Friday , April 23 2021
Home / F1 Concorde Agreement Terms

F1 Concorde Agreement Terms

The FIA and Formula 1 would like to thank all the teams for their constant commitment over the past few weeks, and while discussions are intense, the agreement of all teams is an important basis for the long-term future of the sport. The terms of the Concorde agreement are confidential, but some important details are known. No more excessive special payments for several teams, with the exception of the reduction of Ferrari`s bonus for Ferrari. Christian Horner says he finds discussions on the new Formula 1 Concorde deal “remarkably easy,” so Red Bull is the first team to agree with the new conditions. Negotiations on the terms of replacement for the 2013 agreement began as part of wider discussions on the future of sport in 2017, but a deadline has been extended until 31 October 2019 to reach an agreement. The agreement is expected to be concluded in January 2020. [14] was ultimately delayed due to the COVID 19 pandemic. [15] During the 70th weekend of the Grand Prix, Mercedes team chief Toto Wolff expressed his displeasure with the terms of the new agreement, which is expected to introduce a budget cap from the 2021 season and change the price distribution. Wolff thought his team would be the hardest hit. [16] In response to this request, the deadlines for signing the agreement, which had been set for 12 August, were postponed by one week. [17] However, after talking with Chase Carey, Wolff changed his attitude and agreed to sign the new agreement. [18] The new Concorde agreement aims to protect the value of existing teams by requiring new entrants to pay $200 million, divided equally among 10 existing teams, in exchange for the right to share the turnover for the first year of the competition.

So far, newcomers only get the prize from the second year of the competition. [19] “We are delighted to have reached an agreement between the 10 teams on the long-term plans for our sport by August,” said Chase Carey, F1 CEO. “All our fans want more races, bike action and every team has a chance to get stormed on the podium. After months of discussions and discussions, the ten Formula 1 teams approved the terms of a new document, known as the Concorde Agreement, which links them to the World Cup for another five years. Here`s what it means for sport… The hope now is that all F1 teams can develop financially into robust operations while closing competitiveness, which can in turn improve the racing spectacle. 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. “The agreement is an important step in the development of Formula 1 and also represents an important opportunity for Williams to resume our journey back to the top of the pack,” said Claire Williams, the school`s assistant principal. Despite the three leading teams, like Mercedes, Ferrari and Red Bull against the new rules. And openly threatens to “think about their future in Formula 1”.

You agreed to the terms. Finally, regulation 2021 is facing a major upheaval. Horner hoped that the new terms would not only help make Formula 1 more sustainable, but would also make the series accessible to a wider audience. “This is an important agreement for F1 and although the details are confidential, it offers stability and continuity for the future, which is why we are happy to take it beyond the line,” Horner said. Ferrari`s argument for special treatment is obvious and can be summed up at best by glorious parts of its announcement that it has signed the new contract: “The only team that has participated in the world championship every year”, with a community of fans of “over 400 million worldwide”, and during a race on national soil at Mugello in just a few weeks , “the first team that has reached the milestone of having participated in 1000 Grand Prix”.”

Check Also

Write A Short Note On Agreement

Contracts can be bilateral or unilateral. A bilateral treaty is an agreement by which each …