F.I.F.A. – Dispute Resolution Chamber / Camera di Risoluzione delle Controversie – labour disputes / controversie di lavoro (2018-2019) – fifa.com – atto non ufficiale – Decision 15 November 2018
Decision of the
Dispute Resolution Chamber
passed in Zurich, Switzerland, on 15 November 2018,
in the following composition: Geoff Thompson (England), Chairman Roy Vermeer (The Netherlands), member Johan van Gaalen (South Africa), member Wouter Lambrecht (Belgium), member Pavel Pivovarov (Russia), member
on the claim presented by the player,
Player A, Country B
as Claimant
against the club,
Club C, Country D
as Respondent
regarding an employment-related dispute arisen between the parties
I. Facts of the case
1. On 22 January 2018, the player of Country B, Player A (hereinafter: the Claimant or the player) and the club of Country D, Club C (hereinafter: the Respondent or the club), signed an employment contract (hereinafter: the contract) valid as from 22 January 2018 until 31 May 2018.
2. According to art. 5 of the contract, the Claimant was entitled, inter alia, to receive from the Respondent the total amount of EUR 135,000; amount payable as follows:
“35.000-Euros of the above mentioned amount has to be paid on 22nd January 2018. (Official Contract Signing Date)
The rest of the aforementioned amount is to be paid to the [Claimant] by the [Respondent] in 4 (four) equal instalments on the below mentioned dates:
1. 25.000 Euros 31st January 2018
2. 25.000 Euros 28th February 2018
3. 25.000 Euros 31st March 2018
4. 25.000 Euros 30th April 2018”
3. Furthermore, art. 5 of the contract established that the Claimant would be entitled to receive several bonuses, inter alia, the following:
“If the [Claimant] scores or assists 5 times, he will earn 5.000 Euros”.
4. Allegedly, on 16 April 2018, the player put the club in default of payment of EUR 75,000 Euros, amount corresponding to the instalments due in: January 2018, February 2018 and March 2018.
5. On 28 May 2018, the Claimant lodged a claim against the Respondent before FIFA requesting outstanding remuneration. In his request for relief, the Claimant requested the total amount of EUR 105,999.99; amount broken down as follows:
- EUR 100,000 corresponding to the 4 instalments due in: January 2018, February 2018, March 2018 and April 2018 respectively;
- EUR 999.99 as default interest, broken down by the player as follows:
- EUR 5,000 as bonus for having scored 3 goals and assisted 2 times during the season.
6. In his claim, the Claimant explained that the Respondent failed to pay him EUR 100,000 corresponding to 4 salaries. Moreover, the Claimant held that he is entitled to receive the bonus in the contract since he scored 3 times and assisted 2 times “in [the] last season”. Furthermore, the Claimant deemed to be entitled to interest as of the due dates “until the starting date of case action”.
7. In its reply to the claim, the Respondent rejected the player´s claim. In this regard, the Respondent alleged that it “couldn’t find any sponsor this year, but on the other hand the club declares that all problems will be solved and all debts will be paid”. Furthermore, the Respondent stressed that it “did not receive any fax or any notification from the player”.
8. Moreover, the Respondent declared that: “We would like to indicate that there isn´t a violation of the club until 2014. Also this case is a debt claim and the contract has not been terminated. The club was almost closed in 2016 and a new management has been formed in July 2016 and the new management has been restructured all the debts of the club. There were 27 cases of [the club] at FIFA and 24 of these cases were paid and closed, [the club] is paying the instalments of the 3 remaining cases”.
II. Considerations of the Dispute Resolution Chamber
1. First of all, the Dispute Resolution Chamber (hereinafter also referred to as Chamber or DRC) analysed whether it was competent to deal with the matter at hand. In this respect, it took note that the present matter was submitted to FIFA on 28 May 2018. Consequently, the Rules Governing the Procedures of the Players’ Status Committee and the Dispute Resolution Chamber (2018 edition; hereinafter: Procedural Rules) are applicable to the matter at hand (cf. art. 21 of the Procedural Rules).
2. Subsequently, the members of the DRC referred to art. 3 par. 1 of the Procedural Rules and confirmed that in accordance with art. 24 par. 1 in conjunction with art. 22 lit. b of the Regulations on the Status and Transfer of Players (2018 edition) the Dispute Resolution Chamber is competent to deal with the matter at stake, which concerns an
DATE OF PAYMENT
AMOUNT
“Accrued interest until the date of case action, 28th May 2018 (Default interest) (%5 p.a.)”
31st January 2018
25,000.00 Euros
400,68 Euros
28th February 2018
25,000.00 Euros
304,79 Euros
31st March 2018
25,000.00 Euros
198,63 Euros
30th April 2018
25,000.00 Euros
95,89 Euros employment-related dispute with an international dimension between a player of Country B and a club of Country D.
3. Furthermore, the DRC analysed which regulations should be applicable as to the substance of the matter. In this respect, it confirmed that in accordance with art. 26 par. 1 and par. 2 of the Regulations on the Status and Transfer of Players (2018 edition), and considering that the present claim was lodged on 28 May 2018, the 2018 edition of said regulations (hereinafter: Regulations) is applicable to the matter at hand as to the substance.
4. The competence of the Chamber and the applicable regulations having been established, the Chamber entered into the substance of the matter. In this respect, the Chamber started by acknowledging all the above-mentioned facts as well as the arguments and the documentation on file. However, the Chamber emphasised that in the following considerations it will refer only to the facts, arguments and documentary evidence, which it considered pertinent for the assessment of the matter at hand.
5. Having said this, the DRC acknowledged that the Claimant and the Respondent signed an employment contract valid as from 22 January 2018 until 31 May 2018, in accordance with which the Claimant was entitled to receive from the Respondent, inter alia, the following amounts:
a. EUR 35,000 payable on 22 January 2018;
b. EUR 100,000 payable in four instalments of EUR 25,000 each, due on 31 January 2018, 28 February 2018, 31 March 2018 and 30 April 2018, respectively;
c. EUR 5,000 if the Claimant “scores or assists 5 times”.
6. The Dispute Resolution Chamber further acknowledged that, according to the Claimant, the Respondent had failed to pay his remuneration in the total amount of EUR 100,000, corresponding to the instalments of January, February, March and April, all 2018, in the amount of USD 25,000 each. Moreover, the DRC took note that the Claimant requested the amount of EUR 999.99 as default interest in connection with the aforementioned monthly instalments, limiting the interest due until the date in which the claim was lodged, i.e. 28 May 2018. Furthermore, the Claimant requested a bonus in the amount of EUR 5,000 for having scored 3 goals and assisted 2 times during the term of the contract. The DRC further noted that the Claimant enclosed documentation in order to support his allegation regarding his entitlement to receive the bonus.
7. On the other hand, the Chamber took note that the Respondent, in its reply to the claim, argued that it could not find any sponsor and that all debts would be paid. In this regard, the DRC considered that the arguments raised by the Respondent cannot be considered a valid reason for non-payment of the amounts claimed by the Claimant, in other words, the reasons brought forward by the Respondent in its defence do not exempt the Respondent from its obligation to fulfil its contractual obligations towards the Claimant.
8. Consequently, the DRC decided to reject the argumentation put forward by the Respondent in its defense.
9. In view of all the above, the DRC established that, in accordance with the general legal principle of pacta sunt servanda, the Respondent is liable to pay to the claimant outstanding remuneration in the total amount of EUR 105,999.99 corresponding to the following concepts:
- USD 100,000 corresponding to four equal instalments of USD 25,000 each, which were due on 31 January 2018, 28 February 2018, 31 March 2018 and 30 April 2018, respectively.
- USD 999.99 as interest of 5% p.a. on each of the four equal instalments as of the day following the day on which the relevant payments fell due, until the date in which the claim was lodged, i.e. 28 May 2018. The latter calculation was accepted by the Chamber, since the Claimant limitated the interest due until the day in which the claim was lodged.
- USD 5,000 as bonus for having scored 3 goals and assisted 2 times during the relevant season. In this regard, the DRC took note that the Claimant had substantiated his claim pertaining to his entitlement to receive the bonus with sufficient documentary evidence in accordance with art. 12 par. 3 of the Procedural Rules. The Chamber further noted that the Claimant’s entitlement to the said bonus remained uncontested by the Respondent.
10. In conclusion, for all the above reasons, the Chamber decided to accept the Claimant’s claim.
III. Decision of the Dispute Resolution Chamber
1. The claim of the Claimant, Player A, is accepted.
2. The Respondent, Club C, has to pay to the Claimant, within 30 days as from the date of notification of this decision, outstanding remuneration in the amount of EUR 105,999.99.
3. In the event that the amount due to the Claimant in accordance with the above-mentioned number 2. is not paid by the Respondent within the stated time limit, interest at the rate of 5% p.a. will fall due as of expiry of the aforementioned time limit and the present matter shall be submitted, upon request, to the FIFA Disciplinary Committee for consideration and a formal decision.
4. The Claimant is directed to inform the Respondent immediately and directly of the account number to which the remittance is to be made and to notify the Dispute Resolution Chamber of every payment received.
*****
Note relating to the motivated decision (legal remedy):
According to article 58 par. 1 of the FIFA Statutes, this decision may be appealed against before the Court of Arbitration for Sport (CAS). The statement of appeal must be sent to the CAS directly within 21 days of receipt of notification of this decision and shall contain all the elements in accordance with point 2 of the directives issued by the CAS, a copy of which we enclose hereto. Within another 10 days following the expiry of the time limit for filing the statement of appeal, the appellant shall file a brief stating the facts and legal arguments giving rise to the appeal with the CAS (cf. point 4 of the directives).
The full address and contact numbers of the CAS are the following:
Court of Arbitration for Sport
Avenue de Beaumont 2
1012 Lausanne
Switzerland
Tel: +41 21 613 50 00
e-mail: info@tas-cas.org
For the Dispute Resolution Chamber:
Omar Ongaro
Football Regulatory Director
Encl.: CAS directives