F.I.F.A. – Dispute Resolution Chamber / Camera di Risoluzione delle Controversie – labour disputes / controversie di lavoro (2016-2017) – fifa.com – atto non ufficiale – Decision 30 June 2017

Decision of the

Dispute Resolution Chamber

passed in Zurich, Switzerland, on 30 June 2017,

in the following composition:

Geoff Thompson (England), Chairman

Roy Vermeer (Netherlands), member

Zola Majavu (South Africa), 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 18 August 2014, the Player of Country B, Player A (hereinafter: the Claimant), and the Club of Country D, Club C (hereinafter: the Respondent), signed an employment contract valid from 14 November 2014 until 14 November 2016.

2. The employment contract inter alia provides for the monthly payment of USD 16,000 payable on the 7th day of the following month.

3. On 5 December 2016, the Claimant put the Respondent in default of USD 40,000 on the basis that two and a half months have remained unpaid to that date. The Claimant provides the Respondent with a seven day deadline to respond to the default notice.

4. On 19 December 2016, the Claimant lodged a claim against the Respondent in front of FIFA requesting outstanding remuneration in the total amount of USD 40,000 broken down as follows:

a. USD 8,000 pertaining to half the salary of September 2016, plus 5% interest p.a. from 8 October 2016;

b. USD 16,000 as the salary of October 2016, plus 5% interest p.a. from 8 November 2016;

c. USD 16,000 as the salary of November 2016, plus 5% interest p.a. from 8 December 2016.

5. In reply to the claim of the Claimant, the Respondent requested an extension of the deadline set by the FIFA administration to submit its response. Said extension request was granted, yet the Respondent failed to provide any other submission before the closure of the investigation.

II. Considerations of the Dispute Resolution Chamber

1. First, the Dispute Resolution Chamber (hereinafter also referred to as Chamber or DRC) analysed whether it was competent to deal with the case at hand. In this respect, it took note that the present matter was submitted to FIFA on 19 December 2016. Consequently, the Rules Governing the Procedures of the Players’ Status Committee and the Dispute Resolution Chamber (2015 edition; hereinafter: the Procedural Rules) are applicable to the matter at hand (cf. article 21 the Procedural Rules).

2. Subsequently, the members of the Chamber referred to art. 3 par. 1 of the Procedural Rules and confirmed that in accordance with art. 24 par. 1 and par. 2 in combination with art. 22 lit. b) of the Regulations on the Status and Transfer of Players (edition 2016), the Dispute Resolution Chamber is competent to deal with the matter at stake, which concerns an employment-related dispute with an international dimension between a Player of Country B and a Club of Country D.

3. Furthermore, the Chamber 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 2 of the Regulations on the Status and Transfer of Players (2016 edition), and considering that the present claim was lodged on 19 December 2016, the 2016 edition of said regulations (hereinafter: the Regulations) is applicable to the matter at hand as to the substance.

3. The competence of the Chamber and the applicable regulations having been established, the Chamber entered into the substance of the matter. The members of the Chamber started by acknowledging the facts of the case, as well as the documentation contained in the file. The Chamber, however, 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.

4. In continuation, the Dispute Resolution Chamber acknowledged that the Claimant and the Respondent had concluded an employment contract valid from 14 November 2014 until 14 November 2016. As to the financial terms of said contract, the DRC took note that the parties had agreed that the Respondent would remunerate the Claimant USD 16,000 per month, payable on the 7th day of the following month.

5. The Chamber further took due note that the Claimant had lodged a claim in front of FIFA against the Respondent seeking the payment of a total of USD 40,000 plus 5% interest p.a. from the relevant due dates, indicating that the Respondent had only paid the Claimant half of the salary due for September 2016, and had failed to pay the salaries due for the months of October and November 2016.

6. Subsequently, the DRC noted that the Respondent, in its defence, requested an extension of the deadline set by the FIFA administration in order to reply to the allegations of the Claimant. The Chamber observed that said deadline extension request was granted and that the Respondent had failed to reply to the allegations of the Claimant within the deadline.

7. The DRC was of the opinion that the Respondent, by not presenting its position to the claim within the granted deadline, renounced its right of defence and, thus, accepted the allegations of the Claimant.

8. Furthermore, as a consequence of the aforementioned consideration, the DRC concurred that in accordance with art. 9 par. 3 of the Procedural Rules, he shall take a decision upon the basis of the documentation already on file; in other words, upon the statements and documents presented by the Claimant.

9. In view of all of the above and, in particular, taking into account the documentation presented by the Claimant in support of his petition and the fact that the Respondent did not contest that the claimed amounts had remained outstanding, the Dispute Resolution Chamber 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 USD 40,000 corresponding to two and a half monthly salaries of USD 16,000 each.

10. In continuation and with regard to the Claimant’s request for interest, the Chamber decided that the Claimant is entitled to receive interest at a rate of 5% p.a. on the amount of USD 40,000 until the date of effective payment as follows:

a. 5% p.a. as of 8 October 2016 on the amount of USD 8,000;

b. 5% p.a. as of 8 November 2016 on the amount of USD 16,000;

c. 5% p.a. as of 8 December 2016 on the amount of USD 16,000.

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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, the amount of USD 40,000 plus 5% interest p.a. until the date of effective payment as follows:

a. 5% p.a. as of 8 October 2016 on the amount of USD 8,000;

b. 5% p.a. as of 8 November 2016 on the amount of USD 16,000;

c. 5% p.a. as of 8 December 2016 on the amount of USD 16,000.

3. In the event that the aforementioned sum plus interest is not paid within the stated time limit, the present matter shall be submitted, upon request, to FIFA’s 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.

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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 Dispute Resolution Chamber:

Omar Ongaro

Football Regulatory Director

Encl. CAS directives