FanPost

MLS to start claiming (and paying) training compensation and solidarity payments for international transfers

Today, Major League Soccer announced that it would henceforth join the FIFA system of training compensation and solidarity payments for international transfers. The league also published a FAQ on the new policy. Essentially:

* If a player plays for a MLS youth academy and signs his first professional contract abroad, MLS will now be filing claims against the signing club for training compensation. And likewise, if such a player is transferred subsequently outside the US and Canada, MLS will seek solidarity payments as per FIFA rules.

* MLS will also pay such payments to foreign clubs as specified by FIFA rules when it signs foreign players.

* This policy only applies to foreign transfers, not to domestic signings. Note that for purposes of this, the US and Canada are considered a single "country"--if a player from the FC Dallas academy signs a pro contract with the Canadian Premier League, training compensation will not be sought; nor will MLS reimburse domestic youth clubs. According the the FAQ, FIFA policy only concerns international transfers. and domestic TC/SP is something that US Soccer would have to require.

* MLS will not, however, attempt to claim the share of any TC/SP that would belong to any domestic youth club should one of their players be signed/transferred, nor attempt to prevent amateur youth clubs from doing so.

This is, certainly, a step in the right direction--but the league is still behaving in the domestic market in a way more similar to other domestic pro leagues (basketball, football) rather than fully joining the soccer ecosystem. Not compensating amateur youth clubs when their players are signed remains a big deal, and hiding behind US Soccer is dubious. (Assuming they are conceding that US Soccer has the power to mandate domest TC/SP, who expects the federation to do so?) Many MLS franchise have frosty relationships with the local youth soccer scenes in their cities, who often resent "poaching" of their players without so much as a nod of appreciation. TC/SP might change attitudes on both sides--one key to improving the player development ecosystem is a grassroots that is looking to identify and move up promising kids, rather than one that is indifferent or hostile to the professional ranks.

At a minimum, this should (hopefully) end embarrassing situations like what happened with Andrew Gutman, who was signed by Celtic from the Chicago Fire academy, and then loaned to Nashville SC, who has been awarded an MLS expansion franchise (and will join the league next season)--a loan that had to be rescinded when MLS objected that the move violated Chicago's homegrown player rights. The FAQ doesn't answer this question, unfortunately.

Needless to say, the players' union is not happy with this announcement, though has not threatened any legal action. And several youth clubs have pending claims before FIFA's Dispute Resolution Committee. Two claims concerning Clint Dempsey and Michael Bradley were dismissed due to inadequate recordkeeping, but a case concerning Deandre Yedlin (filed by Seattle youth club Crossfire Premier, claiming a solidarity payment for when Yedlin was sold by the Seattle Sounders to Newcastle). Florida amateur youth club Weston FC also has filed a dispute concerning Alejandro Bedoya, claiming a solidarity payment when the US international was sold by Nantes to the Philadelphia Union. And Oregon club Westside Timbers (disclosure: I have kids who play there) is seeking training compensation from Dutch side FC Utrecht for Rubio Rubin, who was signed out of Westside upon turning 18. A decision in the Yedlin dispute is expected soon, the other two cases appear to be further back in the queue.

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