CAS 2011A2637 PCF CSKA Sofia EAD v. Vanio Kostov
CAS · Football (FIFA / CAS) · Switzerland · 3 Oct 2012
Why it matters
This case clarifies that a commission agreement between a club and a player's agent is valid if it contains an express term making the commission payable upon the player's transfer, without requiring proof of specific services. It distinguishes between agency contracts requiring active negotiation and those where the mere occurrence of the transfer triggers payment, reinforcing that consideration can be executed by the transfer itself.
Summary
CSKA Sofia appealed a FIFA decision ordering it to pay €30,000 plus interest to player's agent Vanio Kostov. The club had agreed in July 2007 to pay Kostov €50,000 commission if Brazilian player C. signed for CSKA. The transfer occurred, but CSKA only paid €20,000. CSKA argued the agreement was void for lack of consideration because Kostov did not specify his duties and was not the effective cause of the transfer. The CAS Sole Arbitrator held that the agreement contained an express term making the commission payable for the transfer, and since the transfer took place, consideration was executed. The agent's capacity as a licensed agent implied he would perform normal agency functions. The club's claim that the agent represented the player was rejected based on the player's letter confirming the club was to pay the agent. Regarding the €20,000 part payment, the arbitrator found on balance of probabilities that it was made under the agreement, based on invoices and a declaration from a third party. The club's arguments about FIFA regulation violations were dismissed because the transfer contract was signed after the agency agreement, and the agent acted for the club, not the player, so no signature on the player's contract was required. The appeal was dismissed, and the FIFA decision confirmed.
The detail
Parties: CAS 2011A2637 PCF CSKA Sofia EAD v. Vanio Kostov
Outcome: The appeal by CSKA Sofia is dismissed; the FIFA PSC decision ordering CSKA Sofia to pay €30,000 plus interest and costs is confirmed.
Quantum: €30,000 plus 5% interest from 1 December 2007 and CHF 3,000 costs
Applicable law: FIFA Regulations, Swiss Civil Code (Art. 8), CAS Code of Sports-related Arbitration
Issues in play: The main legal issue was whether the agreement between the club and the agent lacked consideration, making it unenforceable. The club argued the agent did nothing to earn the commission, while the agent claimed the transfer itself sufficed.
Read the full decision at Court of Arbitration for Sport (football, via FIFA) ↗
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