F.I.F.A. – Commissione per lo Status dei Calciatori (2012-2013) – controversie tra società – ———- F.I.F.A. – Players’ Status Committee (2012-2013) – club vs. club disputes – official version by www.fifa.com – Decision of the Single Judge of the Players’ Status Committee passed in Zurich, Switzerland, on 21 January 2013, by Geoff Thompson (England) Single Judge of the Players’ Status Committee, on the claim presented by the club Club A, from country N as Claimant against the club Club P, from country I as Respondent regarding a contractual dispute between the parties relating to the player G

F.I.F.A. - Commissione per lo Status dei Calciatori (2012-2013) – controversie tra società – ---------- F.I.F.A. - Players' Status Committee (2012-2013) – club vs. club disputes – official version by www.fifa.com – Decision of the Single Judge of the Players’ Status Committee passed in Zurich, Switzerland, on 21 January 2013, by Geoff Thompson (England) Single Judge of the Players’ Status Committee, on the claim presented by the club Club A, from country N as Claimant against the club Club P, from country I as Respondent regarding a contractual dispute between the parties relating to the player G I. Facts of the case 1. On 27 January 2011, the country N Club A (hereinafter: Claimant), and the country I Club P (hereinafter: Respondent), concluded a transfer agreement for the transfer of the player G (hereinafter: the player). 2. The aforementioned transfer agreement stipulated, inter alia, that “Article 1. Compensation sum Club P agrees and undertakes to pay to Club A a (transfer) compensation sum of € 1,500,000.- (in words: one million fivehundredthousand Euros), exclusive of VAT and all other applicable taxes and levies, for the definitive transfer of the registration of the Player to Club P as per 1 July 2011. This (transfer) compensation sum shall be paid by Club P to Club A in three instalments as follows: - € 500,000.- (in words: fivehundredthousand Euros) exclusive of VAT by no later than 1 August 2011; - € 500,000.- (in words: fivehundredthousand Euros) exclusive of VAT by no later than 1 March 2012; - € 500,000.- (in words: fivehundredthousand Euros) exclusive of VAT by no later than 1 August 2012; Club P will pay all abovementioned instalments upon receipt of corresponding invoices sent by Club A. (…)” 3. On 3 October 2012, the Claimant lodged a claim in front of FIFA against the Respondent for breach of contract indicating that the Respondent had failed to pay the second and third instalment, despite having sent the relevant invoices in a timely manner to the Respondent. In view of the foregoing, the Claimant requested the payment of EUR 1,000,000 from the Respondent plus 5% interest as of 1 March 2012 on the second instalment of EUR 500,000 and as of 1 August 2012 on the third instalment of EUR 500,000. 4. The Claimant explained that, on 29 April 2012, it had by e-mail agreed upon a new payment schedule with the Respondent in order for the latter to pay the outstanding second and third instalment. However, the Respondent did not comply with the new payment schedule. Consequently, the Claimant informed the Respondent on 11 May 2012 that, after non-payment of the first instalment in accordance with the new payment schedule, the new payment schedule had lapsed with immediate effect. 5. On 29 October 2012, the Respondent replied to the claim lodged against it and stated that it was facing financial difficulties due to the failure of the country I National Football League to distribute the club’s share of TV rights and the financial crisis in country I. Therefore, the Respondent proposed a new payment schedule for the outstanding amount of EUR 1,000,000 (10 monthly installments of EUR 100,000). Furthermore, the Respondent asked the Claimant to waive its claim for interest, or to calculate the interest on the basis of Italian law, since the relevant transfer agreement does not provide for an interest rate in the event of late-payment. 6. On 12 November 2012, the Claimant submitted its response to the Respondent’s reply and stated that it was not willing to agree upon a new payment schedule. Therefore, the Claimant reiterated its initial claim and added that it equally requested the Respondent to pay the legal costs that the Claimant incurred during the present proceedings. 7. On 9 January 2013, the Respondent submitted its response to the latest position of the Claimant and “confirmed its availability to pay its debt in accordance with the instalments already communicated” and agreed to pay the Claimant 5% interest on an annual basis for the delay in accordance with the aforementioned payment schedule. II. Considerations of the Single Judge of the Players’ Status Committee 1. First of all, the Single Judge of the Players’ Status Committee (hereinafter: the Single Judge) analysed which Procedural Rules were applicable to the matter at hand. In this respect, he referred to art. 21 par. 2 and 3 of the Rules Governing the Procedures of the Players’ Status Committee and the Dispute Resolution Chamber (editions 2008 and 2012; hereinafter: the Procedural Rules) as well as to the fact that the present matter was submitted to FIFA on 3 October 2012, thus after 1 July 2008 but before 1 December 2012. Therefore, the Single Judge concluded that the 2008 edition of the Procedural Rules is applicable to the matter at hand. 2. Subsequently, the Single Judge analysed which edition of the Regulations on the Status and Transfer of Players is applicable as to the substance of the matter. In this respect, he referred, on the one hand, to art. 26 par. 1 and 2 of the 2010 and 2012 editions of the Regulations on the Status and Transfer of Players and, on the other hand, to the fact that the claim was lodged in front of FIFA on 3 October 2012. In view of the foregoing, the Single Judge concluded that the 2010 edition of the Regulations on the Status and Transfer of Players (hereinafter: the Regulations) is applicable to the case at hand as to the substance. 3. Furthermore, the Single Judge confirmed that, on the basis of art. 3 par. 1 and par. 2 of the Procedural Rules in connection with art. 23 par. 1 and par. 3 as well as art. 22 lit. f) of the Regulations, he was competent to deal with the present matter since it concerned a dispute between two clubs affiliated to two different associations. 4. The competence of the Single Judge and the applicable regulations having been established, and entering into the substance of the matter, the Single Judge started by acknowledging the above-mentioned facts as well as the arguments and the documentation submitted by the parties. 5. First of all, the Single Judge acknowledged that it was undisputed between the parties that, on 27 January 2011, a transfer agreement was concluded relating to the transfer of the player from the Claimant to the Respondent for a transfer compensation amounting to EUR 1,500,000, payable in three equal instalments of EUR 500,000 each. 6. Furthermore, the Single Judge observed that the Claimant indicated that the Respondent had only paid the first instalment and that, consequently, the Respondent still owed the Claimant the amount of EUR 1,000,000. 7. Moreover, the Single Judge took note that, in its reply, the Respondent did not dispute that a debt existed towards the Claimant, but that, due to its financial situation, it had not yet been able to pay the Claimant. 8. In this respect, the Single Judge ruled that the Respondent did not provide any valid argument which would justify the non-payment of the agreed transfer compensation and that, thus, the Respondent had failed to respect the terms of the transfer agreement it had entered into with the Claimant on 27 January 2011. The Single Judge emphasized that the Claimant’s rights could not be affected by the difficult financial situation of the Respondent. 9. Consequently, the Single Judge held that, in accordance with the basic legal principle of pacta sunt servanda, which in essence means that agreements must be respected by the parties in good faith, the Respondent has to fulfill its contractual obligations towards the Claimant. Therefore, the Single Judge held that the Respondent has to pay to the Claimant the amount of EUR 1,000,000 plus default interest until the date of effective payment as follows: - 5% p.a. on the amount of EUR 500,000, as from 2 March 2012; - 5% p.a. on the amount of EUR 500,000, as from 2 August 2012. 10. Furthermore, the Single Judge decided to reject the Claimant’s claim for “the legal costs that [the Claimant] is forced to make for these proceedings” in accordance with art. 18 par. 4 of the Procedural Rules, which stipulates that in proceedings of the Players’ Status Committee no procedural compensation shall be awarded. 11. Lastly, the Single Judge referred to art. 25 par. 2 of the Regulations in combination with art. 18 par. 1 of the Procedural Rules, according to which, in proceedings before the Players’ Status Committee including its Single Judge, costs in the maximum amount of currency of country H 25’000 are levied. The relevant provision further states that the costs are to be borne in consideration of the parties’ degree of success in the proceedings (cf. art. 18 par. 1 of the Procedural Rules). 12. In respect of the above, and taking into account that the Claimant is the successful party in the present proceedings, the Single Judge concluded that the Respondent has to bear the full costs of the current proceedings before FIFA. 13. Furthermore and according to Annexe A of the Procedural Rules, the costs of the proceedings are to be levied on the basis of the amount in dispute. On that basis, the Single Judge held that the amount to be taken into consideration in the present proceedings is EUR 1,000,000. Consequently, the Single Judge concluded that the maximum amount of costs of the proceedings corresponds to currency of country H 25,000. 14. In conclusion, and considering that the case at hand did not pose any particular factual difficulties and was adjudicated by the Single Judge and not by the Players’ Status Committee in corpore, the Single Judge determined the costs of the current proceedings to the amount of currency of country H 15,000. Furthermore, and in line with his aforementioned considerations and taking into account the degree of success, the Single Judge of the Players’ Status Committee decided that the amount of currency of country H 15,000 has to be paid by the Respondent. III. Decision of the Single Judge of the Players’ Status Committee 1. The claim of the Claimant, Club A, is partially accepted. 2. The Respondent, Club P, has to pay to the Claimant, within 30 days as from the date of notification of this decision, the amount of EUR 1,000,000 plus 5% interest p.a. until the date of effective payment as follows: - 5% p.a. as of 2 March 2012 over the amount of EUR 500,000; - 5% p.a. as of 2 August 2012 over the amount of EUR 500,000. 3. If the aforementioned sum plus interest is not paid within the aforementioned deadline, the present matter shall be submitted, upon request, to FIFA’s Disciplinary Committee for consideration and a formal decision. 4. Any further claim lodged by the Claimant is rejected. 5. The final amount of costs of the proceedings in the amount of currency of country H 15,000 are to be paid by the Respondent within 30 days as from the date of notification of the present decision as follows: 5.1. The amount of currency of country H 10,000 has to be paid to FIFA to the following bank account with reference to case nr. XX-XXXXX: 5.2. The amount of currency of country H 5,000 has to be paid directly to the Claimant. 6. The Claimant is directed to inform the Respondent immediately and directly of the account number to which the remittances under point 2. and 5.2. above are to be made and to notify the Single Judge of the Players’ Status Committee of every payment received. Note relating to the motivated decision (legal remedy): According to article 67 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 Fax: +41 21 613 50 01 e-mail: info@tas-cas.org www.tas-cas.org For the Single Judge of the Players’ Status Committee: Jérôme Valcke Secretary General Encl. CAS Directives