F.I.F.A. – Players’ Status Committee / Commissione per lo Status dei Calciatori – players’ and match agents disputes / controversie agenti di calciatori – (2016-2017) – fifa.com – atto non ufficiale – Decision of the Single Judge of the Players’ Status Committee passed in Zurich, Switzerland, on 27 July 2016

Decision of the Single Judge of the Players’ Status Committee

passed in Zurich, Switzerland, on 27 July 2016,

by

Geoff Thompson (England)

Single Judge of the Players’ Status Committee,

on the claim presented by the Players’ Agent

Players’ Agent X, from country X

as “Claimant”

against the club

Club Z, from country Z

as “Respondent”

regarding a contractual dispute arisen between the parties.

Players’ Agent X, from country X / Club Z, from country Z 2

I. Facts of the case

1. On 10 July 2014, the players’ agent X, licensed by the Football Federation of country X (hereinafter: the Claimant), and Club Z, from country Z (hereinafter: Respondent), entered into an agreement (hereinafter: the agreement), concerning the transfer of the player L (hereinafter: the player) to the country X club, Club G (hereinafter: Club G), which provided for the Claimant to receive from the Respondent, as commission, EUR 200,000 as follows:

- EUR 50,000 “on the earlier of (..) the day in which the CLUB [i.e. the Respondent] received from Club G, the payment set out in clause 2 (b)(i) of the TRANSFER CONTRACT; or (..) 30 June 2015”;

- EUR 35,000 “on the earlier of (..) the day in which the CLUB [i.e. the Respondent] received from Club G, the payment set out in clause 2 (b)(ii) of the TRANSFER CONTRACT; or (..) 30 March 2016”;

- EUR 40,000 “on the earlier of (..) the day in which the CLUB [i.e. the Respondent] received from Club G, the payment set out in clause 2 (b) (iii) of the TRANSFER CONTRACT; or (..) 30 August 2016”;

- EUR 35,000 “on the earlier of (..) the day in which the CLUB [i.e. the Respondent] received from Club G, the payment set out in clause 2 (b) (iv) of the TRANSFER CONTRACT; or (..) 30 March 2017”;

- EUR 40,000 “on the earlier of (..) the day in which the CLUB [i.e. the Respondent] received from Club G, the payment set out in clause 2 (b) (v) of the TRANSFER CONTRACT; or (..) 30 August 2017”.

2. On the same day, the Respondent and Club G concluded a transfer agreement (hereinafter: the transfer contract) in connection with the player, by means of which Club G had to pay to the Resopndent EUR 1,900,000 as transfer fee as follows: (i) EUR 500,000 “on or before 15th of July 2014”; (ii) EUR 350,000 “on or before 10th of March 2015”; (iii) EUR 350,000 “on or before 10th of August 2015”; (iv) EUR 350,000 “on or before 10th of March 2016” and (v) EUR 350,000 “on or before 10th of August 2016”.

3. On 27 March 2015, the Claimant lodged a claim with FIFA against the Respondent and requested from the latter the payment of EUR 50,000, corresponding to the first instalment due as per the agreement. In this respect, the Claimant specified that the first instalment had to be paid on 16 July 2014, i.e. the alleged exact date when the Respondent received EUR 500,000 from Club G. In this respect, a payment order from Club G for an amount of EUR 500,000 to a bank account in country Z was provided by the Claimant as evidence.

Players’ Agent X, from country X / Club Z, from country Z 3

4. In addition, the Claimant requested FIFA to order the Respondent to “pay (..) futures instalments that fall due in the course of this claim established in (..) the contract”.

5. In its response on 18 November 2015, the Respondent rejected the Claimant’s claim in its entirety.

6. In this regard, the Respondent first contested FIFA’s competence to decide on the dispute arguing that the Claimant had failed to lodge his claim before 1 April 2015.

7. Furthermore and “in case the claimant filed the case as per the FIFA regulations on time and before 1st April 2015, then it has no right as well to receive any payments till Club Z [i.e. the Respondent] receives its instalments on the mentioned dates within the transfer agreement”.

8. In addition, the Respondent mentioned that “till our date we didn’t receive the instalments from Club G club and there is a case in front of FIFA”.

9. On 7 April 2016, after the investigation-phase was closed, the Claimant further requested from the club the amount of EUR 200,000 “plus 5% interest per annum, calculated as from the due date of each instalment”. The Claimant provided a payment order from Club G to the Respondent dated 31 March 2016 for a total amount of EUR 1,400,000.

10. On 25 April 2016, the Respondent reiterated its previous allegations and contested once again FIFA’s competence to decide on the dispute arguing that the Claimant had failed to lodge his claim before 1 April 2015. The Respondent further added that the Claimant “did not exert the expected effort to receive the agent fee which he is claiming” and, therefore, he should not be entitled to any commission whatsoever. Alternatively, the Respondent requested FIFA to reduce the commission.

***

Players’ Agent X, from country X / Club Z, from country Z 4

II. Considerations of the Single Judge of the Players’ Status Committee

1. First of all, the Single Judge of the Players’ Status Committee analysed which procedural rules are applicable to the matter at hand. In this respect, considering that the present matter was submitted to FIFA on 27 March 2015, the Single Judge concluded that the 2014 edition of the Procedural Rules (hereinafter: the Procedural Rules) is applicable to the matter at hand (cf. art. 21 of the Procedural Rules).

2. Subsequently, the Single Judge analysed which edition of the FIFA Players’ Agent Regulations should be applicable. In this respect, he confirmed that in accordance with art. 39 par. 1 and 4 of the 2008 edition of the Players’ Agents Regulations, considering that the present claim was lodged on 27 March 2015, the 2008 edition of the Players’ Agents Regulations (hereinafter: the Regulations) is applicable to the matter at hand.

3. With regard to his competence, the Single Judge pointed out that in accordance with the provisions set out by the Regulations, FIFA has jurisdiction on matters relating to licensed players’ agents, i.e. on those individuals who hold a valid players’ agent licence issued by the relevant member Association.

4. The Single Judge continued his deliberations by indicating that the present matter concerns a dispute between a players’ agent licensed by the Football Federation of country X and Club Z, regarding an allegedly outstanding commission.

5. As a consequence, the Single Judge would, in principle, be competent to deal with the matter at stake, which has an international dimension (cf. art. 30 par. 2 of the Regulations).

6. However, the Single Judge acknowledged that the Respondent had contested the admissibility of the claim of the Claimant alleging that such claim was lodged after 1 April 2015 and therefore that the Claimant cannot be viewed as a party who is entitled to seek redress in front of the decision-making bodies of FIFA, in accordance with art. 6 par. 1 of the 2015 edition of the Rules Governing the Procedures of the Players’ Status Committee and the Dispute Resolution Chamber.

7. In this respect, the Single Judge recalled that the claim of the Claimant was lodged on 27 March 2015 and therefore that the Procedural Rules are applicable to the matter at stake and, in particular, its art. 6 par. 1 which provides that “[P]arties are member associations of FIFA, clubs, players, coaches or licensed match and players’ agents”.

Players’ Agent X, from country X / Club Z, from country Z 5

8. Hence, taking into account that the claim of the Claimant was lodged on 27 March 2015, the Single Judge concluded that he is competent to hear the present dispute as the Claimant was clearly, pursuant to art. 6 par. 1 of the Procedural Rules, a party entitled to seek redress in front of the decision-making bodies of FIFA.

9. His competence and the applicable regulations having been established and entering into the substance of the matter, the Single Judge started his analysis by acknowledging the facts of the case and the arguments of the parties as well as the documents contained in the file.

10. In doing so and first of all, the Single Judge acknowledged that, on 10 July 2014, the Claimant and the Respondent had concluded an agreement (hereinafter: the agreement) in relation to the transfer of the player to Club G and under the terms of which the Claimant was entitled to receive from the Respondent a commission amounting to EUR 200,000 if the player would enter into a contractual relationship with the Club G payable as follows:

a. EUR 50,000 “on the earlier of (..) the day in which the CLUB received from Club G, the payment set out in clause 2 (b)(i) of the TRANSFER CONTRACT; or (..) 30 June 2015”;

b. EUR 35,000 “on the earlier of (..) the day in which the CLUB received from Club G, the payment set out in clause 2 (b)(ii) of the TRANSFER CONTRACT; or (..) 30 March 2016”;

c. EUR 40,000 “on the earlier of (..) the day in which the CLUB received from Club , the payment set out in clause 2 (b) (iii) of the TRANSFER CONTRACT; or (..) 30 August 2016”;

d. EUR 35,000 “on the earlier of (..) the day in which the CLUB received from Club G, the payment set out in clause 2 (b) (iv) of the TRANSFER CONTRACT; or (..) 30 March 2017”;

e. EUR 40,000 “on the earlier of (..) the day in which the CLUB received from Club G, the payment set out in clause 2 (b) (v) of the TRANSFER CONTRACT; or (..) 30 August 2017”.

11. Furthermore, the Single Judge observed that, on the same day, i.e. on 10 July 2014, the Respondent and Club G had concluded a transfer contract for the transfer of the player from the Respondent to Club G for a transfer fee amounting to EUR 1,900,000 as follows : (i) EUR 500,000 “on or before 15th of July 2014”; (ii) EUR 350,000 “on or before 10th of March 2015”; (iii) EUR 350,000 “on or before 10th of August 2015”; (iv) EUR 350,000 “on or before 10th of March 2016” and (v) EUR 350,000 “on or before 10th of August 2016”.

Players’ Agent X, from country X / Club Z, from country Z 6

12. In continuation, the Single Judge noted that, in his claim to FIFA, the Claimant had requested the payment of the total amount of EUR 200,000 based on the agreement as well as interest at a rate of 5% p.a., arguing that the relevant amount was still outstanding, albeit the Respondent having already received the full transfer fee from Club G for the transfer of the player. Furthermore and in the same context, the Single Judge observed that, for its part, the Respondent had rejected the claim of the Claimant maintaining that the Claimant had not done anything to receive his commission. Alternatively, the Respondent requested FIFA to reduce the amount of the requested commission.

13. Bearing in mind all the aforementioned, the Single Judge firstly turned his attention to the contract at the basis of the present dispute, i.e. the agreement, and was keen to underline that such document had undisputedly been signed by both the Claimant and the Respondent.

14. Equally, the Single Judge underlined the clear content of the agreement which provided for the Respondent’s contractual obligation to pay to the Claimant the sum of EUR 200,000 in several instalments either when the Respondent would receive the respective instalments related to the transfer fee for the transfer of the player from Club G or at the latest on the following specific dates, i.e. on 30 June 2015, 30 March 2016, 30 August 2016, 30 March 2017 and on 30 August 2017, respectively.

15. In continuation, the Single Judge acknowledged that Club G had undisputedly paid the full transfer fee to the Respondent on 31 March 2016 in connexion to the transfer of the player.

16. In light of all the aforementioned, considering the basic legal principle of pacta sunt servanda, which in essence means that agreements must be respected by the parties in good faith, and taking into account the fact that the condition for the payment of the commission amounting to EUR 200,000 as agreed upon in the agreement was fulfilled, the Single Judge decided that the Respondent has to pay to the latter the sum of EUR 200,000 as per the agreement.

17. Having decided the aforementioned, the Single Judge addressed the Claimant’s claim related to the payment of interest at a rate of 5% p.a. on the amount of EUR 200,000 as of the relevant due dates.

18. In this regard, the Single Judge recalled that Club G had uncontestably paid the full transfer fee to the Respondent on 31 March 2016 related to the transfer of the player. The Single Judge observed that, at that time, the first instalment amounting to EUR 50,000 was outstanding, i.e. on 30 June 2015, and the remaining sum of EUR 150,000 became immediately due.

Players’ Agent X, from country X / Club Z, from country Z 7

19. In view of the above, the Single Judge determined that the Respondent has to pay 5% interest p.a. to the Claimant on the outstanding amount of EUR 50,000 as of 1 July 2015 as well as on the outstanding sum of EUR 150,000 as of 1 April 2016, i.e. one day after the payment of the full transfer fee from Club G to the Respondent in accordance with the agreement.

20. In conclusion, the Single Judge decided that the claim of the Claimant is admissible and accepted and that the Respondent has to pay to the Claimant EUR 200,000, plus an interest at a rate of 5% p.a. on the said amount from the relevant due dates until the date of effective payment.

21. 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 the proceedings before the Players’ Status Committee and the Single Judge, costs in the maximum amount of CHF 25,000 are levied. The costs are to be borne in consideration of the parties’ degree of success in the proceedings and are normally to be paid by the unsuccessful party.

22. In this respect, the Single Judge reiterated that the claim of the Claimant is accepted and that the Respondent is the party at fault. Therefore, the Single Judge concluded that the Respondent has to bear the entire costs of the current proceedings in front of FIFA.

23. 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. Consequently and taking into account that the total amount at dispute in the present matter is over CHF 200,001, the Single Judge concluded that the maximum amount of costs of the proceedings corresponds to CHF 25,000.

24. In conclusion, and considering that the case at hand was adjudicated by the Single Judge and not by Players’ Status Committee in corpore as well as taking into account the specificity of the present dispute, the Single Judge determined the costs of the current proceedings to the amount of CHF 20,000.

25. Consequently, the Claimant has to pay CHF 20,000 to cover the costs of the present proceedings.

***

Players’ Agent X, from country X / Club Z, from country Z 8

Decision of the Single Judge of the Players’ Status Committee

1. The claim of the Claimant, Players’ Agent X, is admissible.

2. The claim of the Claimant, Players’ Agent X, is accepted.

3. The Respondent, Club Z, has to pay to the Claimant, Players’ Agent X, within 30 days as from the date of notification of this decision, the amount of EUR 200,000, plus interest as follows:

a. 5% p.a. over the amount of EUR 50,000 as from 1 July 2015 until the date of effective payment;

b. 5% p.a. over the amount of EUR 150,000 as from 1 April 2016 until the date of effective payment.

4. 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.

5. The final costs of the proceedings in the amount of CHF 20,000 are to be paid by the Respondent, Club Z, within 30 days as from the date of notification of the present decision, as follows:

5.1. The amount of CHF 15,000 has to be paid to FIFA to the following bank account with reference to case nr:

UBS Zurich

Account number 366.677.01U (FIFA Players’ Status)

Clearing number 230

IBAN: CH27 0023 0230 3666 7701U

SWIFT: UBSWCHZH80A

5.2. The amount of CHF 5,000 has to be paid directly to the Claimant, Players’ Agent X.

6. The Claimant, Players’ Agent X, is directed to inform the Respondent, Club Z, immediately and directly of the account number to which the remittances

Players’ Agent X, from country X / Club Z, from country Z 9

under points 3. and 5.2 above are to be made and to notify the Players’ Status Committee of every payment received.

*****

Note relating to the motivated decision (legal remedy):

According to art. 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

Fax: +41 21 613 50 01

e-mail: info@tas-cas.org

For the Single Judge of the

Players’ Status Committee

Marco Villiger

Deputy Secretary General

Encl. CAS directives