The case involves Khazar Lankaran Football Club's appeal against FIFA regarding a transfer ban imposed due to the club's unilateral termination of a player's contract without just cause. The Court of Arbitration for Sport (CAS) was tasked with determining its jurisdiction and the merits of the appeal. The CAS panel confirmed its jurisdiction under Swiss law and the CAS Code, emphasizing that a "decision" must contain a ruling intended to affect the legal situation of the addressee. The dispute originated from FIFA's Dispute Resolution Chamber (DRC) decision on August 20, 2014, which found Khazar Lankaran liable and imposed a two-registration-period transfer ban. The CAS upheld this decision on July 9, 2015. Khazar Lankaran later sought clarification from FIFA on whether the ban would end on August 31, 2015, but FIFA maintained that the ban would only lift at the start of the next registration period. The club challenged this interpretation, arguing it conflicted with the 2010 Regulations and CAS jurisprudence, but FIFA upheld its stance.
The CAS panel concluded that FIFA's correspondence did not constitute a new decision but merely reiterated the initial ruling. The absence of a formal decision-making process meant there was no appealable decision under the CAS Code. The panel noted that denying a party the opportunity to obtain a binding decision could amount to a denial of justice, but this was not the case here. The appeal was dismissed, affirming FIFA's position on the transfer ban. The case highlights the tension between enforcing sporting sanctions and protecting players' rights, with FIFA arguing that the ban's integrity must be preserved to maintain competitive fairness. Khazar Lankaran sought provisional measures to register free players, but the CAS rejected this request, emphasizing the need for clear, formal decisions in sports arbitration.
The dispute also revolved around the interpretation of Article 17 paragraph 4 of the FIFA Regulations on the Status and Transfer of Players (RSTP) 2010 edition. FIFA contended that the ban lasted until the beginning of the third registration window, aligning with the 2012 RSTP, while Khazar Lankaran argued this interpretation violated the principle of non-retroactivity. The club maintained that under the 2010 RSTP, the ban expired after two registration periods, citing CAS precedent. FIFA countered that the 2012 RSTP clarified existing practice and that the club failed to exhaust internal remedies by not requesting a formal decision from the DRC. The CAS panel ultimately ruled that FIFA's letter of September 11, 2015, was not a formal decision and declared the appeal inadmissible. The case underscores the importance of procedural requirements and the limited scope for appeals when formal decisions have not been finalized. The CAS upheld FIFA's position, dismissing all other motions or requests for relief.