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2014 Football Contractual litigations Partially Upheld English Appeal Procedure

Parties & Representatives

Appellant Representative: Arash Najafi
Respondent: Carlos Fabian Leeb
Respondent Representative: Ariel Reck

Arbitrators

President: Stuart C. McInnes

Decision Information

Decision Date: April 29, 2016

Case Summary

The case involves an appeal by Shahrdari Bandar Abbas, an Iranian football club, against a decision by the FIFA Players’ Status Committee regarding a contractual dispute with Carlos Fabián Leeb, an Argentinian football coach. The dispute arose from a one-year employment contract signed in 2010, which stipulated a salary of USD 220,000 payable in two installments. The club failed to meet the payment terms, leading to the premature termination of the contract. Leeb filed a claim with FIFA, seeking unpaid salaries, and the committee ruled in his favor, ordering the club to pay USD 200,000 plus interest and procedural costs. The club appealed to the Court of Arbitration for Sport (CAS), arguing procedural and substantive issues. The CAS panel, composed of Stuart McInnes, Gerardo Luis Acosta Pérez, and Deanna Reiss, examined the admissibility of new evidence under Article R57 of the CAS Code, which restricts the introduction of documents not presented earlier unless they were previously unavailable. The panel emphasized the burden of proof on the party introducing new evidence to justify its late submission. The club attempted to submit documents allegedly held by Leeb’s agent, Majid Niroomand, to prove payments had been made, but the panel excluded these documents due to the club’s failure to justify their late submission or prove their authenticity.

The hearing took place on 19 May 2015 in Lausanne, Switzerland, with both parties represented by counsel. The panel confirmed the fairness of the proceedings, and the parties acknowledged their right to be heard. Following the hearing, arbitrator Lucio Colantuoni died in an accident and was replaced by Gerardo Luis Acosta Pérez, who reviewed the case materials and participated in deliberations. The club argued that nearly 80% of Leeb’s salary had been paid through Niroomand, while Leeb denied authorizing Niroomand to receive payments on his behalf and claimed his resignation was coerced. The CAS panel found inconsistencies in Leeb’s testimony regarding payments received but accepted his claim that the termination was under duress. The panel concluded that the club failed to prove full payment of the salaries owed and upheld Leeb’s entitlement to compensation.

The CAS partially upheld the appeal, modifying the FIFA decision by ordering the club to pay Leeb USD 152,000 as compensation for breach of contract, plus 5% annual interest from 20 August 2011. All other aspects of the original decision were upheld, and additional motions were dismissed. The ruling underscores the importance of procedural adherence and credible evidence in sports arbitration, as well as the challenges of enforcing international employment contracts. The case highlights the CAS’s role in ensuring fairness and contractual obligations in sports disputes, with the final award issued on 29 April 2016.

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