F.I.F.A. – Dispute Resolution Chamber / Camera di Risoluzione delle Controversie – labour disputes / controversie di lavoro (2020-2021) – fifa.com – atto non ufficiale – Decision 25 February 2021

Decision of the

DRC Judge

passed on 25 February 2021

regarding an employment-related dispute concerning the player Oussama Zamouri

BY:

Philippe Diallo (France), DRC Judge

CLAIMANT:

Oussama Zamouri, Netherlands

Represented by Ms Suzanne Bakker

RESPONDENT:

NK Inter Zapresic, Croatia

I. FACTS

1. On 7 January 2020, the Dutch player Oussame Zamouri (hereinafter: the player or Claimant) and the Croatian club NK inter Zapresic (hereinafter: the club or Respondent) concluded an employment contract valid between 7 January 2020 and 15 June 2021, based on which the player was entitled to a gross monthly salary of EUR 6,800.

2. On 16 April 2020, the club send a letter to the player, explaining that he would receive:

- 1/3 of ‘every monthly contract’ will be paid in the period between May 2020 and the end of the transfer window 2021 (‘respectively till expiration of contract for some players’)

- 1/3 of ‘every monthly contract’ will be paid as from the end of transfer window 2021 together with 100% of salary for current month;

- 1/3 of ‘every monthly contract will not be paid’ and ’players should sign approval’.

3. On 24 April, the player made a counterproposal to the club, offering a reduction of 25% of his salaries for the months of May and June 2020, however the club never replied to said proposal.

4. On 10 July 2020, the player and the club signed a termination agreement, based on which the player was entitled to an amount of EUR 17,000, to be paid on 31 August 2020 the latest.

5. On 27 August 2020, the player provided the club with his bank details and after he did not receive the amount of EUR 17,000, he put the club in default for the amount of EUR 17,000 on 5 October, 2020, providing a 10 days’ deadline to remedy its default, however to no avail.

6. On 22 October 2020, the player lodged a claim against the club before FIFA, asking to be awarded the following amounts:

- EUR 30,384 gross, plus 5% interest p.a. as from 1 September 2020; or alternatively

- EUR 17,000 net, plus 5% interest p.a. as from 1 September 2020;

- EUR 411 as costs to obtain the tax advice.

7. In his claim, the player explains that he is entitled to an amount of EUR 17,000 net, and, since he is a tax resident in Netherlands, he will have to pay taxes on amounts received in Netherlands. As a result, in order to guarantee that the player will receive EUR 17,000 net, the club should make a payment of EUR 30,384 gross.

8. In this respect, the player provided an expert report and several documents from the Dutch Ministry of Finance, confirming that in Netherlands’ an income tax of 37.35% is applicable.

9. In its reply to the claim, the club argues that it could not timely pay the amount of EUR 17,000 as a result of financial problems.

10. Furthermore, the club explains that normally it paid the salary of the player to a Croatian bank account and the corresponding Croatian taxes to another Croatian bank account. In this respect, the club confirms that the taxes related to the amount of EUR 17,000 net will be paid by its club to the Croatian tax authorities.

11. Finally, the club points out that it has no problem in making the payments of the amount of EUR 17,000 net to a Dutch bank account and that it will pay the corresponding taxes in Croatia to the Croatian tax authorities.

II. CONSIDERATIONS OF THE DRC JUDGE

1. First of all, the DRC Judge (hereinafter also referred to as DRC judge) analysed whether it was competent to deal with the case at hand. Taking into account the wording of art. 21 of the June 2020 edition of the Rules Governing the Procedures of the Players’ Status Committee and the Dispute Resolution Chamber (hereinafter: the Procedural Rules), the aforementioned edition of the Procedural Rules is applicable to the matter at hand.

2. Subsequently, the DRC Judge referred to art. 3 par. 1 of the Procedural Rules and emphasised that, in accordance with art. 24 par. 1 in combination with art. 22 lit. b) of the Regulations on the Status and Transfer of Players, the DRC Judge is competent to deal with matters which concern employment-related disputes with an international dimension between players and clubs, such as the present one, which involves a Dutch player and a Croatian club.

3. In continuation, the DRC Judge analysed which edition of the Regulations of the Status and Transfer of Players should be applicable to the present matter. In this respect, the DRC Judge confirmed that in accordance with art. 26 par. 1 and 2 of the Regulations on the Status and Transfer of Players, and considering the date when the claim was lodged, the June 2020 edition of the aforementioned regulations (hereinafter: the Regulations) is applicable to the matter at hand.

4. With the above having been established, the DRC Judge entered into the substance of the matter. In doing so, it started to acknowledge the facts of the case as well as the documents contained in the file. However, the DRC Judge emphasized that in the following considerations it will refer only to facts, arguments and documentary evidence which it considered pertinent for the assessment of the matter at hand.

5. First of all, the DRC judge acknowledged that the Claimant and the Respondent had concluded an employment contract valid as from 7 January 2020 and 15 June 2021, based on which the Claimant was entitled to a monthly salary of EUR 6,800 gross.

6. The DRC judge further observed that the Claimant, on 10 July 2020, concluded a termination agreement with the Respondent, based on which he would be entitled to an amount EUR 17,000 no later than 31 August 2020.

7. What is more, the DRC judge noted that the Claimant lodged a claim in front of FIFA against the Respondent seeking payment of the amount of EUR 30,384 gross, or alternatively EUR 17,000 net, as well as EUR 411 as costs to obtain a tax advice, indicating that the Respondent had failed to pay the amount he was entitled to as per the termination agreement.

8. Subsequently, the DRC judge noted that the Respondent, in its defence, argued that it could not pay the amount of EUR 17,000 on time, due to financial problems, however that it wishes to pay said amount to the Claimant’s Dutch bank account, and that it will pay the corresponding taxes in Croatia.

9. In relation to the documentation provided by Claimant and the Respondent, the DRC judge recalled the basic principle of the burden of proof, as stipulated in art. 12 par. 3 of the Procedural Rules, according to which a party claiming a right on the basis of an alleged fact shall carry the respective burden of proof.

10. In this context, the DRC judge noted that the termination agreement, which was provided by the parties, does not contain any references or clauses that relate to the tax responsibilities of each of the parties and only refers to the payment of an amount of EUR 17,000 net.

11. In view of the foregoing, the DRC judge therefore decided that the Claimant is entitled to the amount of EUR 17,000 net, the payment of which should be proven by the Respondent, as well as that the parties should be responsible for the taxes payable on their own territory.

12. Finally, the DRC judge decided to reject the Claimant’s claim for the reimbursement of the costs of the tax advice, as there was no contractual basis for said reimbursement.

13. In view of all the above and, in particular, taking into account that the Respondent did not contest that the relevant amount had remained unpaid, the DRC judge decided that, in accordance with the general legal principle of pacta sunt servanda, the Respondent must fulfil its contractual obligations towards the Claimant and is to be held liable to pay the Claimant the amount of EUR 17,000 net.

14. In continuation and with regard to the Claimant's request for interest, the DRC judge decided that the Claimant is entitled to receive interest at the rate of 5% p.a. on the amount of EUR 17,000 as from 1 September 2020.

15. The DRC judge concluded his deliberations in the present matter by rejecting any further claim of the Claimant.

16. Furthermore, taking into account the consideration under number II./3. above, the DRC judge referred to par. 1 and 2 of art. 24bis of the Regulations, which stipulate that, with his decision, the pertinent FIFA deciding body shall also rule on the consequences deriving from the failure of the concerned party to pay the relevant amounts of outstanding remuneration and/or compensation in due time.

17. In this regard, the DRC judge pointed out that, against clubs, the consequence of the failure to pay the relevant amounts in due time shall consist of a ban from registering any new players, either nationally or internationally, up until the due amounts are paid and for the maximum duration of three entire and consecutive registration periods.

18. Therefore, bearing in mind the above, the DRC judge decided that, in the event that the Respondent does not pay the amounts due to the Claimant within 45 days as from the moment in which the Claimant, following the notification of the present decision, communicates the relevant bank details to the Respondent, a ban from registering any new players, either nationally or internationally, for the maximum duration of three entire and consecutive registration periods shall become effective on the Respondent in accordance with art. 24bis par. 2 and 4 of the Regulations.

19. Finally, the DRC judge recalled that the above-mentioned ban will be lifted immediately and prior to its complete serving upon payment of the due amounts, in accordance with art. 24bis par. 3 of the Regulations.

III. DECISION OF THE DRC JUDGE

1. The claim of the Claimant, Oussama Zamouri, is partially accepted.

2. The Respondent, NK Inter Zapresic, has to pay to the Claimant, the following amount:

- EUR 17,000 as outstanding remuneration, plus 5% interest p.a. as from 1 September 2020 until the date of effective payment.

3. Any further claims of the Claimant are rejected.

4. The Claimant is directed to immediately and directly inform the Respondent of the relevant bank account to which the Respondent must pay the due amount.

5. The Respondent shall provide evidence of payment of the due amount in accordance with this decision to psdfifa@fifa.org, duly translated, if applicable, into one of the official FIFA languages (English, French, German, Spanish).

6. In the event that the amount due, plus interest as established above is not paid by the Respondent within 45 days, as from the notification by the Claimant of the relevant bank details to the Respondent, the following consequences shall arise:

 1.

The Respondent shall be banned from registering any new players, either nationally or internationally, up until the due amount is paid and for the maximum duration of three entire and consecutive registration periods. The aforementioned ban mentioned will be lifted immediately and prior to its complete serving, once the due amount is paid.

(cf. art. 24bis of the Regulations on the Status and Transfer of Players). 2.

In the event that the payable amount as per in this decision is still not paid by the end of the ban of three entire and consecutive registration periods, the present matter shall be submitted, upon request, to the FIFA Disciplinary Committee.

For the DRC Judge:

Emilio García Silvero

Chief Legal & Compliance Officer

NOTE RELATED TO THE APPEAL PROCEDURE:

According to article 58 par. 1 of the FIFA Statutes, this decision may be appealed against before the Court of Arbitration for Sport (CAS) within 21 days of receipt of the notification of this decision.

NOTE RELATED TO THE PUBLICATION:

FIFA may publish this decision. For reasons of confidentiality, FIFA may decide, at the request of a party within five days of the notification of the motivated decision, to publish an anonymised or a redacted version (cf. article 20 of the Procedural Rules).

CONTACT INFORMATION:

Fédération Internationale de Football Association

FIFA-Strasse 20 P.O. Box 8044 Zurich Switzerland

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