Could Alexander Isak terminate his Newcastle United contract and sign for Liverpool on a free using legal loophole?

Newcastle's summer transfer window has been dominated by Isak's desire to leave the club and Liverpool's rejected £110 million approach.

While the Magpies have seen the likes of Jacob Ramsey, Anthony Elanga, Aaron Ramsdale and Malick Thiaw arrive at St. James' Park, their incomings have been overshadowed by the prospect of star striker Isak leaving the club under a cloud.

With Newcastle determined to keep the Swedish forward unless an offer they deem acceptable is received, Isak has gone on strike, training separately to the rest of Eddie Howe's squad and is not under consideration for matchday squads.

If Liverpool - or any other team, for that matter - do not return with an offer Newcastle consider suitable, there is a realistic chance Isak still belongs to the north-east club on September 2, once the transfer window has closed.

Isak's statement in which he claimed promises had been broken, implying the relationship was irreparable, fanned the flames of this summer's leading transfer saga further.

Newcastle responded with a firm stance of their own, denying Isak's claim that promises had been made, supposedly regarding a new contract with significantly improved terms, or a move.

So, with club and player engaged in a stand-off with no resolution in sight, could Isak decide upon taking the nuclear option?

Can Isak terminate his Newcastle deal this summer?

In theory, yes. Every player has the option to unilaterally terminate their contract, but there are consequences.

FIFA rules and regulations stipulate a player will face sporting sanctions, such as a ban from professional football activity, if they terminate their contract 'without just cause' within the 'protected period'.

What is the protected period?

The protected period is a specific time frame designed to protect the stability of contracts between players and clubs. This applies to FIFA's rules for transfers between leagues.

For players under the age of 28, which applies in Isak's case, the protected period is three years or three seasons, whichever comes first.

The 'protected period' in relation to the Swede's Newcastle contract expires on August 26, 2025. So, in theory, Isak can terminate his Newcastle deal once the protected period ends and then sign for a new club in another league on a free transfer without incurring a sporting sanction.

Is it as simple as that?

No. If Isak were to join Liverpool, for example, the principles of English contract law would apply, which could include an injunction preventing him playing for another club.

It is unclear how the English courts, or English football's own private dispute resolution mechanisms, would handle that - they wouldn't force him to play for Newcastle, but they might prevent him joining another English club for a period of time.

Theoretically, FIFA cannot prohibit Isak from terminating his Newcastle deal and joining a new club in England, as long as he does so after the protected period ends. This is because FIFA's Regulations on the Status and Transfer of Players (RSTP) governs international transfers, not domestic ones, which are under the jurisdiction of national federations, such as the Football Association (FA).

What could Newcastle do in the event Isak terminates his contract?

Newcastle could seek damages in the form of compensation from the player for breach of contract.

Previously, new clubs were 'jointly and severally liable' for compensation, particularly if it could be proven that a new club induced the player into terminating his contract. This is, however, difficult to prove.

As for the compensation owed by the player, there is a big question mark over how much that could potentially be as instances such as this are decided on a case-by-case basis.

Historically, players could be responsible for their own prior transfer fee, but that is now unlikely due to a landmark case involving former Arsenal and Chelsea midfielder Lassana Diarra. Last October, a ruling by the Court of Justice of the European Union (CJEU) found in the player's favour, after an almost decade-long litigation process.

What is the Diarra case?

Diarra terminated his contract with Lokomotiv Moscow back in 2014 and was suspended from football activity by FIFA for 15 months. The Frenchman was also ordered to pay €10m in damages to Lokomotiv by the Court of Arbitration for Sport (CAS) for breach of contract.

However, Diarra challenged the ruling and is now seeking compensation worth €65m for career damage. Diarra was in talks to sign for Sporting Charleroi in Belgium following his Moscow exit but the Belgian club, faced with the risk of joint liability for compensation to Diarra's former team, backed out of a deal.

The CJEU ruling last year found that sections of FIFA's RSTP, namely Articles 14 and 17, contravened EU competition law and a worker's right to free movement, prompting a reform of FIFA legislation around player transfers, which is yet to be completed.

Parts of the RSTP transfer system were viewed by the courts as acting like a 'no-poaching' agreement between clubs, which was found to be harmful to players' individual rights and freedoms and harmful to the market at large.

How does this relate to Isak's current situation?

After the Diarra case, it would be unrealistic to expect Isak to pay Newcastle compensation in line with his transfer value, should he terminate without just cause. The player is said to be valued by Newcastle at the £150m mark.

Broadly, the Diarra case limits FIFA's powers to sanction a player in the event of termination, but doesn't change the fact if Isak were to join Liverpool, UK domestic law and FA guidelines take precedence in any legal proceedings.

FourFourTwo's verdict

In FourFourTwo's opinion, it is unlikely Isak takes this action to resolve the dispute he currently finds himself in with his employers.

As pointed out by sports law expert @slbsn, termination of a contract during a competition period would carry a FIFA sanction.

The transfer deadline is fast-approaching and after Liverpool's last-gasp victory at St. James' Park on the August Bank Holiday, tensions between the two clubs are not likely to have cooled.

There is now a strong likelihood Isak remains at Newcastle, but whether he returns to the fold or doubles down on the position he has taken throughout the summer is anyone's guess.