The dispute between Al-Arabi Sports Club and professional footballer Houssine Kharja centered on the termination of Kharja's employment contract and the resulting financial claims. The case was adjudicated by the Court of Arbitration for Sport (CAS), which examined the legality of the termination and the associated compensation. The conflict began in 2013 when Kharja was involved in a brawl during a Qatar Stars Cup match, leading to disciplinary action by the Qatar Football Association (QFA), including an eight-game suspension and a fine. Al-Arabi subsequently terminated Kharja's contract, citing misconduct and reputational damage, but Kharja contested the termination, arguing it was unjust and lacked proper notification.
The CAS panel addressed three key issues: the validity of the termination, the calculation of compensation, and the enforceability of contractual clauses. The panel ruled that the club failed to prove Kharja was formally notified of the termination in April 2013, as required by the contract. Instead, it determined the termination date as July 8, 2013, when Kharja became aware of it during a meeting in Doha. The panel emphasized the necessity of formal communication in contractual terminations and dismissed the club's reliance on informal evidence, such as a French press article, to prove notification.
Regarding the justification for termination, the panel found the club lacked just cause. It noted the brawl was a collective incident, not solely Kharja's fault, and the club had previously defended him before disciplinary committees. The panel referenced CAS jurisprudence, stating termination should be a last resort after milder measures like warnings or suspensions. The club's delay in terminating the contract and its payment of partial compensation further undermined its claim of just cause.
On financial consequences, the panel upheld Kharja's entitlement to unpaid salaries, flight expenses, and compensation for the unjust termination. It adjusted the FIFA Dispute Resolution Chamber's decision, ordering the club to pay outstanding salaries of EUR 451,704 (after deducting a one-month fine of EUR 170,454 for the brawl), flight expenses of EUR 12,700, and compensation for the remaining contract period totaling EUR 2,218,750. After deducting an earlier payment of EUR 170,454, the final compensation amounted to EUR 2,048,296, with 5% annual interest from specified dates. The panel also validated a contractual clause differentiating compensation based on which party breached the contract, finding it enforceable under FIFA regulations and Qatari law.
The CAS ruling underscored the importance of formal communication in terminations, proportionality in disciplinary actions, and the enforceability of mutually agreed contractual terms. It partially upheld the club's appeal but affirmed Kharja's right to fair compensation, ensuring he received the remuneration and damages owed under the contract. The decision highlighted the complexities of player-club disputes and the need for adherence to contractual and regulatory obligations in professional sports.