Join Now | 
HomeAboutContact UsPrivacy & SecurityAdvertise
Soccer America DailySoccer World DailySpecial EditionAround The NetSoccer Business InsiderCollege Soccer ReporterYouth Soccer ReporterSoccer on TVSoccer America ClassifiedsGame Report
Paul Gardner: SoccerTalkSoccer America ConfidentialYouth Soccer InsiderWorld Cup Watch
RSS FeedsArchivesManage SubscriptionsSubscribe
Order Current IssueSubscribeManage My SubscriptionRenew My SubscriptionGift Subscription
My AccountJoin Now
Tournament CalendarCamps & AcademiesSoccer GlossaryClassifieds
FIFA settles lawsuit with MasterCard for $90 million
June 22nd, 2007 7AM

MOST READ
TAGS:  world cup

MOST COMMENTED

FIFA and MasterCard settled the latter's lawsuit, paving the way for FIFA to go ahead with its sponsorship agreement with MasterCard rival Visa International.

MasterCard, which had sponsored the World Cup for 16 years, will drop its sponsorship of the next two World Cups under a $90 million settlement with FIFA announced on Thursday. FIFA will pay $87.5 million by June 30 and $2.5 million by Sept. 30.

"We have made a decision after taking a hard look at the facts and circumstances, that substantial financial compensation to MasterCard, along with severing the relationship between our two companies, at the end of the day was in the best interests of MasterCard's customers and shareholders," MasterCard's general counsel, Noah Hanft, said on a conference call.

MasterCard sued FIFA in April 2006 after FIFA awarded the sponsorship for the next two World Cups to rival Visa. MasterCard claimed it had right of first refusal on future sponsorship agreements. MasterCard won in U.S. District Court, but an appeals court last month ordered a review of that ruling. FIFA wanted an arbitration panel in Switzerland, where it is headquartered, to decide the matter. According to FIFA, the settlement also covered a protracted marketing dispute between FIFA and MasterCard regarding the two hemispheres logo.

As part of the settlement, FIFA and MasterCard agreed to terminate legal proceedings in the United States and Switzerland.

"FIFA has, first of all, resolved a problem," FIFA president Sepp Blatter said, "and, secondly - much more importantly - has paved the way to a good, new partner that will support it and its manifold activities efficiently all around the world."

Visa will be one of only six FIFA partners as soccer's world governing body narrows down its main sponsors. The others will be Adidas, Hyundai, Coca-Cola, Sony, Visa and Emirates Airlines.



No comments yet.

Sign in to leave a comment. Don't have an account? Join Now




AUTHORS

ARCHIVES
FOLLOW SOCCERAMERICA

Recent Soccer America Daily
TV Report: BeIN Sports draw 1.5 million viewers for Copa final    
BeIN Sports averaged more than 1.5 million total viewers on its two networks for the Argentina-Chile ...
MLS Power Rankings: Sporting KC retains first place    
Sporting Kansas City kept the top spot in Soccer America's MLS  Power Rankings after sitting out ...
Scouting Report: USA opens against reshaped Catrachos    
The USA begins its Gold Cup title defense against a familiar foe, Honduras, in the second ...
2015 Gold Cup Schedule    
The 2015 Gold Cup opens with a Haiti-Panama and USA-Honduras doubleheader in Group A on Tuesday ...
TV Report: One World Sports to air weekly NASL game    
The NASL has entered into a multiyear agreement with One World Sports to air an NASL ...
What They're Saying: English FA    
"Our lionnesses go back to being mothers, partners and daughters today, but they have taken on ...
Video Pick: Brazilian sent off for jumping the gun    
Here's the kind of ejection you don't see very often: Santos midfielder Geuvanio got a yellow ...
Video Pick: Dallas' Diaz slips it under the wall     
Mauro Diaz (Dallas), Ethan Finlay (Columbus), Kaka (Orlando City), Sebastian Lletget (Los Angeles) and Tyrone Mears ...
Bobby Wood to remain in German second division    
U.S. striker Bobby Wood has signed with Union Berlin, which finished seventh in the German second ...
TV Report: USA-Japan shatters U.S. soccer viewing record    
The USA's 5-2 victory over Japan in the 2015 Women's World Cup final averaged 25.4 million ...
>> Soccer America Daily Archives