CAS Award 2015A4250 Al Ittihad FC v Waked
CAS · Football (FIFA / CAS) · Switzerland · 9 May 2016
Why it matters
This case clarifies that an agent's commission is earned upon completion of agreed services (negotiating transfer fee and closing contracts) and is not contingent on the player's tenure at the club. It also confirms that a 10% commission is not per se excessive under Swiss law, and that the club's failure to pay the player does not justify reducing the agent's fee.
Summary
Al Ittihad FC (the Club) engaged agent Ghassan Waked under a commission agreement dated 18 July 2012 to negotiate the transfer of Brazilian player D. from Vasco da Gama. The agreement provided for a commission of EUR 500,000 (10% of the EUR 5 million transfer fee), payable by 15 October 2012. The transfer and player's employment contract were concluded on 21 July 2012. However, the player unilaterally terminated the employment after three months, citing unpaid salaries. The Club refused to pay Waked's commission, arguing that he did not perform the agreed services (pointing to the involvement of two other agents, Uram and Gonzales) and that the commission was excessive given the player's short stay. Waked filed a claim with FIFA, which ordered the Club to pay the full commission plus interest. The Club appealed to CAS. The CAS Panel held that Waked had fulfilled his obligations: he negotiated the transfer fee and the contracts were signed. The involvement of other agents did not negate his role, as they performed different functions. The Panel found no evidence that Waked failed to perform, and noted the Club's failure to provide witness statements or contemporaneous complaints. Regarding the reduction of commission, the Panel applied Article 417 CO but found that 10% was not excessive. The commission was not linked to the player's length of stay; the Club could have included such a condition but did not. Moreover, the player's early departure was due to the Club's own breach (non-payment of salaries). The Panel dismissed the appeal and confirmed the FIFA decision.
The detail
Parties: CAS Award 2015A4250 Al Ittihad FC v Waked
Outcome: Appeal dismissed; Club ordered to pay Agent EUR 500,000 plus 5% interest from 16 October 2012.
Quantum: EUR 500,000
Applicable law: Swiss Code of Obligations (Articles 412, 413, 417); FIFA Regulations; CAS Code
Issues in play: Whether the agent fulfilled his obligations under the commission agreement; whether the 10% commission was excessive and should be reduced under Article 417 CO.
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