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CAS 2021 A 7741 (CAS)

Why it matters

This case clarifies that FIFA DRC has jurisdiction under Article 22(b) RSTP when a national dispute resolution chamber is closed or inaccessible, even temporarily, due to COVID-19. It confirms that COVID-19 does not automatically excuse a club from paying salaries, and that players may terminate with just cause after repeated non-payment. The decision reinforces the primacy of FIFA's regulatory framework over national arbitration clauses during emergencies.

Summary

Nikola Stankovic, a Serbian footballer, signed a contract with Greek club AEL FC from August 2019 to June 2022. The club failed to pay his salaries from January 2020 onward. After sending multiple default notices, the player terminated the contract on 24 May 2020 and filed a claim with FIFA DRC because the Greek dispute resolution bodies (HFF NDRB) were closed due to COVID-19. FIFA DRC found it had jurisdiction under Article 22(b) RSTP, as the national tribunal was not operational. It held that the club had breached the contract without just cause, awarded EUR 24,683.46 in outstanding salaries and bonuses, and EUR 130,722.15 in compensation (the residual value of the contract minus mitigation from new employment). AEL FC appealed to CAS, arguing that FIFA lacked jurisdiction due to the contractual arbitration clause and that COVID-19 excused non-payment. The CAS Sole Arbitrator dismissed the appeal, confirming that FIFA's default jurisdiction applies when the national tribunal is inaccessible, and that COVID-19 does not relieve a club from paying salaries. The award was upheld.

The detail

Parties: AEL Football Club v. Nikola Stankovic & FIFA

Case number: CAS 2021 A 7741

Outcome: CAS dismissed the appeal and confirmed the FIFA DRC decision: AEL FC must pay EUR 24,683.46 in outstanding remuneration and EUR 130,722.15 in compensation for breach of contract, plus interest.

Quantum: EUR 155,405.61

Applicable law: FIFA Regulations on the Status and Transfer of Players (RSTP), particularly Articles 17 and 22(b); HFF RSTP; Greek law; Employment Contract dated 13 August 2019.

Issues in play: The collision was between the contractual arbitration clause referring disputes to Greek national bodies (HFF NDRB) and FIFA's default jurisdiction under Article 22(b) RSTP when those bodies were closed due to COVID-19. Also, whether COVID-19 constituted force majeure excusing non-payment.

Read the full decision at Court of Arbitration for Sport (football, via FIFA) ↗

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