NATIONAL REGULATIONS OF FOOTBALL AGENTS

On October 4th, the CBF published the “National Regulation of Football Agents (RNAF)” and the model aims to adapt to that designed by FIFA, published in its regulations on December 16th, 2022. In this way, the activities carried out by football agents gain a global dimension and are now controlled by the highest football entity.

The first major change is that, now, the agent license will only be granted to individuals, but it will still be possible to represent the company for which they work, thus being responsible for any conduct of the agency and/or its employees, representatives or subcontractors that violates current regulations. In other words, intermediation contracts may be signed between an individual and a company, as long as it is represented by the licensed person.

To become a football agent it is now necessary to take and pass the test prepared by FIFA, the next one in May 2024. It can be taken in English, Spanish or French, is one hour long and you need to get around 75 correct. % of the test. The representation is signed with the signing of the contract, which can only be carried out after the agent advises the client that they need legal support to analyze the document.

Regulations issued by FIFA and CBF changed the term limit of representation contracts, allowing only two years, with automatic renewal prohibited. Representation contracts signed with the club have no validity limit.

Another change that the regulations brought is regarding dual representation. Now it is only permitted between the individual and the contracting club, requiring written consent from both parties. In this area, the commissioning of agents generated great controversy, as previously only a minimum percentage of 3% was expected. Now limiting to 5% in the case of athletes with annual remuneration less than or equal to 200 thousand dollars and 3% for athletes with annual remuneration greater than 200 thousand dollars. This 3% percentage is only on the excess of USD 200,000.00. This way, if the athlete receives, for example, USD 300,000.00, the agent will receive 5% on USD200,000.00 and 3% on the excess 100 thousand.

In cases of double representation, the maximum commission limit is 10% if the athlete's annual salary is less than USD200,000.00 and 6% if it is higher. Even in cases of representation of the transferring club, the limit is 10% of the transfer value.

Let's look at the example table about the commissioning possibilities:

As established by article 35 of the RNAF, the provision of services to an underage football player is only permitted from 6 months before the date on which he can conclude his first professional contract, that is, 15 years and 6 months here in the Brazil. To represent an underage athlete, it is essential that the licensed agent successfully completes the courses for acting training with underage players designated by FIFA.

In this sense, the RNAF, contrary to what was stated in the National Intermediary Regulations, provides for the possibility of receiving commissions in representation contracts signed within the parameters of the previous paragraph, as long as the athlete already has a professional contract.

For conflict resolution, the CNRD remains the competent body to resolve national demands involving agents and their clients (articles 70 to 76 of the RNAF). Finally, the regulation provides transitional rules for contracts already signed that have not followed current standards. Contracts signed between 12/16/22 and 09/30/2023 are valid if they were registered in the CBF system and their validity expires on 07/01/2024.

Now, contracts signed before 12/16/2022 remain valid for the duration stipulated in the document as long as they have also been registered in the system. After 06/30/2024, only contracts that meet the requirements of the new regulations (RNAF and FFAR) will be recognized.

Therefore, we can analyze that in this transitional rule, intermediaries will be able to perform their role as intermediaries until 06/30/2024, after which it will be essential to pass the FIFA license exam. The competence of FIFA to regulate such issues involving agents around the world is still under discussion by the various courts in the countries. We continue to monitor future decisions.

Suttile & Vaciski Sports Law is available to clarify doubts regarding this matter and any other related to the sports area.