The Court of Arbitration for Sport (CAS) issued a ruling on 21 August 2007 in a dispute between Parma F.C. and Portsmouth City F.C. concerning training compensation for a football player. The case involved the transfer of a player, referred to as A., from Parma to Crociati Parma S.r.l. and later to U.S. Fiorenzuola 1922, followed by a move to Portsmouth. The central issue revolved around whether Parma was entitled to training compensation under FIFA regulations, particularly the Regulations on the Status and Transfer of Players (RSTP 2001). The CAS panel, composed of Mr. Martin Schimke, Mr. Luigi Fumagalli, and Mr. Efraim Barak, addressed procedural and substantive legal questions.
Procedurally, the panel ruled that a joint appeal by Parma and Fiorenzuola against two separate FIFA decisions was admissible under the CAS Code, provided all necessary information was clearly presented. It also clarified that while Article R29 of the CAS Code permits the panel to request certified translations of documents, such translations are not mandatory if the panel understands the documents and the respondent is not disadvantaged, as was the case here, given the respondent's attorneys were native Italian speakers.
Substantively, the panel emphasized that under FIFA RSTP 2001, the sole criterion for determining a player's status (amateur or non-amateur) is whether the player received remuneration beyond reimbursement for actual expenses. The existence of an employment contract was deemed irrelevant. While national associations classify player status, such determinations must comply with FIFA regulations and are subject to review by the FIFA Players' Status Committee and CAS. In this case, the player received €14,070 yearly from Fiorenzuola, which the panel found excessive without evidence of actual expenses, leading to the conclusion that the player was non-amateur. Consequently, training compensation was only owed to Fiorenzuola, not Parma, as the player had already attained non-amateur status before transferring to Fiorenzuola.
Parma argued that the transfer to Fiorenzuola was effectively a loan, necessitated by Italian regulations preventing professional clubs from loaning players to amateur clubs. However, the panel ruled that FIFA rules do not recognize side agreements for definitive transfers, and Parma lost its entitlement to training compensation by transferring the player definitively. Portsmouth had initially agreed to pay €50,000 in training compensation but failed to do so. The panel upheld the FIFA Dispute Resolution Chamber's decision, dismissing Parma's appeal and confirming no compensation was owed.
The ruling underscores the strict application of FIFA regulations in determining training compensation and the irrelevance of internal agreements that contradict formal transfer records. It reinforces the principle that clubs must adhere to FIFA's framework for player transfers, ensuring consistency and fairness in international football disputes. The case highlights the complexities of player status classification and the legal intricacies surrounding training compensation in football transfers.