Decision of the
Dispute Resolution Chamber (DRC) judge
passed in Zurich, Switzerland, on 12 May 2015,
by Theo van Seggelen (Netherlands), DRC judge,
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 7 July 2014, Player A from country B (hereinafter: the Claimant), and
Club C from country D (hereinafter: the Respondent), entered into an
employment contract (hereinafter: the contract) valid from the date of
signature until 31 December 2016.
2.
On 24 October 2014, the Claimant and the Respondent signed a document
(hereinafter: the termination agreement), by means of which both parties
acknowledged the termination of the contract and the Respondent had to
pay the Claimant, as a compensation for the termination of the contract,
the amount of 70,000 payable as follows:
-
35,000 on “31” November 2014;
35,000 on 31 December 2014.
3.
Moreover, the termination agreement established that the Respondent
would pay the flight ticket of the Claimant back to country B.
4.
On 2 December 2014, the Claimant put the Respondent in default, by means
of a letter sent through the Football Federation of country D, of the first
instalment due under the terms of the termination agreement.
5.
On 15 December 2014, the Claimant lodged a claim against the Respondent
before FIFA, requesting the amount of 70,000 and the amount of USD 1,000
as follows:
-
-
35,000 plus interest of 5% p.a. as from 1 December 2014 until the
date of effective payment;
35,000 “as soon as it becomes due on 31 December 2014” plus
interest of 5% p.a. in case the amount is not paid before the due
date, until the date of effective payment;
USD 1,000 as reimbursement corresponding to the flight ticket
country D – country B.
6.
According to the Claimant, the Respondent has failed to pay the total
amount as established in the termination agreement.
7.
Despite having been invited to do so, the Respondent did not present its
position to the claim, although it was informed that, in absence of a reply,
the Dispute Resolution Chamber would take a decision on the basis of the
information and evidence at disposal.
Player A, country B / Club C, country D
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II.
Considerations of the DRC judge
1.
First of all, the Dispute Resolution Chamber (DRC) judge analysed whether he
was competent to deal with the matter at stake. In this respect, the DRC judge
took note that the present matter was submitted to FIFA on 15 December
2014. Consequently, the DRC judge concluded that the 2014 edition of the
Rules Governing the Procedures of the Players’ Status Committee and the
Dispute Resolution Chamber (hereinafter: the Procedural Rules) is applicable to
the matter at hand (cf. art. 21 of the 2014 and 2015 editions of the Procedural
Rules).
2.
Subsequently, the DRC judge referred to art. 3 par. 2 and 3 of the Procedural
Rules and confirmed that in accordance with art. 24 par. 1 and 2 in
combination with art. 22 lit. b) of the Regulations on the Status and Transfer
of Players (edition 2015) the DRC judge is competent to deal with the matter
at stake, which concerns an employment–related dispute with an international
dimension between a player from country B and a club from country D.
3.
In particular, and in accordance with art. 24 par. 2 lit. i) of the Regulations on
the Status and Transfer of Players, the DRC judge confirmed that he may
adjudicate in the present dispute which value does not exceed CHF 100,000.
4.
Furthermore, the DRC judge analysed which edition of the Regulations on the
Status and Transfer of Players should be applicable as to the substance of the
matter. In this respect, he confirmed that in accordance with art. 26 par. 1 and
2 of the Regulations (editions 2014 and 2015) and considering that the present
claim was lodged in front of FIFA on 15 December 2014, the 2014 edition of
the Regulations on the Status and Transfer of Players (hereinafter: the
Regulations) is applicable to the matter at hand as to the substance.
5.
The competence of the DRC judge and the applicable regulations having been
established, the DRC judge entered into the substance of the matter. In this
respect, the DRC judge started by acknowledging all the above-mentioned
facts as well as the arguments and the documentation submitted by the
parties. However, the DRC judge emphasised that in the following
considerations he will refer only to the facts, arguments and documentary
evidence, which he considered pertinent for the assessment of the matter at
hand.
6.
In this respect and first of all, the DRC judge acknowledged that following the
conclusion of an employment contract on 24 October 2014, the Claimant and
the Respondent had concluded a termination agreement, by means of which
they agreed that the Respondent would pay to the Claimant the amount of
Player A, country B / Club C, country D
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70,000 in 2 instalments, 35,000 on “31” November 2014 and 35,000 on 31
December 2014.
7.
Moreover, the DRC judge took note that said termination agreement
stipulated that the Respondent would pay the flight ticket of the Claimant
back to country B.
8.
Subsequently, the DRC judge noted that the Claimant contacted FIFA on 15
December 2014 indicating that the Respondent had not fulfilled its obligations
as established in the termination agreement, since it had not paid any
remuneration and had not paid his flight ticket back to country B. Therefore,
the Claimant requested to be paid the alleged outstanding two instalments in
the total amount of 70,000 plus interest at the rate of 5% on each of the
outstanding instalments, as well as the payment of USD 1,000 corresponding
to the reimbursement of a flight ticket country D – country B.
9.
Furthermore, the DRC judge noted that the Respondent had been given the
opportunity to reply to the claim submitted by the Claimant, but that the
Respondent had failed to present its response in this respect. In this way, so
the DRC judge deemed, the Respondent renounced to its right of defence and,
thus, accepted the allegations of the Claimant.
10.
As a consequence of the preceding consideration, the DRC judge established
that in accordance with art. 9 par. 3 of the Procedural Rules he shall take a
decision upon the basis of the documents on file.
11.
On account of the aforementioned considerations, the DRC judge established
that the Respondent had failed to pay to the Claimant the amounts as agreed
upon in the termination agreement, totalling 70,000. Furthermore, regarding
the Claimant’s request for the payment of USD 1,000 corresponding to the
reimbursement of a flight ticket from country D to country B, and taking into
account the contents of the termination agreement, the DRC judge considered
that the Respondent had failed to comply with its obligation to pay the flight
ticket of the Claimant back to country B. Consequently, the DRC judge
concluded that, in accordance with the general legal principle of “pacta sunt
servanda”, the Respondent is liable to pay the Claimant the amount of 70,000,
plus the amount of USD 1,000.
12.
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 70,000 as of the day following the day on which said
instalments fell due, as follows:
Player A, country B / Club C, country D
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a) 5% p.a. over the amount of 35,000 as from 1 December 2014 until
the date of effective payment;
b) 5% p.a. over the amount of 35,000 as from 1 January 2015 until the
date of effective payment.
III.
Decision of the DRC judge
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 the present decision, outstanding remuneration in
the amount of 70,000.
3.
Within the same deadline, the Respondent has to pay to the Claimant
interest as follows:
- 5% p.a. over the amount of 35,000 as from 1 December 2014 until the date
of effective payment;
- 5% p.a. over the amount of 35,000 as from 1 January 2015 until the date of
effective payment.
4.
The Respondent has to pay to the Claimant within 30 days as from the date
of notification of the present decision, outstanding remuneration in the
amount of USD 1,000.
5.
In the event that the amounts plus interest due to the Claimant in accordance
with the above-mentioned numbers 2., 3. and 4. are not paid within the stated
time limit, the present matter shall be submitted, upon request, to the FIFA
Disciplinary Committee for consideration and a formal decision.
Player A, country B / Club C, country D
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6.
The Claimant is directed to inform the Respondent immediately and directly of
the account number to which the remittances are to be made and to notify the
DRC judge of every payment received.
*****
Note relating to the motivated decision (legal remedy):
According to art. 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: [email protected]
www.tas-cas.org
For the DRC judge:
Markus Kattner
Acting Secretary General
Encl. CAS directives
Player A, country B / Club C, country D
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