Join Now | 
HomeAboutContact UsPrivacy & SecurityAdvertise
Soccer America DailySpecial EditionAround The NetSoccer Business InsiderCollege Soccer ReporterYouth Soccer ReporterSoccer on TVSoccer America Classifieds
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
FC Dallas forward Akindele named top MLS rookie    
Tesho Akindele, who scored seven goals and added three assists for FC Dallas, earned the 2014 ...
What They're Saying: Bradley Wright-Phillips    
"I thought Jermaine Jones reffed a good game today." -- New York Red Bull Bradley Wright-Phillips ...
The Good, the Bad and -- Messi conquers Spain     
[EUROPE IN A NUTSHELL] A Liverpool player falls asleep watching his team lose, a French golazo ...
Wright-Phillips befuddled, Donovan confident    
[MLS PLAYOFFS: Reaction] In a match that produced 10 yellow cards -- the most for an ...
A cavalcade of Bundesliga own goals     
[VIDEO PICK: Off the Post] World Cup champion Christoph Kramer scoring a 40-yard own goal earlier ...
What They're Saying: Sigi Schmid    
"If we weren't creating chances, I'd be concerned. But we're creating chances and we had some ...
NCAA Division I Women's Tournament Scoreboard    
[ROUNDUP: Sunday] Top-ranked UCLA needed a goal from Sam Mewis in the 88th minute to beat ...
U.S. Abroad: Weekend Hot (and Cold) List    
Aron Johannsson scored his first goal in more than seven months for AZ in its 1-0 ...
WFC2 to set up shop on UBC campus    
[MLS SPOTLIGHT] The Vancouver Whitecaps became the seventh MLS club to launch a second team in ...
Youth Boys Report: U.S. U-17s take third in Chile    
The U.S. under-17 national team fell to Brazil, 4-3, in its second game at the Copa ...
>> Soccer America Daily Archives