Brazil enacts law tightening governance of football club SAFs

President Luiz Inácio Lula da Silva sanctioned Law 15.427/2026, updating the legal framework for Sociedades Anônimas do Futebol (SAFs). The legislation introduces stricter corporate‑governance rules for football clubs that operate as public‑limited companies. Key provisions require at least one independent member on both the administrative and fiscal councils, mandatory publication of board‑meeting minutes, assembly records, and detailed shareholder composition. SAFs must allocate a minimum of 25 % of adjusted net profit to shareholders while the original club retains responsibility for debts incurred before the SAF’s creation. The law also allows conversion of club debt into SAF shares, permits leagues to adopt the SAF model, and maintains the obligation for clubs to settle pre‑existing liabilities.

Four provisions were vetoed by the president: the automatic classification of a SAF and its founding club as a single economic group; a clause that would have shielded SAFs from liabilities not expressly transferred; a provision excluding certain transfers from taxable revenue; and a ban on creditor seizure of SAF assets for club debt. The decree was published in the Diário Oficial da União on 8 June 2026. The reforms affect more than 100 Brazilian clubs—about 117 had become SAFs by 2025—aiming to boost investor confidence, improve transparency, and strengthen the financial stability of football institutions.

The law is expected to reshape club financing, increase market attractiveness for private investment, and provide clearer legal recourse for creditors while preserving the clubs’ obligations to settle historic debts.