In <span class="news-text_italic-underline">Royal Football Club Seraing v Fédération Internationale de Football Association and others (Case C-600/23) EU:C:2025:617</span>, the Court of Justice of the European Union (“<span class="news-text_medium">CJEU</span>”) considered the status of arbitral awards issued by the Court of Arbitration for Sport (“<span class="news-text_medium">CAS</span>”). The reference arose from proceedings in Belgium, where a football club had challenged FIFA rules prohibiting third-party ownership of a player’s economic rights. A CAS tribunal seated in Switzerland upheld the rules and the Belgian courts declined jurisdiction on the basis that the award had res judicata effect under national law.
The CJEU held that EU law precludes the application of national rules of res judicata to a CAS award where the award has been reviewed solely by a non-EU court. The court emphasised that, under Article 19(1) of the Treaty on European Union, national courts must be able to provide remedies that ensure effective legal protection in areas governed by EU law. Where national provisions prevent courts from undertaking such review, they must be disapplied.
While the CJEU acknowledged arbitral mechanisms can legitimately limit the scope of judicial review, such limits are only acceptable where they remain compatible with the EU’s judicial architecture and safeguard compliance with EU public policy. In this case, the Belgian court’s reliance on res judicata deprived the parties of an effective review of whether the CAS award complied with EU law.
The ruling extends to provisions attributing binding authority between parties and probative value against third parties. The CJEU also observed that, while CAS awards are recognised under the New York Convention, recognition is subject to public policy review. For EU member states, public policy includes consistency with EU law, meaning courts cannot decline jurisdiction if doing so prevents enforcement of EU law protections.
This decision reinforces the principle that arbitral awards impacting economic activities within the EU must remain open to review by EU member state courts to ensure compliance with fundamental EU legal standards.
