The case revolves around a legal dispute between Al Ittihad Club, a Saudi football club, and Carlos Corberan, a Spanish football coach, along with Al Nassr Riyadh, another Saudi football club. The conflict arose from the termination of Corberan's employment contract with Al Ittihad and subsequent legal proceedings. Al Ittihad hired Corberan as head coach in February 2012 under a contract initially valid until June 2013, later extended to June 2014. However, in February 2013, Al Ittihad unilaterally terminated the contract without just cause. A settlement agreement was reached in March 2013, stipulating that Al Ittihad would pay Corberan $200,022 in two installments as compensation. When Al Ittihad failed to make these payments, Corberan filed a claim with FIFA's Players’ Status Committee in September 2013. Al Ittihad did not participate in the proceedings, leading the Single Judge to rule in Corberan's favor in August 2014, ordering Al Ittihad to pay the agreed amount plus interest.
Al Ittihad appealed the decision to the Court of Arbitration for Sport (CAS), arguing that Corberan had misrepresented his employment status with Al Nassr, which they claimed influenced the settlement agreement. The CAS panel, comprising Hendrik Willem Kesler, Saleh Alobeidli, and Luigi Fumagalli, ruled that Al Ittihad bore the burden of proof for misrepresentation but failed to substantiate its claims. The panel upheld the Single Judge's decision, emphasizing that Al Ittihad had voluntarily entered into the settlement agreement and was bound by its terms. The panel also noted that Al Ittihad had acknowledged its payment obligations in earlier communications and did not include a non-compete clause in the settlement, making Corberan free to seek employment elsewhere after termination.
The CAS dismissed Al Ittihad's claims, including allegations of breach of contract and inducement by Al Nassr, finding no evidence to support these accusations. The panel ruled that Al Ittihad must pay Corberan the agreed $200,022 plus interest, as stipulated in the settlement agreement. The decision underscored the binding nature of settlement agreements and the importance of evidence in legal proceedings. The CAS also highlighted that restricting Corberan from working in Saudi Arabia would violate his personality rights and human dignity, potentially breaching Swiss public policy. The final award reinforced the principle of pacta sunt servanda, upholding the enforceability of contractual obligations and dismissing Al Ittihad's appeal. The case serves as a reminder of the legal consequences of failing to meet contractual commitments and the necessity of providing evidence to support allegations in disputes.