LETTER FROM THE PRESIDENT

Dear Friends,

The Basque Sports Federation Union recognizes among its functions the assumption of arbitration proceedings, in accordance with Article 6 of its statute. Furthermore, Article 142.1 of the Law 14/1.998, dated 11 June, on Sport in the Basque Country, urges the sports federations that are located in the Basque Country to foresee the out of court arbitration formulas in their statutes and regulations in order to solve any differences that may arise between its members.

Faced with this forecast, the Union of Basque Sports Federations, inspired by other arbitration tribunals in the sports field, has considered it appropriate to create the Basque Sports Arbitration Tribunal, which is set up as a service offered by our entity and directed both at federated sport and any other person or agent that intervenes in our sports environment.

The Basque Sports Arbitration Tribunal aims to be a dynamic, economical and efficient tool to resolve conflicts that appear in the world of sport, as it seems evident that the peculiarities of the framework of sports makes it desirable for the knowledge of the litigation brought about in this field to be carried out by specialized people and who understand the different areas of the physical and sports activities.

This disclosed document aims to provide information, through a FAQs system, about certain aspects which will enable the reader to have a better awareness of the Basque Sports Arbitration Tribunal.

I hope and wish that the Basque Sports Arbitration Tribunal be, from this moment on, a judicial and fair referent in the settlement of conflicts available to any agent that is connected to the practise of sport in Euskadi.

Kind regards,

UDFV President

What do we understand by sports arbitration?

It is the private form of solving disputes that have come about in connection with the practise or playing of sport or with the economical interests and regarding any other aspect that may arise in connection with sports activities in its many facets (competitive, recreational, etc.). By means of this arbitration system, the parties concerned submit themselves voluntarily to a third party – referee – so that the latter can resolve the litigation, constituting a legal alternative, based on the free will expressed by the parties concerned.

Who does the Basque Sports Arbitration Tribunal report to?

The Basque Sports Arbitration Tribunal is a service which reports to the Basque Sports Federation Union, which is placed at the disposal of all the agents, in the Basque Autonomous Community and in other regions or states, which intervene in the different areas of sports activities so that these may submit to them any controversies that may arise.

Who and how can attend the Basque Sports Arbitration Tribunal?

The arbitration service of the Basque Sports Federation Union may be attended by any physical or legal person who, on matters of their free disposition, wishes to present arbitration proceedings in the settlement of conflicts that may have arisen or may arise in the future and that are linked to the physical and sports activities.

In order to attend the Basque Sports Arbitration Tribunal the only requirement is the existence of an arbitration clause or agreement which has been subscribed and accepted by the parties concerned. This arbitration agreement must authorize the Basque Sports Arbitration Tribunal to administer and designate referees according to the Arbitration Code. The arbitration agreement can be present as a clause in a contract; as a precept written in the statutes, regulations or agreements; or as a private agreement subscribed by the parties invloved once the discrepency has arisen.

Likewise, the arbitration agreement must express both the renunciation of the parties to legal proceedings which could correspond to the parties and the submission of those intervening in the arbitration judgement that is pronounced.

What are the advantages of submiting the litigation resolution to the Basque Sports Arbitration Tribunal?

Among the advantages provided by the arbitration proceedings with the peculiarities of the Basque Sports Arbitration Tribunal we find:

- The cost, given that proceedings before the Basque Sports Arbitration Tribunal are more economical for the parties concerned than the ordinary justice system.

- The speed, as the time in which a matter is resolved, is generally less than 6 months, whereas other channels can go on for years.

- The simplicity and flexibility of the arbitration proceedings, in contrast to the complexity and conventionality of the proceedings in a judicial setting. The parties that intervene in the arbitration process can, for example, decide on the number of referees, the identity of these or the dates and locations of the hearings, and at the same time preserve the guarantees of a defense: possibility of the attendance of a lawyer, hearing proceedings, the presentation of evidence, etc.

Legalsecurity, given that the final decision taken by the referee and materialized in to the final judgement is of a binding nature, and must be adhered to by the parties as it produces the same purpose as the judge deffect, and its failure to comply can even be invoked before a Court of Law.

Which issues related to the sports activity can be presented before the Basque Sports Arbitration Tribunal?

As a general rule, it couild be said that the following litigation may be susceptible to be presented before a Basque Sports Arbitration Tribunal:

- In the centre of the clubs and sports associations or federations, provided that, in the case of the latter, they do not deal with aspects related to the work of public functions of an administrative nature.

- Between clubs and sports people.

- Between clubs.

- In the relationship between federations and clubs or sports people and who do not deal with the work of public functions of an administrative nature which have been delegated to the territorial and Basque federations, and expressed in Article 25 of the Law 14/1.998, of 11 June, on sport in the Basque Country.

- In the relationship between sponsors and federations, clubs or sports people.

- In the relationship between people and/or entities regarding the organization of sporting events.

- In the relationship between people and/or private entities regarding the use of the sports facilities, the participation in courses or sports programmes and all others where those taking part are considered as users.

- In the relationship between people and/or private entities regarding any subject (competition, disciplinary, contracts, public liability, etc.) which arises from the organization or participation in an event of a private nature (professional leagues which are not part of the sports federations, the organization of recreational sporting events, etc.).

Which issues can be submitted to the decision of the Basque Sports Arbitration Tribunal and which are excluded?

Despite the fact that the parties may have established the pertinent arbitration agreement, not all the litigation arising from sports activities can be presented before the Basque Sports Arbitration Tribunal, as only those cases in which the parties concerned have full authority over the litigation object or issue can be submitted to arbitration.

Furthermore, the following issues, among others, cannot by presented for arbitration:

- Those on which a firm legal resolution has been pronounced.

- Those that affect the sports discipline or any other of the public functions of an administrative nature which have been delegated by the public administrations to the sports federations.

- Those in which the Inland Revenue must intervene representing and defending those who, without thecapacitytoact or legal representation, cannot be present themselves.

- Those in which the arbitration does not have any director main connection with the questions of a lega l– sports nature.

- Those that arise from the established relationship between the physical or legal persons and the public administrations.