The case involves a dispute between professional football player Sergei Kuznetsov and FC Karpaty Lviv, adjudicated by the Court of Arbitration for Sport (CAS). The central issue revolved around the interpretation of an employment contract and an accompanying agreement on additional payments, governed by Ukrainian law. Kuznetsov was employed by FC Karpaty from September 2008 to November 2011. The employment contract stipulated his salary, bonuses, and medical provisions, while a separate agreement outlined additional payments contingent on his performance and tenure with the club. Key contractual terms included a base salary, performance-based bonuses, housing allowances, and medical service obligations.
In January 2011, Kuznetsov suffered a severe Achilles tendon injury during a friendly match. The club initially arranged conservative therapy but later transferred his treatment to FC Shakhtar Donetsk. Kuznetsov sought further medical intervention abroad, claiming the club conditioned financial support for his treatment on an extension of his contract. When negotiations failed, he underwent surgery at his own expense and later contested the club’s refusal to cover his medical costs and fulfill contractual payment obligations. The club accused him of breaching his contract by seeking unauthorized medical treatment and imposed disciplinary measures, including withholding payments under their additional payments agreement.
The legal analysis addressed principles such as res judicata, which prevents re-litigation of final judgments unless specific conditions for revision or interpretation are met. The CAS determined that since no final judgment had been rendered on the disputed payments, res judicata did not bar its review. Additionally, the tribunal applied Article 213 of the Ukrainian Civil Code, which mandates contract interpretation based on the parties’ true intentions, considering the literal terms, context, and prior negotiations.
Kuznetsov filed multiple claims, seeking termination of his contract, unpaid wages, and reimbursement for medical expenses. The Football Federation of Ukraine’s Disciplinary Committee and Appeal Committee partially ruled in his favor, terminating his contract, granting him free agent status, and ordering the club to pay outstanding wages and medical expenses. However, the club appealed, leading to further proceedings before the CAS.
The CAS examined whether the club was obligated to pay Kuznetsov’s full salary, including additional monthly payments of $9,000, during his injury period. The club argued these payments were contingent on his active participation in the first team, while Kuznetsov contended they were part of his regular salary. The Sole Arbitrator concluded that the additional payments should be considered part of his monthly salary, payable even during injury, based on the agreement’s intent, witness testimonies, and prior rulings involving other players. The CAS partially upheld Kuznetsov’s appeal, ordering the club to pay the outstanding $54,000 for the six-month injury period but dismissed claims for rental costs and social security payments, noting the latter should be addressed by Ukrainian state authorities.
The case underscores the complexities of employment disputes in professional sports, particularly concerning contractual obligations, medical care provisions, and performance-linked remuneration. The CAS’s role in interpreting contractual terms and assessing compliance with national law highlights the intersection of sports governance and legal principles. The decision clarifies the conditions under which contractual disputes can be revisited and emphasizes the importance of clear, unambiguous agreements in athlete-club relationships. Ultimately, the ruling affirmed the obligation of clubs to honor contractual payments during a player’s injury, aligning with principles of contractual stability and player protection.