The case involves a dispute between Wydad Athletic Club (WAC) and its former coach, Benito Floro Sanz, regarding the termination of his employment contract in September 2012. The Court of Arbitration for Sport (CAS) addressed the matter, focusing on whether WAC had just cause for termination and the validity of subsequent legal proceedings. The dispute arose when WAC dismissed Floro Sanz without written notice, leading to claims of unjust termination and unpaid salaries. The contract stipulated that disputes would be resolved through arbitration by the Royal Moroccan Football Federation (FRMF) or FIFA.
The CAS panel examined procedural issues, including the admissibility of evidence and the interpretation of the contractual dispute resolution clause. It ruled that FIFA was an alternative forum to FRMF, not a secondary one, and emphasized the principle of literal interpretation under Swiss law. The panel also found the FRMF Dispute Resolution Commission lacked independence due to undue influence from the federation, violating FIFA's requirements for impartial arbitration. This undermined the validity of the FRMF's decision, as Floro Sanz was denied due process, including proper notification and the right to defend himself.
On the merits, the panel concluded WAC terminated Floro Sanz's contract without just cause. Witness testimonies and media reports confirmed the dismissal, despite WAC's claims that Floro Sanz had abandoned his position. The panel ordered WAC to pay the residual value of the contract, including unpaid salaries (€105,000), bonuses (MAD 138,000), and compensation for wrongful termination (€350,000). WAC's argument that Floro Sanz refused payment by cheque was dismissed due to lack of evidence. The panel also rejected WAC's reliance on the FRMF decision, ruling it unenforceable under Swiss law and the New York Convention due to procedural violations.
The CAS upheld FIFA's initial decision, emphasizing the importance of procedural fairness and contractual adherence. It dismissed WAC's appeal, confirming the financial awards to Floro Sanz with 5% annual interest from their due dates. The case highlights the critical role of independent dispute resolution mechanisms in sports and the consequences of failing to uphold due process in contractual terminations. The ruling underscores the necessity of clear communication, proper documentation, and impartial arbitration in resolving employment disputes within football governance.