Introduction to the 50+1 Rule
The 50+1 rule is a fundamental principle in German professional football, designed to ensure that club members maintain control over the professional aspect of a football club. This rule has been in effect since 1999 and stipulates that the parent association of a club must hold at least 50% plus one vote in its professional football company. This guarantees that the majority of voting rights remain with the club and its members.
Purpose of the Rule
The primary purpose of the 50+1 rule is to prevent external investors from gaining full control over a club and managing it solely for financial gain, potentially disregarding the interests of fans. The rule also ensures a degree of equality among clubs, as those with controlling shares cannot invest more money than others. Furthermore, it protects the strong fan culture in German football, where fans are not just spectators but also active club members with significant influence on club decisions.
Exceptions to the Rule
There are exceptions to the 50+1 rule. A special provision allows investors to acquire a majority stake in a professional football department after 20 years of investment. Currently, Bundesliga clubs Bayer Leverkusen and VfL Wolfsburg are controlled by companies due to their long-term investments. TSG Hoffenheim also had an exception but has since returned to the 50+1 model. RB Leipzig is a special case, formally adhering to the rule but criticized for having only 23 voting members with close ties to the sponsor Red Bull, effectively bypassing the rule without breaking it.
Criticism of the Rule
Critics argue that the 50+1 system puts German clubs at a financial disadvantage compared to clubs in other countries. The rule limits the capital available to German clubs, as potential investors are deterred by the lack of control they would have over the club. Another point of criticism is that the rule can be circumvented in practice, making it ineffective. Some see it as an obstacle to structural reforms in football and entrepreneurial flexibility.
International Perspective
Many fans from other countries express interest in a model similar to the 50+1 rule, particularly in response to controversial investor takeovers and the growing influence of large investors and nation-states. In England, discussions about introducing such a rule emerged after the Saudi-backed fund PIF took over Newcastle United. In France, criticism grows over the dominance of investor-owned clubs like Paris Saint-Germain. Similar sentiments are found in Italy, Spain, and Brazil, where there are concerns about the loss of club identity and calls for regulations to restrict investors and protect club identities. Initiatives from fans, sports economists, lawyers, and politicians aim to introduce legal protection mechanisms based on the German model.
