Fifa Given Time Over Mastercard Ruling

FIFA has been granted a stay of execution in its ongoing legal battle with
MasterCard after a federal court ruled that the governing body does not have to
immediately comply with the court order made in the credit card’s favour earlier
this month.

The New York Southern District Court ruled that FIFA does not have to act
immediately with the court order requiring it to grant MasterCard an eight-year
World Cup sponsorship deal, pending the outcome of a requested appeal against
the decision made in a Swiss court.

FIFA had requested that the lodged appeal be granted a suspensive effect so
that neither MasterCard nor VISA may demand fulfilment of the sponsorship
contract during the appeal procedure.

MasterCard had successfully undertaken legal action against FIFA over the way
it handed the World Cup sponsorship contract to rival Visa following this
summer’s tournament. The US court ruled that FIFA had ‘repeatedly lied’ to
MasterCard during the negotiations over its right to first refusal on a contract
extension.

Should the Swiss court throw out FIFA’s appeal over the ruling then the
governing body will be forced to cancel its £150m contract with Visa and offer
MasterCard the World Cup rights to the 2008 and 2012 tournaments.