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Football-legal
30
Jun
2017
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Elena KATKOVA
Labour disputes
Cases
Russian Federation International
Football Legal # 7

The amount of compensation for the premature termination of an employment contract, that is voluntarily paid by the club to the player despite an appeal pending at CAS, shall be reimbursed in the overpaid part


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CAS 2016/A/4539 & 4545 Rubin Kazan v. Dmitri Torbinski
Date of the decision: 2017-01-11
Arbitrator(s): Sofoklis Pilavios

According to the well-known jurisprudence of the Court of Arbitration for Sport (CAS 2003/O/486 Fulham v. Olympique Lyonnais), decisions of financial nature are not enforceable when an appeal is pending at the CAS.  Nevertheless, a Russian club, FC Rubin Kazan, decided to pay an amount of compensation for a unilateral breach of employment contract with the player Dmitri Torbinski, despite the decision of the Dispute Resolution Chamber of the Football Union of Russia (FUR), that awarded the compensation, being appealed at the Court of Arbitration for Sport. The CAS ruled that the amount of compensation shall be reduced, however the Player rejected the Club’s claim for reimbursement of the excessively paid amount, saying it was not refundable according to Russian employment law.

 

The background facts

On 26 June 2014, the FUR Dispute Resolution Chamber (DRC) satisfied the claim of the Player against FC Rubin and obliged the Club to pay the Player a compensation for premature unilateral termination of the employment contract without just cause in the amount of EUR 1,500,000, payable in Russian rubles at an exchange rate of the Central Bank of Russia on the day of payment. The DRC decision was confirmed by the FUR Player’s Status Committee and, thus, came into force.

The Club filed an appeal with the CAS.

At the same time, trying to avoid risks of license rejection, the Club voluntarily paid the amount of compensation that was awarded by the FUR DRC.

Later on, the CAS issued a decision which ruled that the amount of compensation shall be reduced by 15%. Thus, the Player had to return EUR 225,000 to the Club.

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Topics
  • Labour disputes
  • CAS
Keywords
  • Football Union of Russia (FUR)
  • Breach of contract
  • Court of Arbitration for Sport (CAS)
  • FIFA Regulations
  • Jurisdictional competence
  • Labour Law
  • National Law
  • National Regulations
  • Player contract
Find out more
  • CAS 2016/A/4539 Dimitri Torbinskyi v. Football Union of Russia (FUR) & Rubin Kazan FC
  • CAS 2016/A/4545 Rubin Kazan FC v. Dimitri Torbinskyi & FUR
Authored by
Elena KATKOVA
About Elena KATKOVA
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