In this way, significant possibilities are opened for future negotiations between the clubs and the betting houses that always seek to be able to broadcast live games through their platforms. With this measure, a team has total independence to give the sponsoring club of its jersey the rights to broadcast its entire home campaign or a series of games, which would substantially improve the economic part of the agreement they have. In Brazil, there are already companies in the industry that have obtained the rights to live broadcast from the main European leagues, which suggests that local football would be an irresistible product to attract the local gambler.
Before this initiative, the two clubs that played a game shared that right. If one of them did not agree, the match could not be sold or broadcast. But effectively, how will this change affect Brazilian football? During the period of validity of the PM - and it is important to remember that there is a specific bill in progress in the Senate - it is possible that the TV contracts of the Brasileirão championship would be affected.
In 2020, Turner network can broadcast 56 championship games because it has a valid contract with eight teams (Athletico, Bahia, Ceará, Coritiba, Fortaleza, Palmeiras and Santos). Putting the millionaire stalemate between them aside, the American media group may see the PM as a legal loophole to try to increase its product.
By changing sections of the Pelé Law (Law 9.615 / 1998) and the Supporter's Defense Statute (Law 10.671 / 2003), the measure, valid for up to 120 days, transformed the home club of a sporting event into the owner of the arena rights. In other words, it is now up to it to “negotiate, authorize or prohibit the capture, fixation, broadcast, transmission, retransmission or reproduction of images, by any means or process, of the sports event.”
That is, instead of a limited number of games, always between the contracted teams, it could show 152 matches - all those in which its partners plays at home. Globo's SporTV would also increase its game menu, but the proportion would be lower.
"Turner, for example, did not buy the rights of the 20 clubs, but it would expand the possibility of promoting it with games where the teams that they have rights play at home," says lawyer Dayana Dallabrida, a partner at VGP, who provides services to Athletico.
“It would increase the value of your product with the possibility of broadcasting more games… But this is a point to be analyzed by the courts, if they could make use of this rule in the terms of the PM. It is not clear,” says Dayana. In the opinion of the lawyer specialized in sports law Eduardo Vargas, the contracts already signed should not be affected. However, the subject is far from defined.
“Evidently, the companies that could benefit from this will try to extend the scope and effectiveness of the provisional measure to previous contracts. In my view, that is not possible, but we know that they will seek subterfuge to try to broadcast,” he says.
“It is a very confusing situation legally and a breach. It depends a lot on how the contracts were formulated, how they were drafted,” believes lawyer Itamar Côrtes, who works in sports law.
Likewise, Flamengo will benefit in this situation. President Rodolfo Landim has already warned that the weekend's game, against Boavista, will be broadcasted on the club's own streaming, a situation that was previously prohibited. The modification of the MP, by the way, only came out under the pressure of leading clubs, especially the ‘Rubro-negro’ from Rio de Janeiro.
In the case of Athletico, the new rule has a clear advantage. The club chose not to sell the pay-per-view (PV) to Globo when it negotiated the rights to broadcast TV. Even before PM 984/2000, President Mario Celso Petraglia commissioned studies on the possibility of broadcasting the club's games at home.
Now, the club has a free way to show the 19 games of the Brasileirão at Arena da Baixada on its streaming platform, Furacão Play. Even if these matches will eventually also be broadcasted by Turner, the club would start exploring its own PPV five seasons before the other teams, whose contracts with Globo end in 2024.
Coritiba also has ITS PPV available. However, the situation is different from its classic rival, mainly because of the rights to broadcast TV. The club, that went up to Serie A last year, did not define the sale of this asset. The negotiation has been extended and, because of the pandemic, it is still in slow motion. However, as it lives in a complicated financial scenario, the club must be forced to make a joint sale (open + PPV), as required by Globo. This is currently the most likely scenario.
Processing
Deputies and senators may submit amendments to the provisional measure until next Monday (22). After that, PM 984 will be analyzed directly at the Plenary of the Chamber, according to the summary rite of procedure defined by the National Congress during the period of public calamity.
Turner's position
In a note, Turner stressed that "it is analyzing the Provisional Measure and evaluating possible impacts of the new regulation."
TV Globo's position
Through an official note, TV Globo positioned itself on provisional measure 984. The broadcaster argues that the new rules do not alter contracts already signed. See the full note below.
“Regarding Provisional Measure 984, which amended the Pelé law and determined that the clubs that play at home become the sole holders of the broadcasting rights, Globo clarifies that the new legislation, even if approved by the National Congress, does not modify contracts already signed, which are perfect legal deals, protected by the Federal Constitution. For this reason, the new Provisional Measure does not affect competitions whose rights have already been assigned by clubs, whether for current or future seasons. Globo will continue to regularly broadcast the matches of the championships it has acquired, in accordance with the contracts signed, and is ready to take legal action against any attempt to violate its acquired rights.”
Source: GMB
