section_path: Criticism/Impact of multi-club ownership
section_name: Impact of multi-club ownership
paragraph_text: Impact of multi-club ownership
  
  In an issue not unique to the Club World Cup, some teams in the tournament are owned by multi-club ownership groups, including tournament qualifiers Pachuca and León, which are both owned by Grupo Pachuca, and which may raise conflict of interest concerns. In response to this concern, FIFA has stated in the tournament regulations that clubs in the competition cannot own shares, be members of other clubs, or influence their performance. Similarly, individuals cannot simultaneously manage or influence multiple clubs. "Influence" in this context is defined as holding a majority of voting rights, having the right to appoint or remove majority board members, controlling a majority of voting rights through agreements, or exercising a decisive influence in the club's decision-making. Should two or more clubs fail to meet the criteria, the FIFA Disciplinary Committee shall review the cases to determine admission status, and the FIFA general secretariat shall allow only one of any conflicted clubs to participate while also selecting the replacement for the prohibited club in the competition.
  
  In November 2024, Costa Rican club Alajuelense announced it had requested FIFA to enforce its multi-club ownership rule to disqualify either Pachuca or León and would pursue legal action if necessary. Alajuelense would have been the first team eligible to qualify via CONCACAF's ranking pathway, given the restriction of two clubs per association. However, this assumes the host slot is counted toward the association restriction; otherwise American club Philadelphia Union would be the first eligible team via the ranking pathway. FIFA subsequently ruled that Alajuelense could not be involved in any proceedings. On February 4, 2025, Alajuelense filed an appeal at the Court of Arbitration for Sport against FIFA, Pachuca, and León. Ultimately the case against Grupo Pachuca was successful and León was removed from the tournament on March 21, 2025. According to The Guardian and confirmed by FIFA, the replacement would come in a one-game playoff ahead of the tournament between 2023 CONCACAF Champions League runner-up Los Angeles FC and the highest-ranked by coefficient Mexican club not already in the tournament, Club América, should Leon's expulsion be confirmed. Notably, this excludes both Alajuelense and Philadelphia Union. There was an expedited appeal hearing regarding Leon's expulsion scheduled for the week of May 5, 2025. Separately, and subject to the confirmation of Leon's potential removal, Alajuelense's case was heard on April 23, 2025, in Madrid. The expulsion of León, the rejection of Alajuelense's demand to replace León, and the playoff match between Los Angeles FC and Club América were later confirmed on May 6, 2025. On May 31, Los Angeles FC clinched the final spot in the tournament with a 2–1 extra-time win over Club América at BMO Stadium in Los Angeles.