TAS 2020 A 7186 Club Atlético Independiente c. FIFA
CAS · Football (FIFA / CAS) · Switzerland · 1 Feb 2021
Why it matters
This case clarifies the strict application of force majeure in football disciplinary proceedings. The CAS held that neither currency restrictions nor the COVID-19 pandemic excused Independiente's non-payment, as the club failed to show objective impossibility. It reinforces that debtors must take reasonable steps to overcome obstacles and cannot rely on force majeure if the impediment was foreseeable or could have been mitigated. The decision also confirms that CAS has full power to review disciplinary sanctions de novo.
Summary
Club Atlético Independiente appealed a FIFA Disciplinary Committee decision that found it guilty of failing to comply with a CAS award incorporating a settlement agreement. The settlement required Independiente to pay Torino FC USD 1,800,000 in three instalments. Independiente missed the first instalment (due 20 August 2019) and subsequent ones. Torino requested compliance, then reported the breach to FIFA. The FIFA Disciplinary Committee imposed a CHF 30,000 fine and a transfer ban if the debt remained unpaid. Independiente appealed to CAS, arguing force majeure due to Argentine currency restrictions (imposed 1 September 2019) and the COVID-19 pandemic (lockdown from March 2020). The CAS sole arbitrator rejected these arguments. First, the first instalment was already overdue before the currency restrictions took effect. Moreover, the restrictions did not prohibit payments; companies could still transfer funds with central bank approval, which Independiente never sought. Second, the pandemic did not prevent payment via electronic means; Independiente had communicated with FIFA during the lockdown, showing it could act. The arbitrator found no objective impossibility. The appeal was dismissed, and the FIFA decision upheld. The case underscores that force majeure requires an irresistible, unforeseeable event making performance objectively impossible, and that debtors must act diligently to overcome obstacles.
The detail
Parties: TAS 2020 A 7186 Club Atlético Independiente c. FIFA
Outcome: Appeal dismissed; FIFA Disciplinary Committee decision upheld. Independiente found guilty of failing to comply with CAS award, ordered to pay fine of CHF 30,000 and subject to transfer ban if debt not paid.
Quantum: CHF 30,000 fine; underlying debt USD 1,800,000
Applicable law: Swiss Code of Obligations (Art. 97.1, 119); FIFA Disciplinary Code; CAS Code of Sports-related Arbitration
Issues in play: Force majeure (COVID-19 pandemic and Argentine currency restrictions) vs. pacta sunt servanda. The tribunal assessed whether these events made payment objectively impossible, applying Swiss law and CAS jurisprudence.
Read the full decision at Court of Arbitration for Sport (football, via FIFA) ↗
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