EU Court Ruling Challenges Sports Arbitration Exclusivity

The European Union's top court has opened the door for international sports arbitration decisions, such as those made by FIFA and the International Olympic Committee, to be challenged outside Switzerland. This marks a significant shift in the current system binding athletes and organizations to Swiss rulings.

A statement from the European Court of Justice (ECJ) emphasized that EU member states' tribunals should have the power to review these awards for alignment with the fundamental principles of EU law. This allows national courts to examine CAS rulings, ensuring they conform to EU public policy.

The decision stems from a decade-long legal battle involving Belgian soccer club RFC Seraing and investment fund Doyen Sports, questioning the legality of FIFA's third-party ownership rules. Although the ECJ did not rule directly on such ownership, the implications challenge the status quo of binding sports arbitrations.

(With inputs from agencies.)