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CAS 2023 A 9943 (Court of Arbitration for Sport)

Why it matters

This case underscores the critical importance for football clubs to strictly adhere to FIFA's official communication channels, particularly the FIFA Legal Portal and TMS, and to maintain robust internal procedures for managing these systems. It serves as a stark reminder that internal administrative failures, such as an employee's illness preventing proper handover, do not excuse non-compliance with notification rules or appeal deadlines, and will not be considered 'exceptional circumstances' by CAS to reopen otherwise final decisions.

Summary

This CAS award concerned an appeal by Qingdao Hainiu FC (the Club) against two FIFA decisions: a Dispute Resolution Chamber (DRC) decision ordering the Club to pay player Uros Deric USD 280,000 for breach of contract, and a subsequent FIFA decision imposing a registration ban on the Club for non-compliance with the DRC decision. The Club argued it was unaware of the initial FIFA proceedings and decisions because notifications were sent to an email address managed by a former employee who left due to illness, thus preventing it from presenting a defense or appealing in time. The Club claimed the LOI and contract with Deric were not authentic and that Deric had made a duplicate claim, having received compensation from another club for an overlapping period. The Sole Arbitrator at CAS examined the admissibility of the Club's appeal. FIFA and Deric contended that the appeal against the DRC decision was untimely, as it was filed long after the 21-day deadline from its notification via the FIFA Legal Portal on 5 June 2023. FIFA emphasized that its Legal Portal and TMS are mandatory communication channels, and clubs are responsible for monitoring them daily. The Sole Arbitrator found that the DRC decision was duly notified to the Club's registered email address on the Legal Portal, and the Club's internal communication failure was not a valid justification for its lack of awareness or untimely appeal. Consequently, the DRC decision became final and binding. Regarding the registration ban, the Sole Arbitrator confirmed that since the DRC decision was final and binding and the Club failed to pay the awarded amount within 45 days, FIFA was obligated to impose the ban as per its Regulations on the Status and Transfer of Players. The Club's appeal against the ban was therefore dismissed. The CAS ultimately declared the appeal against the DRC decision inadmissible and dismissed the appeal against the registration ban, confirming both FIFA decisions. The Club was ordered to bear the costs of the CAS proceedings and pay FIFA CHF 1,000.

The detail

Parties: Qingdao Hainiu FC v. Uros Deric & FIFA

Case number: CAS 2023 A 9943

Outcome: The Court of Arbitration for Sport declared Qingdao Hainiu FC's appeal against the FIFA DRC decision inadmissible and dismissed its appeal against the FIFA registration ban decision, thereby confirming both original FIFA decisions. Qingdao Hainiu FC was ordered to bear the costs of the CAS proceedings and pay FIFA CHF 1,000 as a contribution to its legal costs.

Quantum: CHF 1,000

Applicable law: CAS Code of Sports-related Arbitration (2023 edition), FIFA Statutes (May 2022 edition), FIFA Regulations on the Status and Transfer of Players (RSTP), Procedural Rules Governing the Football Tribunal, Swiss Civil Code.

Issues in play: The case primarily involved the interpretation and application of procedural rules regarding appeal deadlines and notification mechanisms within the FIFA and CAS frameworks. Key issues included whether FIFA's notification via its Legal Portal to a registered email address constituted proper service, and whether a club's internal communication failures (e.g., a former employee's illness) could justify an untimely appeal or a lack of awareness of proceedings. The principle of *res judicata* (final and binding nature of decisions) was also central.

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

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