The case revolves around a contractual dispute between Konyaspor Club Association, a Turkish football club, and J., a French professional footballer, concerning the termination of their employment contract signed on 2 February 2008, which was set to expire on 30 June 2011. The player terminated the contract with just cause due to Konyaspor's repeated late payments of his monthly salary of EUR 25,000 in August, September, and October 2008. Despite formal demands, Konyaspor delayed payments, prompting the player to file a complaint with FIFA on 5 November 2008. Although Konyaspor eventually paid the overdue salaries, it imposed a fine on the player without allowing him to defend himself. The player left Turkey on 28 November 2008 and later signed contracts with Huddersfield Town and Leyton Orient, though the former was not registered due to the Turkish Football Federation's refusal to issue an international transfer certificate.
FIFA's Dispute Resolution Chamber (DRC) ruled on 16 July 2009 that the contract was terminated on 5 November 2008 and ordered Konyaspor to pay the player EUR 966,930 within 30 days, rejecting the club's counterclaim. Konyaspor appealed to the Court of Arbitration for Sport (CAS), which examined whether the late payments justified termination and assessed compensation under the contract and Swiss law. The CAS upheld the DRC's finding that Konyaspor's late payments breached the contract, entitling the player to terminate it. However, it reviewed the compensation calculation, emphasizing that penalty clauses must be reasonable and proportionate under Swiss Code of Obligations (Art. 337(b) CO). The panel dismissed Konyaspor's request for details of the player's subsequent earnings, as the contract stipulated no obligation to account for them.
The CAS partially allowed the appeal, reducing the compensation to EUR 828,750, considering the player's mitigation of losses by earning approximately 20% of the remaining contract balance. The panel found the original penalty clause excessive for an early breach, applying a 15% reduction. Interest on the compensation was set at 5% per annum from 16 July 2010, aligning with the DRC's decision. The CAS affirmed the principles of contractual fairness and proportionality, underscoring the importance of timely payments in football contracts and the role of arbitration in resolving disputes. The final decision dismissed all other claims, reinforcing the enforceability of contractual terms while ensuring equitable outcomes under Swiss law and FIFA regulations.