Eastham v Newcastle United FC
[1964] Ch 413
Independent editorial summary — not the official judgment. Read the full judgment via the source link.
Ratio Decidendi
The football retain-and-transfer system constituted an unreasonable restraint of trade. A player could not be indefinitely retained by a club after his contract expired, preventing him from joining another club.
Facts
George Eastham, a professional footballer, challenged the FA retain-and-transfer system which allowed clubs to retain a player's registration even after his contract expired, effectively preventing him from moving to another club.
Judgment Summary
Wilberforce J held that the retain system was an unreasonable restraint of trade. While the transfer system served legitimate purposes, the retain element was unjustifiable as it gave clubs indefinite power over players' careers.
Key Quotes
"The retain system is an unreasonable restraint of trade."
— Wilberforce J
Subsequent Treatment
Led to reforms of football's transfer system; influenced Bosman ruling.
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