New Recognition Principles and Standard Regulations: New Relevant Additions
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FIFA Circular no. 1876 - National Dispute Resolution Chamber
Issued on January 18, 2024, FIFA Circular No. 1876 details several significant regulatory changes operated by the world’s football governing body in relation to the new Principles for the Recognition of National Dispute Resolution Chambers (NDRCs) approved by the FIFA Council. This piece reflects on the major changes and their effect on FIFA's current regulations.
On December 17, 2023, the FIFA Council approved new principles for the Recognition of National Dispute Resolution Chambers, which incorporate the new Standard Regulations for National Dispute Resolution Chambers. Since FIFA Circular No. 1010 of December 20, 2005, first addressed the issue of providing guidelines to FIFA member associations in establishing a national dispute resolution system, the FIFA Regulations on the Status and Transfer of Players (FIFA RSTP) have long recognized that instead of submitting employment-related disputes to FIFA or seeking redress before a national labor or civil court, parties may choose to submit such disputes to a national dispute resolution system, provided that such system meets minimum and fundamental procedural requirements.
In this way, and through Circular No. 1876, dated January 18, 2024, it has published the principles that should govern the constitution and operation of national dispute resolution chambers that are established by a FIFA member federation in order to be recognized by world soccer's governing body. The deadline given by FIFA for the NDRCs already established to adapt to the new regulations is January 1, 2025, which is the deadline for their final implementation and entry into force.
Member associations that already have their own NDRC must submit an official request by June 1, 2024, at the latest, for FIFA to recognize this body if the association in question wishes its NDRC to continue to operate as a fully recognized body in the context of this new regulatory framework.
Main changes and key elements
For almost twenty years, the system remained unchanged. In this context, FIFA Circular No. 1876 details how FIFA has modernized the current NDRC model and regulatory framework. Accordingly, the significant changes operated by world soccer's governing body are as follows:
- A modernization of the standards required for a national dispute resolution system to be recognized by FIFA (Article 2.3 of the Principles of Recognition of NDRCs and its Annex);
- An updated procedure for recognition of an NDRC at the FIFA level (Article 2.3);
- The requirements that FIFA applies to accept the jurisdiction of an NRCD (Article 2.3);
- The process for renewal of recognition of an NRCD (Article 2.4);
- The process for revocation of recognition of an NRCB (Article 2.5);
- The publication of a list of NCDRs that have obtained valid recognition and how long this recognition will be in force;
- The disciplinary instruments to ensure compliance with the proposed regulatory framework;
- Provide a generic sample of applicable provisions that meet the procedural requirements under the Principles for Recognition of NRCDs;
- Clarify any procedural rules; an NCDR must comply with the rules set forth in the NCDR Standard Regulations; and
- Provide clarification on the exact, albeit flexible, regulatory scope and procedural framework an NCDR can operate in.
Review of the Standard Rules of Procedure of the National Chamber for Dispute Resolution
Several provisions of the Regulations give FIFA member associations some freedom to define the exact regulatory or procedural framework of an NDRC to suit their needs and reflect local realities while still complying with the standards described.
In case the member association intends to modify the regulatory framework approved by FIFA or if the 4-year period of recognition granted by FIFA elapses, it must apply for the renewal of such recognition, explicitly mentioning if no changes have been made to a regulatory framework previously approved by FIFA.
In any case, FIFA has the authority and responsibility to continuously assess whether an approved NDRC and its corresponding regulatory framework comply with the Principles of Recognition of the National Dispute Resolution Chamber, referring the matter to the FIFA Disciplinary Committee or, where appropriate, to the independent Ethics Committee.
Suppose FIFA determines that a previously recognized NDRC no longer meets the established requirements. In that case, it may request the relevant member association to make the necessary amendments to its regulatory framework within a specified time. In addition, FIFA may provisionally suspend recognition if a preliminary analysis suggests that the national regulatory framework does not meet the mandatory standards.
Amendments to the RSTP regarding NDRCs
Already from the previous framework, the NDRCs, if they meet a number of specific criteria, can assume jurisdiction instead of FIFA for the situations described in Article 22.1 b) and c) of the RSTP, as we have previously mentioned.
Previously, the jurisdiction clause established that any national body that could respect the principle of fair representation of players/coaches and clubs and adhere to the minimum standards described in FIFA circular No. 1010 of December 20, 2005, to ensure its independence as an entity that guarantees fair proceedings, with FIFA later being responsible for providing evidence that the national body did indeed comply with these requirements.
Now, however, the Principles for the Recognition of the National Dispute Resolution Chamber replace Circular No. 1010 and establish that the NDRC must be officially recognized by FIFA from the outset in order to be included in the jurisdiction clause and thus avoid unnecessary delays in the proceedings on the merits of the case.
Entry into force
Regarding the entry into force of these principles and new regulatory rules, Articles 1 to 3 and 6 to 10 of the Principles for the Recognition of NDRCs will enter into force on February 1, 2024. The remaining provisions will follow a transition period and will be fully implemented on January 1, 2025. Member associations currently managing NRCDs will be required to submit a formal request for recognition of their respective NRCDs no later than June 1, 2024.
Finally, Articles 22.1 b) and c), 26.1 c), 26.4, and 29 of the FIFA RSTP have been amended or introduced and will enter into force on February 1, 2024.
It should be noted that the previous edition of the Standard Regulations for National Dispute Resolution Chambers was published in 2004.
Regulatory Review
For many years now, those who use the FIFA Football Tribunal or an NDRC have had difficulty knowing who is suitable for FIFA and who is not. There was a nebulousness in some cases, and one has had to look at FIFA's own procedures rules, and case law to see who was acceptable and who was not.
If the idea is that NDRCs should progressively replace the FIFA Football Tribunal, those that meet FIFA’s requirements should be published to avoid wasting time. That would be the first of the tasks FIFA must fulfill.
Secondly, experience tells us that even the NDRCs approved by FIFA have shortcomings in their functioning, often because their essential elements, such as independence and parity, are not met.
In our opinion, what FIFA is trying to achieve is not only that NDRCs exist but that it dissociates itself from most of the problems and disputes that may arise, something similar to what happened with the so-called intermediaries (now agents again), who were expelled from FIFA's orbit to be hosted nationally. In the end, either they chose the national judicial route and not an internal chamber of intermediaries or the Court of Arbitration for Sport.
These could also be the routes that the clubs and players would take instead of going to an NDRC, even if FIFA has given it the go-ahead.
We believe that one solution to the problem of NDRC’s credibility would be for the complaining party to be able to choose to go to the NDRC or FIFA’s Football Tribunal.
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