Court orders Argentine Football Association (AFA) to cancel its deal with Binance

Following the lawsuit scandal between the AFA and Socios, where the latter claimed the AFA breached their sponsorship agreement, a Judge has ordered the football association to stop its new deal with Binance and respect the former contract.
Court orders Argentine Football Association (AFA) to cancel its deal with Binance

The Argentine Football Association (AFA) has been instructed to halt any transactions with Binance. The judge who issued the injunction against the AFA, Mara José Gigy Traynor, believed that there were previously signed agreements that would contradict the new contract.

The court ordered a prohibitory injunction to “preserve the inalterability of a given factual or legal position existing prior to the behaviour of one of the parties while the main procedure is substantiated.”

This means that the new agreement will be unable to be implemented as long as other obligations with third parties exist. This includes past naming and fan token launch deals, such as those the organization had previously inked with, the party seeking this step.

Last year’s agreement with fan-token issuer included requirements that were incompatible with the current agreement revealed with Binance last month. The Argentinian Soccer Association had already partnered with to create a fan token.

The new Binance statement prompted uncertainty and frustration among initial token holders, who flocked to social media to express their dissatisfaction.

The Argentinian Soccer Association (AFA) has not responded to the order or any potential actions it may take in response to the injunction. The party harmed by the AFA’s acts,, was relieved to receive this prohibitory injunction. declared in a news release about the situation:

We welcome this decision from an independent justice system, which recognizes that our contracts remain in full effect, and we will continue to actively collaborate with Argentina’s justice system to defend the rights of $ARG Fan Token holders.