There is another setback for Milan in their attempts to lock Rafael Leao down to a new contract, as FIFA reportedly confirm the striker and his old club LOSC owe Sporting CP at least €20.5m, but that could increase.
The forward unilaterally terminated his contract with Sporting in 2018, claiming the invasion of the training ground by angry ultras represented a breach of the contract.
He then joined French side LOSC as a free agent, before his sale to Milan for €29.5m in 2019.
Sporting sued, insisting Leao had illegally broken his contract and have won a series of appeals to FIFA, ordering Leao to pay €16.5m plus five per cent interest for every year since his departure, taking it to circa €20.5m.
According to Portuguese paper Record, the verdict from the FIFA Dispute Resolution Chamber has pushed the entire matter back to the TAS tribunal.
The TAS already reiterated in February 2022 and October 2022 that LOSC are also responsible for the payment, so it is not just on Leao’s shoulders to repay that debt.
However, the same report also warns that Sporting are not happy with the €16.5m award from FIFA and will appeal to the TAS to bump that up to €45m.
This was the release clause figure set in Leao’s contract in 2018, before he walked away as a free agent.
LOSC also plan another appeal and the situation will drag on, all of it hanging over the head of Leao and his decisions on the contract extension with Milan.