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 26 June 2019
Decision of the
Dispute Resolution Chamber
passed in Zurich, Switzerland, on 26 June 2019,
in the following composition:
Geoff Thompson (England), Chairman
Eirik Monsen (Norway), member
Stéphane Burchkalter (France), member
Joseph Antoine Bell (Cameroon), member
Stefano La Porta (Italy), 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 between the parties
I. Facts of the case
1. On 13 August 2015, 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) concluded an employment contract (hereinafter: the contract) valid as from the date of signature until 30 June 2018.
2. According to the contract, the Claimant was entitled to the following remuneration:
a) EUR 68,415.10 for season 2015/2016, in 10 monthly and consecutive instalments of EUR 6,841,51 each, starting on 20 September 2015;
b) EUR 68,415.10 for season 2016/2017, in 10 monthly and consecutive instalments of EUR 6,841.51 each, starting on 20 August 2016;
c) EUR 88,548 for season 2017/2018, in 10 monthly and consecutive instalments of EUR 8,854.80 each, starting on 20 August 2017.
3. Moreover, the Respondent was obliged to pay each monthly salary on the 20th day of the following month.
4. On 20 December 2018, the Claimant put the Respondent in default for the payment of EUR 88,961.63 for outstanding salaries, granting a 10 days deadline in order to remedy the default.
5. On 28 December 2018, the Claimant put again the Respondent in default for the payment of the same amount, granting again the club 10 days in order to comply.
6. On 31 January 2019, the player lodged a claim for outstanding remuneration, requesting the amount of EUR 103,326.75 plus 5% interest p.a. as from the due dates, broken-down as follows:
a) EUR 704,10 as part of the salary for the month of May 2016;
b) EUR 102,622.65 as salary for the period “from June 2016 until August 2017 (15 months)”, calculated as follows: EUR 6,841.51 x 15 months.
7. In his claim, the Claimant affirmed that, during the term of the contract, he received irregular and random payments from the Respondent (the first one was allegedly received on 9 October 2015 and the last on 2 June 2017) and, despite his reiterated requests, the Respondent did not pay him the remuneration corresponding to the period between May 2016 and August 2017.
8. Furthermore, the Claimant stated that he reserved the right to lodge a separate claim for the salary referring to the period between 1 September 2017 and 30 June 2018. In this respect, the Claimant informed that, on 30 August 2017, he was transferred on loan from the Respondent to another club of Country D, Club E.
9. Despite having been requested to do so by the FIFA Administration, the Respondent did not reply to the claim.
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 31 January 2019. Consequently, the Rules Governing the Procedures of the Players’ Status Committee and the Dispute Resolution Chamber (edition 2018; hereinafter: Procedural Rules) are applicable to the matter at hand (cf. art. 21 of 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 in combination with art. 22 lit. b) of the Regulations on the Status and Transfer of Players (edition June 2019), 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. In continuation, 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 (edition June 2019), and considering that the present claim was lodged on 31 January 2019, the June 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 submitted by the parties. 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. First, the Chamber noted that the employment relationship between the Claimant and the Respondent was governed by a contract valid as from 13 August 2015 until 30 June 2018.
6. In continuation, the Chamber acknowledged that, on 31 January 2019, the Claimant lodged a claim against the Respondent in front of FIFA, alleging that, on that date, the following amounts remained outstanding:
a) EUR 704,10 as part of the salary for the month of May 2016;
b) EUR 102,622.65 as salary for the period between the months of June 2016 and August 2017.
7. In this context, the Chamber referred to art. 25 par. 5 of the Regulations, according to which the Dispute Resolution Chamber shall not hear any case subject to the Regulations if more than two years have elapsed since the event giving rise to the dispute. Considering that the claim of the Claimant was lodged in front of FIFA on 31 January 2019 only, the Chamber found that it could not enter into any claim for salaries that fell due prior to 31 January 2017.
8. Taking into account the previous consideration, the Chamber preliminarily concluded that the Claimant’s request for salaries accrued before the date of 31 January 2017 was barred by the statute of limitations in accordance with art. 25 par. 5 of the Regulations.
9. In continuation, the members of the Chamber highlighted that the Respondent, for its part, failed to present its response to the claim of the Claimant, in spite of having been invited to do so. In this way, the Chamber considered that the Respondent renounced its right of defence and, thus, accepted the allegations of the Claimant.
10. Consequently, the Chamber concurred that, in accordance with art. 9 par. 3 of the Procedural Rules, it shall take a decision upon the basis of the documents on file, in other words, upon the statements and documents presented by the Claimant.
11. Having said this, the DRC acknowledged that, in accordance with the contract, the Respondent was obliged to pay to the Claimant, after 31 January 2017 and “until August 2017”, a total salary of EUR 41,049 in monthly instalments falling due on 20 February, 20 March, 20 April, 20 May, 20 June and 20 July 2017 respectively.
12. Furthermore, taking into account the documentation presented by the Claimant in support of his petition, the Chamber concluded that the Claimant had substantiated his claim pertaining to outstanding salaries with sufficient documentary evidence.
13. On account of the aforementioned considerations, and in accordance with the general legal principle of pacta sunt servanda, the Chamber concluded that the Respondent must fulfil its obligations and, consequently, is to be held liable to pay the Claimant outstanding remuneration in the amount of EUR 41,049.
14. In addition, taking into account the Claimant’s request as well as the constant practice of the Dispute Resolution Chamber in this regard, the Chamber decided that the Respondent must pay to the Claimant interest of 5% p.a. on the aforementioned amount as of the relevant due dates until the effective date of payment, as follows:
a. as of 21 February 2017, on the amount of EUR 6,841;
b. as of 21 March 2017, on the amount of EUR 6,841;
c. as of 21 April 2017, on the amount of EUR 6,841;
d. as of 21 May 2017, on the amount of EUR 6,842;
e. as of 21 June 2017, on the amount of EUR 6,842;
f. as of 21 July 2017, on the amount of EUR 6,842.
15. The Dispute Resolution Chamber concluded its deliberations in the present matter by establishing that any further claim lodged by the Claimant is rejected.
16. Furthermore, taking into account the consideration under number II./3. above, the Chamber referred to par. 1 and 2 of art. 24bis of the Regulations, which stipulate that, with its 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 Chamber 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 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 Chamber 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 Dispute Resolution Chamber
1. The claim of the Claimant, Player A, is partially accepted insofar as it is admissible.
2. The Respondent, Club C, has to pay to the Claimant outstanding remuneration in the amount of EUR 41,049, plus 5% interest p.a. until the date of effective payment, as follows:
g. as of 21 February 2017, on the amount of EUR 6,841;
h. as of 21 March 2017, on the amount of EUR 6,841;
i. as of 21 April 2017, on the amount of EUR 6,841;
j. as of 21 May 2017, on the amount of EUR 6,842;
k. as of 21 June 2017, on the amount of EUR 6,842;
l. as of 21 July 2017, on the amount of EUR 6,842.
3. Any further claim lodged by the Claimant is rejected.
4. The Claimant is directed to inform the Respondent, immediately and directly, preferably to the e-mail address as indicated on the cover letter of the present decision, of the relevant bank account to which the Respondent must pay the amount mentioned under point 2. above.
5. The Respondent shall provide evidence of payment of the due amount in accordance with point 2. above to FIFA to the e-mail address psdfifa@fifa.org, duly translated, if need be, into one of the official FIFA languages (English, French, German, Spanish).
6. In the event that the amount due plus interest in accordance with point 2. 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 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 (cf. art. 24bis of the Regulations on the Status and Transfer of Players).
7. The ban mentioned in point 6. above will be lifted immediately and prior to its complete serving, once the due amount is paid.
8. In the event that the aforementioned sum plus interest 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 FIFA’s Disciplinary Committee for consideration and a formal decision.
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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
Fax: +41 21 613 50 01
e-mail: info@tas-cas.org
For the Dispute Resolution Chamber:
Emilio García Silvero
Chief Legal & Compliance Officer
Encl.: CAS directives