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2016 Football Contractual litigations Partially Upheld English Appeal Procedure

Parties & Representatives

Appellant: Nikola Mikic
Appellant Representative: Filip Blagojevic
Respondent: Manisaspor Club
Respondent Representative: Ahmet Bedevi Mahallesi

Arbitrators

President: Manfred Peter Nan

Decision Information

Decision Date: December 22, 2016

Case Summary

The case revolves around a contractual dispute between professional football player Nikola Mikic and the Turkish club Manisaspor KD concerning unpaid salaries and bonuses. The parties entered into an employment contract on 23 July 2013, valid until 31 May 2015, which outlined specific payment terms, including monthly wages and transfer advances. However, the club allegedly failed to meet its financial obligations starting from 3 February 2014. A verbal settlement agreement was reached on 3 May 2014, stipulating that the club would pay Mikic a specified amount by 31 December 2014, but this payment was not honored. Additionally, the club allegedly failed to pay Mikic’s remuneration for the 2014/2015 season.

Mikic filed a claim with FIFA’s Dispute Resolution Chamber (DRC) on 15 June 2015, seeking unpaid salaries, Turkish minimum wages, interest, and legal fees. The club contested the claim, asserting it had fulfilled its obligations. On 28 January 2016, the FIFA DRC partially accepted Mikic’s claim, ordering the club to pay €40,476 plus 5% annual interest from 31 May 2015 until payment. The DRC rejected further claims, citing discrepancies in the club’s payment documentation and lack of evidence supporting Mikic’s match bonus claims. Mikic appealed the decision to the Court of Arbitration for Sport (CAS), which upheld the principle of contractual compliance (pacta sunt servanda) and reinforced the DRC’s ruling.

The CAS proceedings involved a sole arbitrator, Manfred Nan, after the club failed to respond to inquiries about arbitrator selection. The club’s answer to the appeal was deemed untimely and inadmissible. Both parties agreed to resolve the dispute based on written submissions without a hearing. Mikic reiterated his claims for unpaid wages and bonuses, while the club sought approval of the DRC’s original decision. The arbitrator reviewed all evidence, including expert opinions and witness statements, and confirmed that the parties’ right to be heard had been respected.

The arbitrator ruled that Mikic was entitled to TRY 265,280 for the 2013/2014 season under the settlement agreement and EUR 200,000 for the 2014/2015 season, with the club having already paid EUR 135,913. Mikic’s claim for additional minimum wages was dismissed due to lack of evidence. The arbitrator also dismissed the club’s claim of a cash payment of EUR 96,809, citing insufficient evidence and potential forgery. The final award, issued on 22 December 2016, ordered the club to pay Mikic the outstanding amounts of TRY 265,280 and EUR 61,347, with 5% annual interest accruing from 1 January 2015 and 1 June 2015, respectively, until full payment.

The case underscores the importance of clear contractual terms and reliable evidence in resolving financial disputes in professional sports. It also highlights the procedural steps involved in arbitration through FIFA and CAS mechanisms, emphasizing the need for clubs to honor contractual obligations. The final ruling reinforced the club’s liability for unpaid remuneration while rejecting unsubstantiated claims, ensuring a fair resolution based on contractual terms and applicable laws.

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