Supreme Court approves MRA negotiations between AIFF-FSDL; next hearing on August 28

The Supreme Court heard the matter earlier on Friday after it was mentioned by Amicus Curiae Gopal Sankaranarayanan.

The Supreme Court has allowed the All India Football Federation (AIFF) and its commercial partner Football Sports Development Limited (FSDL) to come to the table to discuss the renewal of the Master Rights Agreement (MRA), which is scheduled to expire on 8th December 2025.

This decision comes in contrast to the observations made by the court earlier this year when they prohibited AIFF from undertaking any major decision, which also included the negotiations over the renewal of the MRA.

The apex court has given six days to AIFF and the commercial partner to find a solution and make progress with regard to negotiations. The court will hear the matter again on Thursday, August 28.

Amicus Curiae insists that FSDL fulfil its obligations

Amicus Curiae Gopal Sankaranarayanan started his submission by drawing the attention of the Hon’ble judges to the obligations that FSDL should fulfil under the existing contract, which runs out in December later this year.

Expanding on his argument, Sankaranarayanan said, “The agreement provides for commercial rights, which is a defined term. Now, commercial rights, which is defined says all rights of any commercial nature, whatever relating to AIFF national teams, competitions, advertising rights, everything has been given to FSDL, including what they refer to as new league rights.

“So the terms have to be strictly complied with at least during the tenure of the contract. Now, because the tenure of the contract is till December 2025, in my view, FSDL cannot use this fig leaf of an excuse to say I am not going to continue complying with the contract and not continue to run the championships, competitions etc., which they are required to, because I am not being permitted to enter into a renewal of the existing contract. At the very least, they know what their obligations are, and they have to have those obligations discharged,” Sankaranarayan added.

Not discounting the difficulties that FSDL might face in discharging the contract because the season runs from September to May, Amicus Curiae said that it is in AIFF’s hands to terminate the contract if it is not being complied with; however, that will not solve the problem because the whole process of finding another partner will take time.

He suggested that FSDL continue with the contract in the best interest of the sport and the players while the renewal negotiations take place.

FSDL representative highlights logistical hurdles

Responding to the Amicus Curiae’s submission, FSDL’s representative, senior counsel Mr. Neeraj Kaul, pointed out that investors are unwilling to step in on a year-to-year basis, especially when the annual investment crosses ₹150 crores.

He argued that such a short-term setup makes it impossible to secure commitments for infrastructure, players, broadcasting, or sponsorships, as no stakeholder is ready to engage in an interim arrangement.

“Our difficulty is that no one comes in these tournaments (to invest) on a year-to-year basis. The investment for approximately a year is over 150 crores. No one will be interested in an interim arrangement or commit resources, whether it is organizing stadia, pitches, players, broadcasting rights, or commercial sponsorships; no one in these matters comes in for a year-to-year basis.”

The senior counsel highlighted that the Supreme Court’s last observation had stalled ongoing negotiations, stressing that FSDL needed clarity and a defined tenure to move forward. He explained that operating under uncertainty was unfeasible, as running a league could not be planned on a year-to-year basis.

While reaffirming FSDL’s willingness to invest further, he underlined that football seasons require long-term planning, with logistics, infrastructure, and financial commitments that cannot be managed in an interim setup.

“For me to get into an arrangement, I need some tenure. I can sit with them and discuss; in the meantime, the judgment will also come.”

Expressing the inability of FSDL to act in this uncertain situation, he said, “The Amicus can’t come and say, let this continue for the next one year. It doesn’t work that way. We are willing. We did put in money; we will put in more money. But seasons are not organized like this. There are logistics involved.”

Justice Narsimha appreciated the work FSDL has done over the years, saying their efforts had created a lot of goodwill for Indian football. He added that this is the start of a new chapter for the sport and that FSDL’s role would continue to be important. He encouraged them to sit with the AIFF and work things out together.

“For the goodwill that you have created over so many years, and we are very positive that we are opening a new chapter for sports, and I think your contributions will be very, very substantial. So you work on it, sit with them (AIFF).”

Next hearing on August 28

Mr. Kaul requested the judges to allow a week or ten days for the negotiations before the Amicus interrupted and reminded the court that players have not been paid salaries for one and a half months, and the situation is grave.

The counsel representing Bhaichung Bhutia also advocated for FSDL to fulfil its obligations of the last year and conduct this season’s Indian Super League (ISL).

With regard to locking the date of the next hearing, the judges were inclined to hear the matter on September 1. But the judges were apprised of the limitations of the FIFA transfer window, which closes on August 31. Because of the uncertainty over the next ISL season, the clubs are not able to carry on with the transfers.

The counsel representing Shaji Prabhakaran, the former general secretary of AIFF, requested the judges to hear the matter before the month’s end so that there is some clarity and transfers can take place. The judges considered the submission and zeroed in on August 28 for the next hearing.

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