The introduction of the system was approved by the FIFA Congress in 2009,[1] and was made mandatory from 1 October 2010.

[2] The purpose of the system is to improve transparency, efficiency and governance between clubs and football associations.

In addition to the obligation to pay compensation, sporting sanctions shall also be imposed on any player found to be in breach of contract during the protected period.

These sporting sanctions shall take effect immediately once the player has been notified of the relevant decision.

The DRC may impose the following severe actions: A- Warning B- Fine C- Relegation for two full seasons D- a ban from registering players, either nationally or internationally, for one or two entire and consecutive registration periods.