Cheaper access to English Premier League football matches through the use of decoder cards purchased in other member states cannot be prevented as to do so would contravene EU competition law.

The European Court of Justice (ECJ) has been advised by Advocate General (AG) Kokott that exclusive transmission agreements based solely on territory are contrary to the fundamental principles of Community law. 

The opinion of the AG relates to a number of cases taken by the Football Association Premier League (FAPL), which operates the English Football leagues, against pub owners in England screening English games using Greek satellite services.

The pub owners argued that their actions were permitted under rules governing the free movement of goods and services as the Greek decoders, though purchased at a much cheaper price, had been obtained legitimately.

Football transmission rights are currently sold on a country by country basis with the licensee agreeing to prevent the broadcast being available outside its specified area. Because interest in Premier League football is highest in the UK, such rights fetch a far higher price there.  This system was found to be an elimination of the internal market and was “liable to prevent, restrict or distort competition”.

The AG went onto to find that the protection of intellectual property rights does not outweigh the rights of consumers to purchase goods and services wherever they choose.  The FAPL had the right to charge for the service as it owned the distribution rights, however, this right had not been undermined as the Greek decoder cards had been paid for.

The ECJ will make a ruling on the matter later this year.  The opinion, if followed, has the potential to completely overhaul the financial basis of the football business in Europe.

For further information please contact Leo Moore or Marie McGinley of our Technology Department.