When a football team signs a professional contract with a player, the national football association often requires it to
utilize a standard contract issued by the association. Such a standard contract would typically be based on the
structure provided by FIFA’s Regulations on the Status and Transfer of Players (RSTP), however it can be altered to
some extent to conform with domestic labor law.
where a standard contract includes termination terms that differ from FIFA standards, or where domestic labour
legislation differs from FIFA regulations, the club’s ability to terminate the football player’s contract is determined
by which regulations apply. FIFA has the authority to adjudicate disputes involving international contract conflicts,
which in effect include any contractual disagreements between clubs and foreign players. This stems from FIFA’s
transfer regulations, art. 22:
“Without prejudice to any player or club’s ability to seek remedy in a civil court for employment-related problems,
FIFA is competent to hear:
Employment-related disputes between a club and a player of international dimension, unless an independent
arbitration tribunal guaranteeing fair proceedings and respecting the principle of equal representation of players and
clubs has been established at national level within the framework of the association and/or a collective bargaining
agreement.
Jurisprudence from FIFA’s Dispute Resolution Chamber (DRC) demonstrates that the DRC primarily evaluates
disputes based on FIFA transfer restrictions, and to a lesser extent, on national conditions. This is seen in a DRC
case from May 10, 2012. The club and the player had then signed a contract, which included a clause with the
following wording:
“The Club and the Player hereby agree that if the Club plays in the SECOND or Lower Division of the country C
League for any reason during the validity of the Player’s employment with Club A, the Club reserves the right to
terminate the Player’s contract, and the Player shall be free to register with any Club of his choice. In that instance,
the Club and/or the Player recognize that the termination was for reasonable cause and will not be entitled to any
compensation.
