CAS 2023 A 10011
CAS · Football (FIFA / CAS) · Switzerland · 18 Mar 2024
Why it matters
This case reinforces the strict application of FIFA's Regulations on the Status and Transfer of Players (RSTP), particularly Article 17(4), regarding sanctions for clubs terminating contracts without just cause during the protected period. It highlights that a registration ban for two consecutive periods is the standard sanction, not merely a conditional one for non-payment, and that financial hardship claims by clubs are generally insufficient to overturn such sanctions unless exceptional circumstances are proven.
Summary
Football Club Kuban (Appellant) appealed a FIFA Dispute Resolution Chamber (DRC) decision to the Court of Arbitration for Sport (CAS) concerning the termination of player Nemanja Andelkovic's (First Respondent) contract. In January 2023, the Club and Player signed a "DRAFT" contract, with the Player joining the team in Turkey and playing three matches. However, the Club's management changed, and new, less favorable contract drafts were presented, which the Player refused. On February 23, 2023, the Club abandoned the Player in Turkey and later claimed no valid contract existed, stating the Player was on trial. The Player filed a claim with FIFA DRC, which found the Club terminated the contract without just cause during the "protected period." The FIFA DRC ordered the Club to pay USD 173,210 net plus RUB 2,360,000 net in compensation, plus 5% interest, and imposed a ban on registering new players for two consecutive registration periods (the "Sanction"). FC Kuban appealed to CAS, accepting the compensation amount but challenging the registration ban, arguing it was disproportionate and would jeopardize the club's survival. The Club contended that the sanction should be conditional on payment, as per Article 24 of the FIFA Regulations on the Status and Transfer of Players (RSTP), rather than an immediate ban under Article 17(4) RSTP. The Sole Arbitrator at CAS confirmed jurisdiction and admissibility. Applying the "comfortable satisfaction" standard of proof, the Arbitrator dismissed the Club's appeal. CAS affirmed that the Club unlawfully terminated the contract during the protected period. It clarified that Article 17(4) RSTP mandates an immediate two-period registration ban for such breaches, distinct from Article 24 RSTP, which deals with non-compliance with monetary awards. CAS found the sanction proportionate, noting the Club failed to provide evidence of insolvency and that the sanction is a regulatory standard for maintaining contractual stability. The Club was ordered to bear the arbitration costs and pay CHF 3,000 towards the Player's legal fees.
The detail
Parties: Football Club Kuban v. Nemanja Andelkovic & FIFA
Case number: CAS 2023 A 10011
Outcome: The appeal filed by Football Club Kuban was dismissed, and the FIFA DRC decision was confirmed, ordering the Club to pay compensation to the Player and imposing a ban on registering new players.
Quantum: USD 173,210 net plus RUB 2,360,000 net as compensation for breach of contract without just cause plus 5% interest p.a. as from 25 February 2023, and CHF 3,000 to Nemanja Andelkovic as a contribution to legal fees.
Applicable law: FIFA Regulations on the Status and Transfer of Players (RSTP), particularly Articles 17(4) and 24, and subsidiarily Swiss law.
Issues in play: The case primarily involved the application of FIFA RSTP Article 17(4) concerning the imposition of sporting sanctions for contract termination without just cause during the protected period. The Club attempted to argue for a conditional sanction under Article 24 RSTP, which deals with non-compliance with monetary awards, but this was rejected as distinct from the direct breach of contract.
Read the full decision at Court of Arbitration for Sport (football, via FIFA) ↗
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