The Federal Justice granted the precautionary measure of the Argentine Football Association and declared invalid the articles of the DNU that enabled Sports Joint Stock Companies.
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After the position of almost all the clubs regarding this proposal promoted by Javier Milei's government, the judicial setback left it void.
The AFA reported that the Federal Court of Mercedes issued the precautionary measure promoted by the Salto Football League, an entity affiliated with the entity that regulates Argentine football.
What the DNU articles said about Sports Joint Stock Companies
The modification in the law promoted by Javier Milei through the DNU proposed the free action of becoming a SAD.
ARTICLE 335.- The following is incorporated as article 19 ter to Law No. 20,655:
“ARTICLE 19 ter.- Any right of a sports organization may not be prevented, hindered, deprived or undermined, including its right of affiliation to a confederation, federation, association, league or union, based on its legal form, if it is recognized in this law and complementary regulations.”
The Federal Justice declared invalid the article of the DNU that enables Sports Joint Stock Companies in Argentine soccer. (Photo: EFE/AP)
ARTICLE 345.- TRANSITIONAL CLAUSE. Sports associations, federations and confederations will have one year, counting from the regulation hereof, to modify their statutes in order to adapt to the terms provided for therein, which must be applied without prejudice to compliance with pre-existing mandates.
What Javier Milei had said about Sports Joint Stock Companies
President Javier Milei repeatedly highlighted the benefits of converting football clubs into Public Limited Companies. A few days ago, he insisted on the project.
“The interesting thing about SAD in football is that investment comes in very quickly. Because it is a very easy business. You don't have to create huge machinery, because building a plant can take you, I don't know, two years. There is the willingness to invest expressed by Chelsea, in the case of wanting to buy Boca, Racing, Newell's, Lanús and Estudiantes,” Milei said on Radio Miter. And she added: “There are Arab groups willing to invest 3 billion dollars.”