WHY KPL, FKF DEAL COLLAPSED: Warring parties fail to agree on several articles in presence of Fifa officials

FKF-KPL AND FIFA
KPL's Ambrose Rachier, left, FIFA representative Kwesi Nyantakyi and President FKF Sam Nyamweya during a reconciliatory meeting between FKF and KPL at Hotel Norfolk, Nairobi, on Monday, March 23rd, 2015. PHOTO/ JONAH ONYANGO.

Last Saturday, Football Kenya Federation (FKF) and Kenyan Premier League (KPL) were supposed to sign a memorandum of understanding in the presence of world football governing body (Fifa) officials, but this never happened.

It has now emerged that the two bodies failed to have an agreement on several issues in a move that could scamper the signing of the agreement altogether.

Fifa has given the two parties until July 31 to reach an agreement. Though officials from both parties declined to be quoted on this matter citing confidentiality, KPL seem uncomfortable with a requirement to relegate four teams at the end of this season, among other issues.

“There was no agreement on a number of key issues, among them relegation and licence fees. We have until end of July to agree on this, among other issues,” said a source who attended the meeting.

According to the draft memorandum of understanding article 7 (v), four clubs shall be relegated from the KPL and another six promoted from the Football Kenya Federation (FKF) Premier League for an 18-team top league in 2016.

Article 1 of the memorandum of understanding provides that KPL should pay an annual membership subscription and affiliation fee to FKF. “This amount will be determined and fixed by the federation from time to time,” says the agreement. It further provides that the membership fee paid shall cover the right of KPL to organise the top league and the participation of all clubs in the league.

Article 1 (111) is what may have turned off KPL as it requires the company to pay FKF an amount equivalent to 2.5 per cent of the annual league title rights fee plus 5 per cent of the annual net TV and broadcast fee.

Another contentious issue in the memorandum is article 13, which requires that both parties synchronise all sponsors and sponsorship fees relating to the league.

This would mean that FKF’s broadcast sponsors, MP$Silva, work together with SuperSport, who are the broadcast rights holders of KPL.

KPL also found Article 16 wanting. The article says the broadcast deal between them and SuperSport remains in force until the end of the current season, after which it shall be reviewed.

KPL have already signed a new six-year deal with SuperSport and risk being sued if they walk out of the contract at the end of the year.