Player transfers in professional football - German employment law aspects
As the new Bundesliga season is about to begin, this article lays down the German employment law aspects that typically shape player transfers.
The Steps
Every transfer is different, but the general gist of a transfer consists of the following:
- Contract negotiations between the player, the potential new club and the current club
- (Oral) Agreement and concluding the following agreements:
- Old and new club sign a transfer agreement
- Old club and player sign an agreement terminating the employment
- New club and player sign an employment agreement
- Licence Agreement between player and the German Football League (“DFL Deutsche Fußball Liga e.V. – DFL”
Additionally, the successful completion of a transfer under is subject to the submission of the required documents, such as the new employment contract and the sports fitness certificate issued after the medical check, to the DFL in due time, i.e., by no later than 6:00 p.m. on the last day of the transfer period (cf. § 4 No. 2 DFL Licensing Regulations for Players ("DFL Lizenzordnung Spieler - LOS")).
Stage 1: Player and New Club
If a player is out of contract or the - typically fixed-term - employment contract expires within the next six months (cf. § 5 no. 1 sub-section 6 LOS), the player and the new club can conclude an employment contract without the consent of the "old" club. A transfer agreement is not required in this case.
If a club is...
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