Explanatory Note on Annexe 7 to the Regulations on the Status and Transfer of Players

Investment Rating - The report does not explicitly provide an investment rating for the industry Core Insights - FIFA has implemented temporary regulatory measures in response to the ongoing war in Ukraine, specifically through Annexe 7 to the Regulations on the Status and Transfer of Players (RSTP) [2][4] - The updated Annexe 7 (June 2024 edition) aims to provide legal clarity and support for players, coaches, and clubs affected by the war, extending the regulatory framework until 30 June 2025 [4][14] - The measures are designed to balance the interests of all stakeholders while preventing potential abuses of the regulations [5][9] Summary by Sections Scope of Application - Annexe 7 applies to international employment contracts between players or coaches and clubs affiliated with the Ukrainian Association of Football (UAF) or the Football Union of Russia (FUR) [7][8] - Certain limitations are in place to prevent abuses, such as not applying to contracts of players or coaches registered with UAF or FUR after 21 May 2023 [9][10] Performance of Football Contracts - Players or coaches can unilaterally suspend their contracts until 30 June 2025, provided they inform the club in writing by 1 July 2024 [12][15] - A valid suspension means players or coaches are considered "out of contract" and can sign with new clubs without facing penalties [19][20] Registration Matters - Players previously registered with UAF or FUR can register with a maximum of four clubs during one season and play for three different clubs [21][23] - FIFA may authorize immediate registration if an ITC request is rejected by UAF or FUR [22][23] Protection of Minors - Minors fleeing Ukraine due to the conflict are exempt from the general prohibition on international transfers before the age of 18 [26][27] Training Compensation - Training compensation is payable by new clubs for players registered for the first time as professionals before their 23rd birthday, under certain conditions [28][30] - No training compensation is owed by clubs not affiliated with UAF or FUR for players registered after leaving Ukraine or Russia [33] Further Limitations - Players whose contracts are suspended cannot be transferred against payment or sign new contracts with clubs affiliated to UAF or FUR during the suspension [34][35]