switzerland remains home to key institutions, but its role as the sole arbiter of justice in global sports has been irreversibly diminished.
The long-term implications remain unclear, but the verdict underscores the EU’s growing influence over international sports regulation. For European athletes and clubs, it opens avenues to challenge decisions once seen as immutable—a shift that may redefine fairness and accountability in the arena of global sports.