The Formula 1 Concorde Agreement is a contract that outlines the terms of the relationship between the teams, the FIA (Fédération Internationale de l`Automobile), and the Formula One Group. It is considered the most important document for the sport, as it regulates the commercial and sporting aspects of Formula 1.
The first Concorde Agreement was signed in 1981 between the FIA, FOCA (Formula One Constructors` Association), and the FISA (Fédération Internationale du Sport Automobile), which was the governing body of motorsports at the time. The agreement was named after the Concorde aircraft, which was renowned for its speed and was seen as a fitting symbol for the fast-paced world of Formula 1.
The Concorde Agreement has evolved over the years, with its most recent iteration signed in 2020 and set to run until 2025. The agreement is divided into two parts: the sporting regulations and the commercial regulations.
The sporting regulations cover the technical specifications for the cars, the safety requirements for the race tracks, and the rules governing the conduct of the races. They also outline how points are awarded for the drivers` and constructors` championships, as well as how the grid positions are determined for each race.
The commercial regulations cover the financial aspects of the sport, including the distribution of revenue among the teams, the advertising and sponsorship agreements, and the fees paid by the circuits to host races. They also outline the terms of the television broadcasting rights and the use of the Formula 1 brand and logo.
One of the most significant aspects of the Concorde Agreement is the governance structure of Formula 1. The agreement establishes a Formula One Commission, which is responsible for making decisions on the sporting and technical regulations. The commission is made up of representatives from the teams, the FIA, and the Formula One Group.
The Concorde Agreement also sets out the terms for the participation of the teams in Formula 1. It requires the teams to commit to the sport for a certain number of years, and it includes provisions for the entry and exit of teams from the championship.
Overall, the Formula 1 Concorde Agreement is a vital document for the sport, as it provides a framework for the commercial and sporting aspects of the championship. It ensures that all the stakeholders in the sport are aligned and working towards a common goal of promoting and improving Formula 1.
