The case involves a legal dispute between Luis Fernandez, a French football coach, and FIFA, stemming from Fernandez's failure to pay a €400,000 compensation fee to Qatari club Al Rayyan SC after terminating his contract early to join Beitar Jerusalem FC. Al Rayyan SC claimed the payment was never received, leading FIFA's Players' Status Committee to rule in their favor in 2008, ordering Fernandez to pay the amount. When he failed to comply, FIFA's Disciplinary Committee imposed sanctions in 2009, including a potential ban from football-related activities if the debt remained unpaid within 60 days. Fernandez appealed to the Court of Arbitration for Sport (CAS), arguing the payment had been made in 2006 through a third party, Imperial Foundation, and requested a suspension of FIFA's decision pending a criminal complaint he filed in Switzerland. The CAS panel rejected his arguments, stating that Swiss law and international arbitration do not recognize the principle of criminal proceedings suspending civil matters. It upheld FIFA's disciplinary measures, ruling the sanction—a temporary ban until payment—was proportionate and had a determinable time limit. The CAS also found no evidence the payment had been made as claimed.
The case highlighted FIFA's authority to enforce financial obligations through disciplinary sanctions, emphasizing member associations' compliance with its rulings. Fernandez further challenged FIFA's jurisdiction, arguing he was not subject to its disciplinary code as he was not licensed by a football federation. The CAS rejected this, noting his role as a coach for Al Rayyan SC and other clubs qualified him as an "official" under FIFA's statutes. He also contested the sanction's validity, claiming it violated Articles 19 and 39 of FIFA's Disciplinary Code. The CAS clarified the sanction was based on Article 22, which prohibits football-related activity until debt repayment, and Article 64, a specific rule overriding general limitations. The CAS referenced prior rulings to affirm such sanctions as constitutional and reasonable, given the 60-day grace period and the sanction's link to debt repayment.
Ultimately, the CAS dismissed Fernandez's appeal, confirming FIFA's disciplinary actions were justified and proportionate. The ruling reinforced FIFA's jurisdictional reach in disputes involving football officials and the balance between disciplinary measures and individual rights in international football governance. The decision, dated September 3, 2010, upheld the original FIFA ruling, requiring Fernandez to bear the appeal costs and dismissing all further claims. The case underscores the legal mechanisms ensuring contractual and financial accountability in football, even with cross-border transactions and third-party intermediaries.