Even casual football fans will likely have seen the term ‘release clause’, especially during the transfer window periods. Release clauses have become increasingly common in player contracts and have helped shift the power dynamic between players and clubs in favour of the players. In this article, we explain everything you need to know about release clauses and their impact on the beautiful game.
Release Clause – A Simple Explanation
In football, a release clause is a specific condition written into a player’s contract that allows them to leave their club if another club agrees to pay a set transfer fee. Once that fee is met, the selling club must accept the bid. This then enables the interested buying club and the player to discuss personal terms and agree a move, without the current club being able to stop it.
An important point to note here is that a player is not obligated to move just because their release clause is met. Players are still free to turn down the approach from the interested purchasing club. Additionally, not all players have release clauses in their contracts. While mandatory in Spain, in other leagues they are optional and are negotiated by players on an individual basis.
The Release Clause Process
Many big signings in recent years have involved the triggering of a release clause, but let’s use Erling Haaland’s move to Man City from Borussia Dortmund as one example. Here is how the transfer played out.
- Haaland negotiates €60m release clause in contract when he signs for Dortmund.
- Man City make an official bid of €60m for the Norwegian striker.
- As this meets the release clause, Dortmund are obligated to accept the bid.
- Man City and Haaland agree terms, allowing the €60m transfer to take place.
- Man City pay Dortmund €60m in one payment.
Note that release clauses rarely represent the full cost of a transfer. In this example, a hefty agent fee and signing-on bonus meant the total cost of the signature was reported to be around €100m.
Immediate Payment Usually Required
For a ‘regular’ transfer, clubs will usually agree to pay the agreed transfer fee over several instalments. This is how purchasing clubs prefer to structure the deal, as it helps spread the cost over multiple years, helping them meet financial regulations such as FFP. With a release clause, however, in most cases the buying club must agree to pay the fee upfront in a single payment.
Due to this, you can sometimes find instances of a club paying more than the release clause in order to secure a more favourable payment structure. This is what Man United did when signing Joshua Zirkzee from Bologna. Zirkzee had a release clause worth £33.6m, but the two clubs negotiated a deal worth £36.5m instead. Bologna were happy to accept the extra money, while United were happy that they could now structure the deal in a way that suited them.
Occasionally, you may find an instance of a deal where a release clause is not paid in full initially. When Man United triggered the £62.5m release clause of Matheus Cunha, they agreed a deal to pay Wolves in three instalments over two seasons. While this can certainly happen, depending on the clubs involved and clause terms, it is not the norm.
Changing Release Clauses
At times, football release clauses can be extremely simple, a set fee covering the duration of the contract. Clauses are often more complicated than this, however, and can come with one or several variables.
- Release clause value changes depending on what year it is, usually declining over time.
- Release clause value changes depending on the buying team. Often, there is a higher fee for domestic rivals. In 2023, Paulo Dybala had an active release clause which stood at €20m for Italian clubs and €12m for foreign clubs.
- Release clause only active if a club is relegated. A recent example is Liam Delap, who had a £30m clause in his Ipswich contract upon relegation.
- Release clause only active if a qualifying club bids, e.g. one in the Champions League. See Michael Olise’s move from Crystal Palace to Bayern Munich.
- Release clause only valid for a specific time window. While at West Ham, Mohammed Kudus had an £85m clause that was valid for the first 10 days of July.
- Release clause can be triggered by the player. In order for Harry Kane to trigger his €65m summer 2026 release clause, he is required to inform Bayern of his intention by the end of the winter transfer window.
So, the terms of a release clause can be a little complicated, but these caveats help clubs and players reach an agreement that works for both parties.
A Secret Price?
Sometimes, release clauses for footballers become public knowledge, particularly in Spain, but in some contracts, they are a matter of secrecy. This prevents clubs from just offering the exact clause amount, as they will not know the amount. This proved to be a decisive issue in Morgan Gibbs-White’s failed move to Tottenham in the summer of 2025. Spurs offered the release clause value for the midfielder, but their bid amount revealed, or at least strongly suggested, they were aware of the hidden clause.
In response to this, Evangelos Marinakis threatened legal action, resulting in Spurs dropping their pursuit of the Englishman. Having such secrecy over a clause is uncommon, but they are often not widely publicised and will only be passed on by agents looking to secure a move for their client.
Why Have a Release Clause?
In Spain, players are required by law to have a release clause in their contract. To get around this requirement, many big players will agree to a €1bn release clause. Examples include Jude Bellingham, Kylian Mbappé, Trent Alexander-Arnold, Pedri and Lamine Yamal. These names have a release clause, as per the law, but the figure is so high that it is almost like not having one at all because no clubs would pay so much for one player (maybe a club in Saudi Arabia will prove us wrong).
In many cases, though, a player will demand a reasonable release clause for their own benefit, particularly if they are a big name at a smaller team. Understandably, players want to sign long-term contracts with clubs as they offer them a more secure future. At the same time, though, they do not want to end up trapped at a club whenever they feel ready for a bigger challenge.
By insisting on a release clause, a player knows that they can leave their club provided another team is willing to pay up. Without such a clause, the player’s existing team could dig in their heels and reject all offers, even extremely generous ones. This would leave the player in a position where they have to begrudgingly accept their circumstances or try to burn bridges and force a move. This is why many players insist on release clauses, as they give them a greater say over their future.