What Is The Concorde Agreement In F1

In 1995, the FIA decided to transfer the commercial rights from Formula 1 to the Formula 1 administration for 14 years. In exchange, Ecclestone would make an annual payment. McLaren, Williams and Tyrrell protested by rejecting the proposed Concorde Agreement (negotiations for which it began in 1993). Ken Tyrrell, in particular, was outraged that Ecclestone, as president of OFZL, negotiated the transfer of the organization`s rights to his own company. Tyrrell also objected to the agreement`s endorsement being kept secret and argued that the secrecy of the agreement would only benefit Ecclestone (by weakening the bargaining power of the other parties). According to a Formula 1 press release, the new agreement «will reduce financial and course disparities between teams, help establish the conditions for competition and allow for closer races on the track that our fans want to see more.» On July 29, 2008, the ten participating teams created the Formula One Teams Association (FOTA) to negotiate the terms of the contract. After a dispute between FOTA and the FIA in the first half of 2009, Mosley and all the teams signed a new Concorde contract, although Sauber, who was the majority owner of BMW in transition, had announced shortly before his retirement from the sport at the end of the season, so was waiting for a control of the team to be returned to Peter Sauber before signing. The new agreement provides for the continuation of the terms of the 1998 agreement and will continue until 31 December 2012. At the same FIA World Motor Sport Council meeting, a resource limitation programme was also adopted, as well as a series of revised sports and technical rules for the 2010 season. [11] «To obtain the right of protection, the right of veto, which is important for Ferrari, because of what Ferrari represents for all Formula 1 and history. The challenges posed by the virus served as an additional reminder that something had to change, that is, as soon as the championship resumed, the trade agreement was also able to discuss. «Overall, yes, satisfied. You can always get more or less, but what has been achieved is an important result. The «real» independents McLaren and Williams were recently shaken when Formula 1 was divided into three factions (factory teams, linked and independent teams) and the benefits of an independent role were lost.

But she and the smaller teams like Haas and Sauber (sorry Alfa Romeo), funded by individuals, will be sung by a broadcast undoubtedly fairer. And Red Bull is not in question to lose more of its senior team, because AlphaTauri can earn more. A new trade agreement to reduce financial disparities between teams, to bridge competitive conditions and to close the performance gap is the next part of this process.