Johan Lindholm
The Problem With Salary Caps Under European Union Law:
The Case Against Financial Fair Play
Texas Review of Entertainment and Sports Law, Vol. 12.2, pp. 189-213, 2010
TABLE OF CONTENTS
I. INTRODUCING SALARY CAPS TO EUROPE
II. THE FINANCIAL FAIR PLAY RULES
A. Form and Scope
B. Requirements
C. Purpose
III. A RESTRICTION OF COMPETITION AND MOVEMENT
A. Applying E.U. Law to Sport
B. Financial Fair Play as an Anticompetitive Decision
C. Financial Fair Play as Abuse of a Dominant Position
D. Financial Fair Play as Obstacle to Free Movement
IV. IS FAIR PLAY JUSTIFIED?
A. Justifiable Restrictions Under E.U. Law
B. Existence of a Legitimate Aim
C. Empirical Support for the Overinvestment Theory
D. Theoretical Support for the Overinvestment Theory
E. Beyond Financial Fair Play
1. Reducing Club Compensation
2. Revenue Sharing
3. Ban on Cash Trades
4. Absolute Salary Cap or Luxury Tax
F. Justification Under Article 101(3) TFEU
V. SUMMARY AND CONCLUSION