The Agreement that affects F1

[allen_overy]

Does anyone have a copy of teh Concorde Agreement? Since we all have been discussing about the break-away series, the duel between FIA and team owners, it's nice to have a copy/excerpts.

[Wrex]

Yes, I do. I also have a copy of the plans for the new space shuttle, the coke receipe and who really shot Kennedy.

It is the most well guarded document in F1 mate, good luck.

[Red]

I did check at my local bookstore, they said to come next week, they were all sold out

[Peter Mallett]

I've often wondered if the title of that document was a bit of a joke. Now, correct me if I'm wrong, but dosn't the word Concorde equate to "agreement" in French? Therefore it is the agreement of agreement.

Peculiar.

Which version of the Coke recipe have you got Wrex? Mine's ver 3.1

[Wrex]

The illegal one

[Hugh Jarce]

Does it actually exist in written form or was it verbal / hand shakes around a table?

[DNQ]

I would have so much depth to it that it would have to be a written agreement. I mean, they couldn't have just sat at a table, with Frank, Jean and Ron saying to Bernie "yeah mate, we'll take 10% of the TV money each, hey? And let's change this and that bla bla"

[golem]

Let the discussion on which house of Ninja to hire for the retreival begin.

[allen_overy]

The parties to Concorde are FIA, FOM and the 12 Signatory Teams specified in Schedule 1. FIA is described as an association constituted in conformity with French law and enjoying consultative status at the Council of Europe and the United Nations. Its constitution is contained in certain statutes which, save for one provision, were not in evidence. The recitals to Concorde record the status of FIA as the sole international governing body for motor sport and the owner and organiser of F1.

By clause 1 the other parties acknowledged the rights of FIA and by clause 4 granted such further rights as FIA needed in order to stage F1 and enable the commercial exploitation of FIA's rights therein. By clause 4.1(d)(vii) the right to obtain sponsorship and advertising in respect of a particular team's participation was reserved to that team.

Recital C recorded that FIA had entered into an agreement with FOM in respect of the commercial exploitation of F1. By clause 3 FOM agreed to pay to competitors the benefits for which Schedule 10 provides. It is not entirely clear if the benefits are payable to a competitor who is not a Signatory Team, but that is not a point which I have to decide. The terms of Schedule 10 are confidential. For present purposes it is sufficient to record that a prescribed and substantial amount, some of which is directly related to the commercial exploitation of F1, is shared out in the payment of benefits to each Signatory Team therein defined. The amount of benefit is based in part on the place that that Signatory Team achieved in F1 for the previous year and in part on the number of cars and events in which it has competed in the current year. But if a Signatory Team fails to participate in an event then it ceases to be entitled to such payment and becomes liable instead to pay to the promotors of that event a sum calculated in accordance with Schedule 9. Schedule 10 para 6 recognises that the benefits for which that schedule provides are assignable by a competitor if certain conditions as set out therein are satisfied, one of which contemplates that the transferee would have been a competitor in relation to the chassis or name transferred.

Clause 5 contains a number of mutual undertakings. FIA undertakes to organise F1 for the years covered by Concorde. It acknowledges that Signatory Teams have a right to participate subject to fulfilling certain criteria. One of those criteria requires that team to have participated in each event in the previous year unless prevented by force majeure.

Clause 6 constitutes a body called the F1 Commission comprising some 25 members. The F1 Commission has a Permanent Bureau responsible for dealing with matters which are so urgent that they cannot await a meeting of the F1 Commission.
14. Clause 8 makes provision for technical regulations to be called Stable Regulations. In addition clause 8.11 contains an express acceptance by the parties of the FIA Regulations which may only be altered by unanimous agreement and with effect from 1st January in any year.

Clause 10 deals with entries. By clause 10.1 only a constructor may enter a car, unless clause 10.4 applies. A constructor is defined in Schedule 3 as a person, whether or not incorporated, "who owns the intellectual property rights to the rolling chassis it currently races ...". Entries must be lodged with FIA by means of individual entry forms in the form set out in the Annex to the Regulations in force for the time being and containing an undertaking to be bound by and respect all the terms of Concorde. Once the entry has been accepted by FIA the constructor becomes a competitor within the definition of that term contained in clause 2.1. Clause 10.3 provides for payments by a competitor who fails to participate in an event "unless FI Commission decide to cancel the requirement" to make such payment. By clause 10.5 each competitor is required to pay to FIA a fee for a superlicence for each car to cover the management fees of FIA. Clause 10.6 imposes a limit on the number of cars which may participate; priority is to be given to those who have participated in earlier years.

Clause 11 provides for the calendar of events. There are to be 17 events in each year. Clause 12 provides for passes to be issued to each competitor free of charge entitling the holder to gain access to those parts of the circuit not open to the public.

Clause 14 headed Constructors, so far as material, provides,
"If any one of the Signatory Teams shall cease to be a constructor within the meaning of Schedule 3 hereto and/or to participate in the FIA FI Championship ("Cessation") its rights and obligations hereunder ... shall immediately terminate. For the avoidance of doubt if a Signatory Team fails to participate in an Event, without prejudice to any other provision of this Agreement, its rights and obligations hereunder shall continue unless such failure to participate was due to the insolvency of the Signatory Team or as a result of the withdrawal of the Signatory Team from the remaining Events of the relevant FIA F1 Championship. Notwithstanding that the provisions of this Clause 14 shall be without prejudice to any of the accrued rights of the parties to this Agreement prior to or as a result of such Cessation, any privileges enjoyed by the Signatory Teams prior to the Cessation which are based on historic performance shall permanently cease immediately on such Cessation."

Clause 16 contains a confidentiality clause. Clause 17.1 provides that Concorde is governed by English law. Clause 17.2 is a severability clause. Clause 17.3, so far as material, provides
"All disputes arising in connection with this present Agreement (other than a dispute falling within the provisions for the settlement of disputes in the Sporting Code) shall be finally settled under the Rules of Conciliation and Arbitration of the International Chamber of Commerce in force at the date hereof by one or more arbitrators appointed in accordance with the said Rules. It is agreed that if such arbitrator(s) shall consider that his (their) award may depend upon a decision to be given in accordance with the Sporting Codethe making of such award shall be suspended until after the notification of such decision (which must be final and conclusive) to such arbitrator(s). An award of the arbitrator(s) shall not be inconsistent with such decision aforesaid."
In accordance with clause 17.4 any such arbitration should take place in Lausanne, Switzerland.

Clause 19 deals with the term, commencement and application of Concorde. Clause 19.4 enables the later adherence of constructors who apply for the purpose to FIA and if "FIA has confirmed its agreement to them becoming a party (such agreement not to be unreasonably withheld) and provided that they do so within 30 days of their entry to F1 being accepted".

Clause 21 is an entire agreement clause and clause 22 contains provisions for assignment by FOM of its rights to enable a public flotation of shares of a company called Formula One Holdings Ltd on an international stock exchange.

Schedule 8 contained the Regulations then in force. But they have been superseded by the Regulations promulgated by FIA on 30th October 2001 which came into force on 1st January 2002.

The Regulations, which are binding on Signatory Teams pursuant to recital D to Concorde, themselves provide that F1 is the property of FIA. All participants are thereby required to undertake to apply as well as observe the rules governing F1 and must hold super-licences which are issued to competitors amongst others (Regulations 3, 6 and 10). Regulation 10 provides that applications for super-licences are to be made to FIA through the applicant's national body. Such super-licences are checked at the first event of each year's championship (Regulation 68). Further provisions regarding super licences are contained in the Sporting Code paras 47 and 108 to 125. The principle is that an applicant who is qualified for a licence should be granted one and FIA is bound to give its reasons for any refusal. Para 159 contains provisions for suspension, seemingly of the driver not his licence, by the national body only and then only in the case of grave offences.

Regulations 11 to 17 deal with the numbers of events in the year. Regulation 21 provides that the constructor of a rolling chassis is the person who owns the intellectual property rights therein. Regulations 42 to 48 deal with competitor's entries. They are to be made on the form annexed to the Regulations and accompanied by the requisite fee. It is not necessary to be a party to Concorde, either original or by subsequent adherence, to apply to be a competitor. Applications from teams not already competing will only be considered if there is a place available (reg.42). Any would be entrant who did not score any points in the previous year's championship must provide information about his finance and ability to perform his obligations. A would be entrant who did not take part at all in the previous year is required by Regulation 45 to provide a deposit of US$48m.

How do you feel, folks?

THE CONCORDE is DISCLOSED.

[allen_overy]

And this...
Thank you very much... for your recipe.

24. Regulation 72provides that no car may take part in an event unless it has been passed by the scrutineers. Such scrutiny takes place between 10am and 4pm three days before the race in the garage assigned to that team (reg.70).
25. The Sporting Codealso contains provision (para 180) for appeals to the national body in the case of a dispute arising between its own licence-holders. An appeal therefrom lies to FIA under Article 22 of its own statutes in the case of a dispute of "a sporting nature". There are associated provisions for the publication of judgments (rule 191) which were amended as recorded in European Council Regulation (2001/C 169/03) so as not to preclude pursuit of a right of action before a court or tribunal. It is not suggested that the dispute in this case is of a sporting nature but some reliance was placed by Phoenix on the amended rule 191(b) in connection with the application to stay.
26. Other provisions of the Regulations and the Code as well as of the conditions to be observed by applicants for certain national licences were also referred to at the hearing. I will deal with them as and when necessary when recounting the events to which they may be relevant.

[Wrex]

Hmm, I dont actually see anything there mate. Is this the concorde agreement, or a description of what is covers?

[Wrex]

And while your at it, grab me a copy of that Schumacher/Ferrari contract

[Peter Mallett]

Originally posted by allen_overy
The parties to Concorde are FIA, FOM and the 12 Signatory Teams specified in Schedule 1. .................................................................................................... ........................................................

and your point is?

[f1manoz]

Now there is an article EVERYONE would like to see!

[allen_overy]

legal documents, or descriptions of the same, ARE bound to be boring

[Smokey 6 litre]

Originally posted by Peter Mallett


Which version of the Coke recipe have you got Wrex? Mine's ver 3.1

I've got the version of 'new coke' from the mid 80's which was a huge comercial disaster.
Anywho, the only way anyone will get a copy of that agreement is if they do a 'mission impossible' (the original because the sequel was auful) and steal it.

[allen_overy]

working through my networks, wrex

[allen_overy]

Peter, this is the version of the Concorde as at 2001. Thanks.

[Peter Mallett]

Yes but I'm still not certain why you wanted to know about it?

[Bononi]

The small letters in the end of the Concorde Agreement where it is said who will be winning the champioships...

[Red]

Peter, the Concorde comes from Place de la Concorde where the FIA's headquarter was and the Agreement was signed.

PS: Allen, last time the Concorde was signed in 1998, and works till 2007 (including) They perhaps signed something different in 2001. Anyway, that "document" is something different. The Concorde Agreement, while not known what's written in it but the number of pages can be estimated. The Draft 33 or 34 (not known which version did they sign) was more than 100 pages. And the signatary teams were 11.

[Peter Mallett]

Originally posted by Red
Peter, the Concorde comes from Place de la Concorde where the FIA's headquarter was and the Agreement was signed.

I know. There is also a very good art gallery (L'Orangerie) which is dedicated IIRC to Matisse on the other side of the Plac de la Concorde. It is also the name of an aircraft which was built in accord with the British and the French hence the name "Concorde".

Doesn't change the definition of the word though, which is in contractual terms an impossibility. You can't "agree to agree".

But now yopu have me thinking of Paris in the springtime and great restaurants in the Champs Elise. Hmm escargots, beuf wellington and followed by profiteroles and cream accompanied by a 1985 Grand Cru Bordeaux and to finish coffee and Remy Martin.

[Red]

Nah, forget Champs Elysees. But igh: the small cafees and restaurants in the streets surrounding Place Saint-Michel... spring...

[Peter Mallett]

Cheapskate!

[Red]

Snob