Brazil's SAF law clarifies debt separation for football clubs

The implementation of the Football Corporation Law (SAF) in Brazil is reshaping the legal and financial landscape of the country's football clubs. Recent legal developments and legislative sanctions have reinforced the separation between traditional football clubs and their newly formed SAF entities regarding old debts.

Under Law 15.427/2026, the original football club remains exclusively responsible for obligations incurred prior to the creation of the SAF. While the SAF provides revenue to cover these liabilities—typically through 20% of monthly revenues and 50% of dividends—the SAF's assets are protected from seizure for old debts as long as these payments are maintained. The Superior Labor Court (TST) has also supported this distinction, ruling that the SAF is not jointly liable for labor contracts that were terminated before its constitution, though it does succeed the club in contracts that were already in effect at the time of the transition.

In line with these structural shifts, Resende Futebol Clube has officially approved the implementation of its own SAF. The move aims to modernize the club's legal personality and attract new national and international investors, continuing a long-term strategy of professional management and corporate governance.