Livingston chairman Ged Nixon is calling for changes to contract rules after Calum Elliot signed for both the West Lothian club and Raith Rovers.
Livi announced on 29 April that they had entered into an agreement with Elliot but the former Hearts striker is to join their Division One rivals.
"We acted in good faith and I believe Raith have done the same," said Nixon.
And Rovers chief executive Eric Drysdale described the situation as an "accident waiting to happen".
Elliot, 26, , joining on a short-term contract after leaving Lithuanian outfit Zalgiris Vilnius.
Nixon insists Elliot signed a contract and even discussed it in an interview on BBC ALBA but neglected to inform Rovers before agreeing a similar deal at Stark's Park.
"Something needs to be done to tighten these things up," added Nixon.
The Livingston chairman believes the problem rests with Scottish Football League and Scottish FA rules preventing players from being registered when the transfer window is closed.
"He agreed a contract with Livingston, with assistant manager Mark Burchill and myself and signed that contract along with the player registration documents," explained Nixon,
"However, because the window was closed he was a registered Alloa Athletic player at that time; the players can't be lodged until the window opens.
"Because of the timing, it debarred us from registering him in the same way and Raith Rovers are now saying he is their player.
"Hypothetically, he could now jump on a bus and sign for Falkirk, then go on a bus down to Dumfries in the morning and sign for Queen of the South - and we would all be in the same position."
Drysdale told BBC Scotland that he hoped there would be no bad blood between the clubs over the confusing episode.
And the Rovers chief executive also thinks a simple rule change would avoid any further registration issues.
"Contractually, we are in the right position here and there's been an unfortunate sequence of events," he said.
"Livingston seem to be disadvantaged by that and we're sorry but, at the end of the day, it's football rules that have to be applied consistently across the board and that's what we're trying to work with."
helped Alloa finish second in the table and win promotion to Division One after a