New Brazilian Law Boosts Governance and Transparency for Football SAFs

Brazil has introduced new governance and transparency regulations for football clubs operating as Sociedades Anônimas do Futebol (SAFs) through Law 15.427/26, signed by President Luiz Inácio Lula da Silva. The law, enacted from Senator Rodrigo Pacheco's Project of Law 2978/23 and approved in May 2026, aims to enhance investor protection and accountability within Brazilian football. Key provisions require SAFs to include independent members on administrative and fiscal councils and mandate full disclosure of corporate information, such as meeting minutes and shareholder composition. Crucially, the law obligates these clubs to distribute at least 25% of their adjusted net profits to shareholders as long as the original club maintains an interest and preexisting obligations with the SAF. The legislation also opens new possibilities for economic exploitation of football rights by leagues adopting the SAF model. However, the government vetoed several provisions that would have placed limits on SAF liability for original club obligations, restricted economic group formation, excluded certain revenues from SAF financial calculations, and prohibited seizure of SAF assets for club debts. Authorities justified these vetoes as necessary to preserve creditor protections and maintain accountability. These rejected provisions will undergo further review by Brazil's National Congress. Overall, the law marks an important step in professionalizing governance standards and transparency practices in Brazilian football clubs operating as SAFs, balancing growth opportunities with financial safeguards.