First Judicial Decisions Applying the National Training Compensation Law and Newly Issued AFA Regulations

First Judicial Decisions Applying the National Training Compensation Law and Newly Issued AFA Regulations
On 18 November 2015, the Law no. 27.211 was passed by the Argentine Parliament, establishing at national level the right to training compensation to any sporting club. The law applies to every sport, collective or individual, and rewards the training offered to young athletes from the age of 9 to 18. Many clubs, in particular grassroots football clubs started legal procedures for the application of the Law against first division clubs. In the recent months two first instance decisions were issued almost at the same time, both admitting the claims of small clubs against River Plate and Estudiantes de la Plata.

The Law combines the two known FIFA mechanisms, the solidarity contribution and the training compensation. The amount to be paid is 5% of the gross value of the entire contract, or 5% of the gross value of the transfer, termination agreement or buy-out payment depending on the event that triggers the compensation (a signing of a new contract, a transfer...

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