LEGAL PROTECTION IN SPORTS TRANSFERS: A STRATEGIC NECESSITY
July 29, 2025
“In the world of professional sports, a vague and poorly drafted contract is a greater threat than a failed transfer.”
This principle drives us, as a law firm, to emphasize the essential importance of legal protection throughout the entire process of athlete transfers. This process represents a crucial moment in an athlete’s career, yet the legal complexity it carries is often underestimated. Beyond the sporting dynamics and public enthusiasm, a deep legal assessment is required to safeguard the interests of all parties involved.
This article outlines why the early engagement of a law firm is a strategic necessity for all stakeholders.
Based on our experience at “Vokshi & Lata,” we have observed that athletes, particularly when transferring from Kosovo to other countries, tend to rush into signing contracts, viewing the opportunity as life-changing, without first consulting a legal expert.
Negotiating and reviewing a contract through legal counsel demonstrates professionalism and managerial competence, adding value to both the athlete and their support team. Rather than being perceived negatively, such involvement is highly regarded by any major club, as it shows the athlete is serious about their career and well-advised.
Sports transfer contracts are fundamental legal instruments that govern not only financial arrangements but also the key aspects of an athlete’s career and reputation. A well-drafted and professionally negotiated contract is a long-term investment that ensures financial stability and fairness in the professional relationship between the athlete and the club. In practice, these agreements are intertwined with the regulations of international federations such as FIFA, UEFA, and FIBA, as well as domestic legislation. The lack of thorough legal review and precise drafting can lead to severe legal and financial consequences for athletes, clubs, and agents.
A typical sports contract regulates a number of essential elements. These include financial components such as base salary and performance bonuses (both individual and team-based), along with other compensation structures. It is also vital to clearly define the duration of the agreement, options for extension, and conditions for termination. The contracts should also include transfer and exit clauses, such as “release clauses” and rules regarding future transfers.
Mutual obligations for training, match appearances, and professional conduct are also integral parts of these agreements, as is the regulation of the use of image rights, name, and personal brand of the athlete. Finally, but no less important, are the clear clauses regarding dispute resolution mechanisms, often through arbitration, which are essential to avoid long and costly legal battles.
The involvement of a law firm specialized in sports law, from the early stages of negotiations, ensures that every clause is drafted with maximum transparency, legal precision, and strict compliance with both international and national regulations.
This proactive approach strategically addresses the risk of future disputes and strengthens the legal integrity of the agreement, ensuring the long-term protection of the interests of all parties involved.
An athlete’s career is often short and intense, which is why every contractual commitment must be drafted with utmost care. Every element of the agreement requires in-depth legal analysis, as without this professional filter, there is a real risk of misinterpretations and clauses that conflict with legal frameworks. In addition to the main contract, supplementary documents such as annexes, internal club regulations, or agreements on specific bonuses are often neglected. These too must be reviewed with the same level of scrutiny, as they can carry significant legal implications.
In the absence of clear and well-defined clauses, disputes can escalate into long and costly arbitration proceedings or endless court battles.
Effective legal representation before international bodies (such as CAS, BAT) or domestic authorities is essential in the event of contractual breaches. The case of former French midfielder Lassana Diarra against Lokomotiv Moscow serves as a clear illustration of the importance of legal expertise in sports contracts.
In 2013, Diarra signed a four-year contract. A year later, following a disagreement with the coach and a refusal to accept a pay cut, Diarra left the club. Lokomotiv turned to FIFA’s Dispute Resolution Chamber (DRC), seeking €20 million in damages for breach of contract. Although the DRC initially ruled in favor of the club, the case was appealed to the Court of Arbitration for Sport (CAS). CAS overturned the decision in part, reducing the fine to €10.5 million and imposing a 15-month suspension from professional activity on Diarra.
The implications of this decision were initially severe for the player’s career. The dispute ultimately reached the Court of Justice of the European Union (CJEU), which on October 4, 2024, ruled that Article 17 of the FIFA Regulations on the Status and Transfer of Players violated the principle of free movement of workers. This landmark decision not only delivered justice to Diarra but also compelled FIFA to review and improve its compensation mechanisms for unilateral contract terminations between players and clubs.
The Diarra case clearly illustrates the strategic need for specialized legal protection to prevent career-disrupting consequences.
Thorough legal preparation and review of athlete transfer contracts are essential components of effective risk management in the sports industry. A carefully analyzed and professionally drafted contract serves as a vital strategic legal safeguard for both athletes and clubs, allowing them to focus on sporting achievements without being hindered by legal uncertainties or unforeseen disputes.
Consultation with experts, including legal professionals, ensures that every step of the transfer process aligns with the highest standards, laying a solid foundation for long-term success, both for the athletes and the professional team.
Author: Diart Gashi