The case involves a dispute between Football Club Volyn Lutsk (FC Volyn) and a professional football player, P., over the termination of their employment contract due to unpaid salaries. The contract, signed in January 2012, stipulated a monthly salary of $32,000, but FC Volyn failed to pay the player his full salary from January to May 2013, leaving an unpaid balance of $152,500. The player issued multiple warnings, including a collective statement with other players in March 2013 and a formal letter in June 2013, threatening to terminate the contract if the arrears were not settled. When the club failed to comply, the player terminated the contract on 27 June 2013 and filed a claim with the Dispute Resolution Chamber (DRC) of the Football Federation of Ukraine. The DRC ruled in favor of the player, declaring the contract terminated due to the club’s breach, granting the player free agent status, and ordering the club to pay the outstanding amount. FC Volyn appealed to the Court of Arbitration for Sport (CAS), which upheld the DRC’s decision. The CAS panel emphasized that non-payment of salaries constitutes just cause for termination under FIFA regulations, provided the unpaid amount is substantial and the employee has issued prior warnings—both conditions were met in this case. The panel also clarified that training compensation did not apply since the player terminated the contract with just cause. Additionally, the panel rejected the player’s request for interest payments, as the DRC’s original decision did not mention interest, and CAS rules did not allow for counterclaims in this context. The CAS dismissed FC Volyn’s appeal, affirming the player’s right to terminate the contract and the club’s obligation to pay the outstanding salary.
The procedural timeline of the case highlights logistical challenges, including political unrest in Ukraine, which disrupted the hearing schedule. FC Volyn requested postponements due to travel difficulties, while the player opposed these delays. The CAS initially rescheduled the hearing but ultimately proceeded without FC Volyn’s participation when the club refused to attend. The hearing took place on 20 March 2014, with the player participating via videoconference, and the panel issued its final award on 31 July 2014. The case underscores the importance of timely salary payments in employment contracts and the legal consequences of breaches by employers. The CAS’s ruling reinforced the principle that persistent non-payment of wages justifies contract termination, aligning with FIFA regulations and prior jurisprudence. The decision also highlights the procedural complexities that can arise in international sports disputes, particularly when external factors like political instability interfere with proceedings. Ultimately, the CAS affirmed the player’s rights and dismissed the club’s appeal, closing the case with a clear endorsement of contractual obligations in professional sports.