Labour Disputes
Texto da decisão
REF. FPSD-13963
Decision of the
Dispute Resolution Chamber
passed on 27 June 2024
regarding an employment-related dispute concerning
the player Matías Nicolás Rojas Romero
COMPOSITION:
Martín AULETTA (Argentina), Deputy Chairperson
Alexandra GÓMEZ BRUINEWOUD (Uruguay/The Netherlands), member
Jorge GUTIÉRREZ (Costa Rica), member
CLAIMANT / COUNTER-RESPONDENT:
Matías Nicolás Rojas Romero, Paraguay
Represented by PVBT Law
RESPONDENT / COUNTER-CLAIMANT:
Sport Club Corinthians Paulista, Brazil
SECOND RESPONDENT:
Inter Miami FC, USA
Represented by Centrefield LLP
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REF. FPSD-13963
I. Facts of the case
1.
On 31 May 2023, the Paraguayan player Matías Nicolás Rojas Romero (hereinafter, the Player) and
the Brazilian club Sport Club Corinthians Paulista (hereinafter, Corinthians) concluded a “preliminary
agreement” (hereinafter, the Preliminary Agreement), by way of which they declared the following:
I. Considering that the PLAYER has an employment contract with the Racing Club of Argentina, which will
be in force until 30/06/2022, and which will not be renewed, according to the PLAYER’s declaration of
good faith;
II. Considering the interest of the parties in pre-establishing the conditions of the future Special Sports
Employment Contract (CETD) that they will enter into for a fixed period, to be in force from the opening
of the FIFA Window in July 2023 until 01/07/2027 (…);
The parties resolve, by mutual agreement, to sign this PRE-CONTRACT which, together with items I and II
above, will be governed by the following terms and conditions (…).
2.
According to the Preliminary Agreement, Corinthians and the Player (hereinafter, jointly referred to
as the Parties) undertook to conclude the necessary “Special Sports Work Contract”, as required by
the Brazilian Football Association (CBF), as well as an agreement for the assignment of the Player’s
image rights. As per the Preliminary Agreement, both documents would be valid as from July 2023
until July 2027.
3.
As per Clause 2 of the Preliminary Agreement, the Parties agreed that the Player would be entitled
to a monthly salary of BRL 939,000 throughout the entire contract.
4.
In accordance with Clause 2 of the Preliminary Agreement,
“The Monthly Remuneration established above is based on the net amount equivalent to USD 2,000,000
(two million dollars) per season established between the parties, based on the quotation USD 1 (one
dollar) = BRL 5.00 (five reais)”.
5.
As per Clause 3 of the Preliminary Agreement, the Player would also be entitled to receive
USD 1,660,000 net for the use of his image, which would be paid to the company holding such rights
and “(…) which will be considered in the total remuneration”.
6.
On 7 July 2023, the Parties concluded the “Special Sports Work Contract” (hereinafter, the Contract),
valid as from 3 July 2023 until 1 July 2027.
7.
According to the Contract, Corinthians undertook to pay to the Player a monthly salary of
BRL 939,000.
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REF. FPSD-13963
8.
According to Extra Clause 3 of the Contract,
“In the event of early termination of this contract at the initiative of the SCCP, without just cause, the SCCP
shall pay the Player the sports compensatory clause herein pre-fixed in the total amount of the monthly
salaries to which the Player would be entitled until the end of this contract, in compliance with article 28,
paragraph 3 of Law 9.615/98, as amended by Law 12.395/11”.
9.
On 2 July 2023, the Parties also concluded an assignment of image rights (hereinafter, the Image
Rights Agreement), valid until 1 July 2027.
10. According to the Image Rights Agreement, the Player undertook to “set up a company in order to
exploit the rights to his voice and images”.
11. The Image Rights Agreement provided the following:
“For the price agreed therein, initially the Consenting Player and, subsequently and after effective
constitution, the Company agrees to sublicense the personality rights of the Consenting Player to
CORINTHIANS, during the term provided for in this instrument, authorizing CORINTHIANS to enjoy them
now and in future, subject to the conditions described in this contract”.
12. In accordance with Clause 4 of the Image Rights Agreement,
“4. For the licensing for commercial exploitation of the rights of the personality of the Consenting Player,
the Company will receive, with the express consent of the Consenting Player, the total net amount in Reais
equivalent to USD 1,660,000 (one million six hundred and sixty thousand dollars), which will be paid in 1
(one) instalment of USD 870,000 (eight hundred and seventy thousand dollars) within 10 (ten) days of the
signing of the Special Sports Work Contract between CORINTHIANS and the Player and 2 (two) instalments
of USD 395,000 (three hundred and ninety-five thousand dollars) each, due on 09/30/2023 and
12/30/2023.
4.1. The official quotation of the Central Bank of Brazil will be used for the purposes of payment in Reais
of the amounts adjusted in Dollars.
4.2. The payments agreed above will be made by CORINTHIANS directly to the Company, with the consent
of the Consenting Player, by deposit in the current account to be identified when the respective invoices
are issued, at least 10 (ten) days in advance. Under no circumstances will another tax receipt be accepted.
Invoices will be sent electronically to [email protected]”.
13. As per Clauses 8 and 9.1 of the Image Rights Agreement,
“8. This instrument is terminated by:
d) Termination of the special sports employment contract maintained between CORINTHIANS and the
Consenting Player in any form, or professional disability or death of the Consenting Player.
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REF. FPSD-13963
9.1. In the event of termination due to the provisions of paragraphs “d” and “e” above, no indemnity shall
be due to either party, and the Company shall be guaranteed receipt of any amounts due and unpaid”.
14. On 25 July 2023, the Player informed Corinthians about the constitution of the company Redland
Marketing Esportivo LTDA (hereinafter, Redland), and that this company “will become the holder of
the PLAYER’s image rights and will receive the amounts stated in clause 4 of the aforementioned Contract”.
15. On 1 August 2023, the Player, through Redland, issued an invoice to Corinthians in the amount of
BRL 5,106,376.
16. On 11 September 2023, Corinthians performed a payment of BRL 255,000.
17. On 25 September 2023, Corinthians performed another payment of BRL 190,000.
18. On 30 September 2023, the Player, through Redland, issued another invoice to Corinthians in the
amount of BRL 2,460,128.04.
19. On 31 October 2023, Corinthians performed another payment in the amount of BRL 1,500,000.
20. On 15 November 2023, the Player put Corinthians in default an requested the payment of
BRL 5,625,387.70, corresponding to the second instalment and the remaining part of the first
instalment as per the Image Rights Agreement. The Player also informed that “It is important to make
it clear that this value far exceeds the average of 02 salaries of the Player under the Employment Contract
and the Image Contract, which would already allow him, safely, to request FIFA for the unilateral and
unjustified termination of his relationship with the SCCP”.
21. On 23 November 2023, Corinthians replied to the Player informing about the following payments:
REDLAND Position: USD 1,660,000 Contract – Image
•
•
•
•
•
•
1st Instalment of USD 870,000 – Invoice issued of BRL 5,106,376 – Net value of BRL 5,029,780.36
Amount paid on 09/11/2023: BRL 255,000
Amount paid on 09/25/2023: BRL 190,000
Amount paid on 10/30/2023: BRL 1,500,000
Open balance 1st instalment: BRL 3,084,780.36
2nd instalment due on 09/30/2023: USD 395,000 – equivalent to BRL 1,931,550 (net of BRL
1,902,576.75).
Corinthians will make payments for outstanding image amounts and commission by 20/12/2023
at the latest, i.e. in less than 30 days.
22. On 27 November 2023, the Player replied in the following terms:
At the beginning of December we will issue the missing invoices, in order to enable payments on 20/12.
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REF. FPSD-13963
In any case, on 10/12 we will issue a Notice of Default, giving the Club 10 days to make payments, that
is, until December 20, 2023.
If payment is not made on the agreed date, the Athlete will consider the contract terminated and will
notify FIFA accordingly.
23. On 7 December 2023, the Player sent Corinthians another invoice issued by Redland for the amount
of BRL 2,423,266.08. The Player informed Corinthians that the total amount due was
BRL 5,584,602.08, corresponding to the sum of the outstanding amount of the first invoice
(BRL 3,161,376) together with the amount of the second invoice (BRL 2,423,266.08). The Player also
stated that “This amount (BRL 5,584,602.08) far exceeds the average of 02 salaries of the Player under
the Employment Contract and the Image Contract, which, in accordance with article 14bis of the FIFA
Regulations on the Status and Transfer of Players, would authorize the Player to terminate his sporting
relationship with Corinthians, for just cause. In this sense, Corinthians is hereby notified to proceed with
the full payment of the amount of BRL 5,584,602.08 within a non-extendable period of 15 days, i.e. until
December 22, 2023. Considering the promise made to make the payment by 20 December, we believe
Corinthians will fulfil its obligations, perform full payment of the amounts owed to the Player and, thus,
avoid the early and justified termination of the sporting relationship between the parties”.
24. On 22 December 2023, and following a phone call between the Parties, Corinthians sent another
communication to the Player where it informed that it had already instructed the remittance order
for payment of BRL 2,000,000 to Redland. Corinthians also informed that the payment might arrive
on 26 December 2023 due to the weekend and Christmas. Lastly, Corinthians also undertook to pay
the remaining balance by 1 October 2024.
25. On 27 December 2023, the Player replied to Corinthians accepting the above terms provided that
the payment was made within the next 24 hours.
26. On 28 December 2023, Corinthians informed the Player that the payment could not be made as
agreed, and asked the Player for a new deadline until 5 January 2024.
27. Also on 28 December 2023, the Player accepted the above-mentioned terms, and also informed
Corinthians about his disappointment with the club’s lack of commitment and disregard for his
situation, and that he would evaluate the legal alternatives available to him.
28. On 5 January 2024, the Player sent another communication to Corinthians where he informed the
latter that no payment was received, and that “We will inform you in due course of the legal measures
to be taken by the athlete”.
29. On 9 January 2024, the Player, Corinthians and Redland concluded the “Term of Agreement”, where
they declared the following:
a. On 31 May, 2023, the Parties entered into the "PRE-CONTRACT AND TERM OF COMMITMENT FOR
THE SIGNING OF A FUTURE SPECIAL CONTRACT FOR SPORTS WORK OF A SOCCER PLAYER AND
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REF. FPSD-13963
OTHER COVENANTS", through which they established the general conditions for the hiring of the
Player, by Corinthians, for the period from 01 July 2023 to 01 July 2027 (the "Agreement");
b. On 01 July 2023, Corinthians and the Player entered into the Special Sports Employment Contract
(the "CETD"), in order to confer a labor relationship and enable the Player’s professional
registration with Corinthians;
c. On 02 July 02 2023, Corinthians and Player entered into the "SUBLICENSING AGREEMENT FOR THE
USE OF PERSONALITY RIGHTS OF PROFESSIONAL SOCCER PLAYER AND OTHER COVENANTS",
through which they established the general conditions for the exploitation of the Player's image,
by Corinthians, as part of the legal-sports relationship between the Parties (the "Image
Agreement");
d. On 25 July 2023, Player informed Corinthians about the incorporation of Redland, as the licensing
company of its image rights and, consequently, assignee of the right to receive the amounts
adjusted in the Image Contract, with Corinthians having agreed and consented to such
assignment;
e. Due to consecutive events of default by Corinthians, the Player constituted the Club in arrears,
under the terms of article 14bis of the FIFA Regulations on the Status and Transfer of Players
("RSTP"), giving Corinthians until 22 December 2023, to settle the debts against the Player, which
did not occur; and
f. Despite the possibility of the Player terminating the Contract (CETD and Image Contract, too), the
Parties in good faith negotiated conditions for the continuity of the Player's legal-sporting
relationship with Corinthians, under the terms of this instrument.
30. According to Clause 1 of the Term of Agreement, Corinthians acknowledged and undertook to pay
the following amounts:
a)
BRL 5,625,387.70 (five million, six hundred and twenty-five thousand, three hundred and eightyseven Reais and seventy cents) to Redland, corresponding to the unpaid amounts of Invoices 01
and 02 issued by Redland under the terms of the Image Agreement;
b)
BRL 2,554,665.07 (two million, five hundred and fifty-four thousand, six hundred and sixty-five
Reais and seven cents), corresponding to US$395,000 (three hundred and ninety-five thousand
US dollars) net, to be converted from US$1.00 to R$5.08 on December 30, 2023;
In order to avoid disputes, it is reiterated that the amount described in paragraph b) already
includes the taxes levied on Redland, so that the net amount to be received by Redland will result
in the equivalent of USD 395,000 (three hundred and ninety-five thousand US dollars) net,
according to the Image Agreement.
31. As per Clause 2 of the Term of Agreement,
The Parties, by mutual agreement and in good faith, in order to maintain the stability of the Player’s legalsporting relationship with Corinthians, establish that Corinthians shall make the payment of the amounts
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REF. FPSD-13963
due, under the terms of clause 1.1, above, in 06 (six) equal and consecutive monthly instalments, due on
the 10th day of January, February, March, April, May and June 2024, under the following conditions:
a) To Redland: BRL 8,180,052.77 (eight million, one hundred and eighty thousand and fifty-two Reais
and seventy-seven cents) in six (6) equal installments of BRL 1,363,342.13 (one million, three
hundred and sixty-three thousand, three hundred and forty-two Reais and thirteen cents).
32. In accordance with Clause 3 of the Term of Agreement,
3.1. The Parties declare and acknowledge that the Player was entitled to declare the unilateral and
justified termination of the Contract (CETD and Image) on December 22, 2023 – and until this date –
due to the consecutive defaults by Corinthians, pleading before FIFA the consequences established in
the RSTP. However, in good faith and for the maintenance of contractual stability, the Player accepted
the installment of the debt, under the terms of this instrument.
3.2. However, the Parties declare and acknowledge that the faithful fulfillment of the conditions
established in this instrument is essential for the maintenance of contractual stability and the Player's
legal-sporting bond with Corinthians.
3.3. For this reason, the Parties hereto establish that, in the event of default by Corinthians in the
payment of any amounts provided for in this instrument – whether due to Redland (as assignee – and
assignor – of the Player's image rights) or to the Intermediary -, the Player will be allowed to declare
the unilateral and justified termination of the Contract (CETD and Image), without need of prior
notification to Corinthians.
3.3.1. The Player will have until 01 August 2024 to invoke the unilateral and justified termination of
the Contract, and may, subsequently, plead before FIFA the financial consequences derived from such
termination, without the possibility of mitigation by Corinthians.
3.4. In order to avoid disputes, the Parties hereby establish that the delay by Corinthians of more than
five (5) days for the payment of any installments established herein will enable the Player, immediately
and until 01 August 2024, and without the need for prior notice, to declare the unilateral and justified
termination of the Contract (CETD and Image), and the provisions of clause 3.3.1 above shall apply.
33. Lastly, according to Clause 4 of the Term of Agreement,
4.2. In the event of default by Corinthians which leads the Player to declare the unilateral and justified
termination of the Contract (CETD and Image), the Player will apply directly to the FIFA Football
Tribunal for collection of the amounts due to him under the Contract (CETD and Image).
4.3. This instrument, provided it is faithfully complied with by Corinthians, shall replace the Image
Contract and the Commission Contract, so that no other amount shall be due to the Parties in relation
to such instruments.
34. On 10 January 2024, Corinthians paid to Redland the first instalment as per the Term of Agreement.
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REF. FPSD-13963
35. On 21 February 2024, the Player put Corinthians in default for the amount of BRL 1,363,342.13,
corresponding to the second instalment as per the Term of Agreement. The Player also informed
that “In accordance with the provisions of clause 3.4 of the Agreement, since 15 February the Player is
authorised to declare the unilateral and justified termination of the Registration Agreement and the Image
Rights Agreement, with such right remaining until 01 August 2024”.
36. On 28 February 2024, the Player had the following WhatsApp conversation with Corinthian’s doctor:
[Player]: Hello Doc, good afternoon.
[Doctor]: Hello. Good afternoon. Ready for the exam?
[Player]: I wanted to let you know. I am with a contractual problem and I think I am going to leave the
club. Just letting you know that I do not have time to attend the MRI exam, if I will go to the club
tomorrow, I will explain better. Kisses.
37. Also on 28 February 2024, the Player terminated the employment relationship informing Corinthians
about the following:
“We are deeply frustrated and saddened that despite the Player’s continued efforts, patience and
communications with Corinthians’ management, Corinthians was unable to fulfil yet another payment
obligation, making it unreasonable for the Player to expect the employment relationship between the
parties to continue, due to the glaring breach of trust.
As consequence and based on the clear provisions of clauses 3.3 and 3.4 of the Term of Agreement,
the Player hereby declares the unilateral and justified termination of the Contract, with immediate
effect.
In addition, as per the conditions freely established under clause 3.3.1 of the Term of Agreement, the
Player is entitled to receive all overdue amounts and the entirety of his remaining salaries under the
Contract, without any mitigation by Corinthians.
In such respect, provided Corinthians completes the payment of the salary for February 2024, the
balance of overdue amounts will be R$6,816,710.64, as per clause 2.1 a) of the Term of Agreement. In
addition, and as established under the Contract, the Player shall be entitled to collect the entirety of
the amounts established in his CETD, which shall correspond to the net amount of US$6,666,666.67.
The amount of US$6,666,666.67 derives from the parties’ arrangement of US$2,000,000 net per
season, and corresponds to the entirety of the seasons 2024-2025, 2025-2026 and 2026-2027, as well
as 1/3 of the 2023-2024 season (04 months, March to June).
If considered the exchange rate agreed between the parties in the Preliminary Agreement (US$1 = R$5),
the amount of R$6,816,710.64 shall correspond to US$1,363,342.13, bringing the total amount due to
US$8,030,008.80”.
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REF. FPSD-13963
38. On 2 March 2024, Mr Augusto Melo, President of Corinthians, recognized in an interview following
the Player’s termination that the issue had to do with the Player’s image rights, that Corinthians may
have made a mistake last year, that the Player wasn’t patient and that one of the clauses in the
Player’s contract allowed him to leave whenever he wanted. Mr Melo also confirmed that the
amount due to the Player was 8 million reais.
39. On 6 March 2024, Corinthians paid BRL 1,363,492.13, corresponding to the second instalment as
per the Term of Agreement.
40. Also on 6 March 2024, Corinthians send an email to the Player attaching proof of the aforesaid
payment. Corinthians also informed the following:
“It is worth to mention that the Player disrespected his professional obligation on 28 February 2024,
being absence from an important medical exam (MRI), without reason. Further, the Player travelled to
Paraguay without the consent and authorization from Corinthians.
Hence, reiterating that there are no overdue payments to the Player, the Player is prevented to register
himself with another club without the necessary and formal termination of his contract with
Corinthians”.
41. On 8 March 2024, Ms Arantxa King, Director, Player Relations at the Major League Soccer (MLS), sent
an email to Corinthians requesting confirmation as to whether the Player had just cause to
terminate the employment relationship.
42. On 11 March 2024, Corinthians replied that all the payments due to the Player had been performed,
and consequently the Player had not just cause. Also, that it was the Player who had breached his
obligations by failing to undergo the MRI without justification. Corinthians lastly informed that any
club signing the Player would be held jointly and severally liable.
43. On 12 March, Corinthians paid to the Player BRL 602,762 as per the Contract.
44. On 14 March, Corinthians paid to the Redland BRL 1,363,492.13, corresponding to the third
instalment as per the Term of Agreement.
45. On 1 April 2024, the Player concluded an employment agreement with the MLS, valid until 31
December 2024, to join the American club Inter Miami FC (hereinafter, Inter Miami).
46. According to the new contract, the Player is entitled to receive USD 12,500 per month.
47. As per Clause 4 of the contract, the Player will receive USD 200,000 on or before 15 May 2024,
provided that he is an employee to the MLS.
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II. Proceedings before FIFA
48. On 7 March 2024, the Player filed the claim at hand before FIFA. A brief summary of the position of
the parties is detailed in continuation.
a. Position of the Player
49. According to the Player, the Preliminary Agreement, the Contract and the Image Rights Agreement
are valid documents negotiated and consensually entered by the Parties to establish their
employment relationship, as well as the maintenance of their contractual stability with the
conclusion of the Term of Agreement. Consequently, the general principles of law, the FIFA
Regulations and the legal principle of pacta sunt servanda must be observed.
50. The Player argued that during the employment relationship, Corinthians continuously breached the
different contracts by delaying its payment obligations towards him, which led to the Player sending
several defaults notices to Corinthians.
51. The Player alleged that since signing him, Corinthians has been “extremely active” in the transfer
market, having spent EUR 23,000,000 in the acquisition of players and received over EUR 60,000,000
with the transfer of its own players. Also that on 7 January 2024, Corinthians announced a new
master sponsor which would pay USD 24,000,000 per season. Lastly, that on 14 February 2024 (i.e.,
4 days after defaulting the payment to the Player), Corinthians confirmed two new signings for the
2024 season.
52. For the Player, “it was not lack of funds that was preventing Corinthians from performing the payment
of the amounts due, but, rather, a clear lack of interest in complying with its obligations and the terms
agreed with the Player”.
53. According to the Player, when the Parties concluded the Term of Agreement, Corinthians was
already in default of an amount exceeding five average salaries. The Player asserted that the total
salary amounted to USD 9,960,000 which, divided for the total duration of the employment
relationship (i.e., 48 months), equals a monthly salary of USD 201,250. In this respect, the Player
alleged that he could have terminated the employment relationship with just cause based on the
provisions of art. 14bis of the Regulations.
54. The Player referred to the Commentary to art. 14bis of the Regulations, in accordance with which
“the parties to a contract may decide to include a list within that contract of what they consider to be just
cause for the early termination of their contractual relationship. Drawing up such a list might provide
greater legal security, at least to a certain extent”, and argued that this is precisely what the Parties did
with Clauses 3.2 and 3.3 of the Term of Agreement.
55. The Player further asserted that even though the Term of Agreement released him from the
obligation to put Corinthians in default before terminating the employment relationship, on 21
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REF. FPSD-13963
February 2024 he sent a last default notice “in yet another attempt to maintain the contractual
stability”, to no avail. Accordingly, the Player argued he was forced to, as an ultima ratio, terminate
the employment relationship with just cause.
56. As to the consequences of the unilateral termination without just cause, the Player sustained that,
in casu the Parties have contractually stipulated the amount due to the Player in case of unilateral
termination without just cause by Corinthians as follows:
• Contract: clause 3 establishes payment of 100% of the remainder of the contract.
• Image Rights Agreement: clause 9.1 establishes payment of all amounts due.
• Term of Agreement: clause 3.3.1 establishes payment of all amounts provided for in the Registration
Agreement and the Image Rights Agreement without any mitigated compensation.
57. The Player argued that the residual value of the employment relationship is bilateral, valid and
effective given that the Parties also provided a liquidated damages clause to Corinthians in case it
was the Player who terminated the employment relationship without just cause. The Player also
claimed that this is also proportionate as found by the Panel in CAS 2015/A/3999, according to which
“Any clause that provides that the compensation payable will amount to the remaining value of the
contract is generally to be deemed proportionate”.
58. The Player argued he is entitled to the following amounts:
• Overdue Amounts: The amounts overdue are the unpaid instalments established in clause 2.1 a) of
the Term of Agreement, corresponding to R$6,816,710.65, and the payment of R$939,000 due for
February 2024 under the Registration Agreement, that remains unpaid, both totaling
R$7,755,710.65.
• Remaining Value: The parties agreed (clause 2.1 of the Preliminary Agreement and Registration
Contract) that Player was entitled to US$2,000,000 net per contractual season. The Player is hence
entitled to receive US$666,666,67 in connection with the months of March – June 2024 (04 months,
i.e. 1/3 of a season) and US$6,000,000 in connection with the seasons 2024/2025, 2025/2026 and
2026/2027, totaling US$6,666,666.67.
As the parties have contractually established the exchange rate of US$1.00 = R$5.00, the overdue
amount is equivalent to US$1,551,142.13, which brings the total amount due and payable by
Corinthians to the Player, in US Dollars, to US$8,217,808.80 net.
59. The Player, acknowledging some payments performed by Corinthians after he lodged his claim,
amended his request for relief and requested the following:
“Based on the facts, arguments, legal grounds, and evidence brought herein, the Claimant hereby
requests to the honorable Dispute Resolution Chamber of the Football Tribunal to admit this claim
and pass a decision:
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a. Recognizing that the Player terminated the Contract with just cause, following the Respondent’s
continued breach to the Contracts and as per the clear provisions of the Term of Agreement,
condemning the Respondent to pay:
i) US$1,090,673.70 (US$1,551,142.13) as overdue payables under the Term of Agreement and the
Registration Agreement;
ii) US$6,666,666.67, as compensation for causing the Player to terminate the Contract with just
cause, corresponding to the residual value of the Contract from 01 March 2024 until 30 June
2027;
iii) all applicable taxes imposed over the amounts i) plus ii) above, to guarantee receipt, by the
Player, of the amount of US$7,757,340.37 (US$8,217,808.80) increased by all applicable taxes
at the time of payment, regardless of his tax residency at the time;
iv) interest on default at the rate of 5% (five percent) per annum over items (i) and (ii) above as of
this date; and
v) to support all costs associated with this dispute.
And,
b. Imposing further financial and sportive sanctions it may deem appropriate to the Respondent for
its continued and unjustified breach of the Contract during the Protected Period”.
b. Reply and counterclaim of Corinthians
60. In its reply to the claim, Corinthians argued that it performed the following payments to the Player:
61. Corinthians argued that the Player requested a wage advance in his first week at the club, to which
it agreed. Accordingly, it paid to the Player BRL 939,000 on 10 July 2023, and allegedly the Parties
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REF. FPSD-13963
agreed on a discount of BRL 78,250 per month in the following twelve instalments to compensate
the wage in advance.
62. According to Corinthians, the amounts indicated above correspond to the net remuneration due to
the Player after the relevant discounts provided by Brazilian tax law.
63. Corinthians alleged that the payments made on 29 November and 20 December 2023 are additional
salary due to all employees in accordance with Brazilian labour law. According to Corinthians, these
amounts would not even need to be paid because they were included in the monthly remuneration,
but Corinthians opted to pay them to the Player to demonstrate the good relationship between the
Parties and the equal treatment between all the players.
64. Corinthians argued that no payment was made after 12 March 2024 because allegedly the Player
“has deserted his work and professional activities”.
65. For Corinthians, it is crystal clear that it paid all the amounts due to the Player under the Preliminary
Agreement and the Contract, and that “In fact, the Respondent paid more than the agreed amounts,
since the Player received the wage advance of BRL 930,000, but Corinthians discounted only 7 (seven)
instalments of BRL 78,250. In this specific concept, the Player owes to Corinthians BRL 391,250 (five
instalments of BRL 78,250)”.
66. As to the Image Rights Agreement, Corinthians argued that it must be distinguished from the
Contract given that, despite having the same term, the remuneration under the Contract is paid in
monthly instalments while the amount in concept of image rights should be paid during the first six
months following the Player’s registration with Corinthians.
67. Corinthians further argued that the nature of the payments performed under the Image Rights
Agreement is different from the ones under the Contract, given that the Player assigned the
agreement to a third party, i.e., Redland.
68. Corinthians alleged it paid three instalments under the Image Rights Agreement on 11 and 25
September and on 30 October 2023, in the amounts of BRL 255,000, BRL 190,000 and BRL 1,500,000,
respectively.
69. Furthermore, after the conclusion of the Term of Agreement, Corinthians paid three instalments of
BRL 1,363,342.13 each on 10 January, 6 March and 14 March 2024.
70. According to Corinthians, from September 2023 until March 2024, it paid BRL 6,035,026.39 as per
the Image Rights Agreement, “which is almost the remuneration paid agreed in the [Contract] (as shown
in the table above) for the same period”. Corinthians added that despite the salary suspension under
the Contract after the Player allegedly deserted his work, the Image Rights Agreement continued to
be paid.
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REF. FPSD-13963
71. Corinthians alleged that, on account of the foregoing, the Player had no just cause to terminate the
employment relationship, given that there are no overdue payments to the Player.
72. Corinthians further referred to art. 14bis par. 2 of the Regulations, and asserted that “bearing in mind
that the original Image Rights Agreement provided the payment of USD 1,660,000 related to the term of
4 (four) years, the amount due per year was USD 415,000, which means USD 34,583.33 per month”.
73. In this regard, Corinthians argued that it had paid BRL 1,945,000 before the conclusion of the Term
of Agreement, which represents twelve months of contract, since the amount of USD 34,583.33
results in BRL 165,550.40. According to Corinthians, this calculation demonstrated that the Player
had no injury or default harm “especially because Corinthians has paid much more than the amount
required for the Player to terminate the contract with just cause”.
74. Corinthians also alleged that the eventual late payment under the Term of Agreement, which
amounts derived from the Image Rights Agreement, could not result in the termination of the
employment relationship, but only in the eventual obligation to pay the image rights to Redland.
75. Corinthians also argued that the delay to pay an instalment of the Term of Agreement should not
result in the termination of the employment relationship because it changed its Board on 2 January
2024, and the Term of Agreement was signed just a week after, which allegedly shows Corinthians’
commitment and good faith.
76. Corinthians asserted it was the Player who infringed a relevant obligation provided in the Contract,
namely, Clause 2, when he decided to refuse to attend the MRI exam when the Contract was still in
force.
77. According to Corinthians, the Player terminated the employment relationship on 28 February 2024
at 17:17 when he sent the termination notice via email, and that this happened after the WhatsApp
conversation between the Player and Corinthians’ doctor which, according to the WhatsApp
screenshot provided, took place between 16:46 and 16:57 also on 28 February 2024.
78. According to Corinthians, the Player ignored its email from 6 March 2024 and, just one week after,
he agreed to sign a new contract with Inter Miami CF.
79. Corinthians alleged it is not true that it putted on side the Player’s demands, and that it has always
acted in good faith, offering solutions and alternatives for all his interests.
80. According to Corinthians, bearing in mind the lack of just cause of the Player, he should be
responsible for the termination of the employment relationship without just cause and liable for
payment of compensation to Corinthians.
81. Corinthians alleged it would be entitled to the termination penalty agreed under Extra Clause 2 of
the Contract, i.e., EUR 80,000,000. However, acting in good faith and acknowledging that this amount
is extremely onerous, it claimed that the compensation payable by the Player should amount to
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REF. FPSD-13963
BRL 4,090,026.39, corresponding to the residual value of the instalments provided in Clause 2.1a) of
the Term of Agreement (i.e., three instalments of BRL 1,363,342.13).
82. Lastly, Corinthians argued that in case the Chamber understood that the Player had just cause to
terminate the employment relationship, the compensation payable by Corinthians should be equal
to the residual value of the instalments provided in Clause 2.1.a) of the Term of Agreement, and that
the eventual compensation should be mitigated under the provisions of the Regulations.
83. Corinthians requested the following relief:
1) Reject the Claimant’s request related to the payment of USD 1,551,142.12 as overdue payables
under the Term of Agreement and the Registration Agreement, considering the lack of just cause to
the termination of the contract signed between the Player and Corinthians.
2) Reject the Claimant’s request related to the payment of USD 6,666,666.67 as compensation
corresponding the residual value of the contract until June 2027, considering the lack of just cause
to the termination of the contract signed between the Player and Corinthians.
3) Reject the request of sports sanction against Corinthians, since there are no continued and
unjustified breach of the contract.
4) Bearing in mind the lack of just cause to the termination of the contract signed between the Player
and Corinthians, in the terms of article 17 of FIFA Regulations, the Respondent requests that the
Player shall be responsible for the termination of the contract without just cause, and consequently
for the payment of compensation to Corinthians equal to the compensation claimed by the Player,
or, alternatively, the compensation corresponded to 3 (three) installments of R$ 1.363.342,13 (one
million, three hundred and sixty-three thousand, three hundred and forty-two Brazilian Reais and
thirteen cents), as explained in the previous topic.
4.1)
In this scenario, Corinthians requests the application of article 17, item 2, of FIFA Regulations,
to determine that the Player and his new club shall be jointly and severally liable for the
compensation payment.
4.2)
Additionally, Corinthians requests the imposition of sports sanction to the Player, with the
restriction to play official matches for the duration of six months, considering the
termination of the contract without just cause by the Player within the protected period.
5) In the event that DRC of the FFT understands that there was just cause for the Player to terminate
the contract, the Respondent shall be ordered to pay compensation equal to the residual value of
the installments provided by clause 2.1 “a” of the Term of Agreement, that is, 3 (three) installments
of R$ 1.363.342,13 (one million, three hundred and sixty-three thousand, three hundred and fortytwo Brazilian Reais and thirteen cents) due on April, May, and June of 2024, since the installments
due on January, February, and March have been duly paid.
6) In all scenarios, the Respondent requests the application of the Mitigated Compensation, in
accordance with the rules of the article 17, “1”, “ii” of FIFA Regulations, as well as the proportional
restitution related to the wage advance paid to the Player.
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REF. FPSD-13963
c.
Reply of the Player to the counterclaim
84. In his reply to the counterclaim, the Player initially argued that he did not claim nor denied having
received the amounts provided in the Contract.
85. The Player insisted that Corinthians failed to pay the claimed amounts arising from the Image Rights
Agreement and, subsequently, from the Term of Agreement. In this respect, the Player argued that
Corinthians itself confirmed its contractual obligation to pay BRL 8,300,000, corresponding to
USD 1,660,000 net, in three instalments between July and December 2023 and having paid merely
BRL 1,945,000 gross in such period.
86. According to the Player, it is clear that by 1 January 2024, Corinthians was in default of the gross
amount of BRL 8,180,052.77.
87. The Player argued he did not terminate the employment relationship under the provisions of art.
14bis of the Regulations, but rather under art. 14.
88. The Player also emphasised that it was not until eighteen days after he sent the termination letter
and that he lodged the present claim that Corinthians replied sending a proof of payment and
alleging that he had breached his contractual obligations by missing an MRI exam.
89. The Player insisted that the Preliminary Agreement, the Contract, the Image Rights Agreement and
the Term of Agreement were freely negotiated by the Parties, are in full and strict compliance with
the principles of Brazilian law, the Regulations and the applicable jurisprudence of FIFA and the
Court of Arbitration for Sport (CAS). They all contained liquidated damages clauses in case of
unlawful termination by either party and, in particular the Term of Agreement, provided a
termination clause in favour of the Player which, as in the previous contracts, entitled him to
compensation corresponding to the remaining value of the contracts. The Player argued that the
Parties were bound to the different contracts according to the legal principle pacta sunt servanda,
and that considering that Corinthians admittedly failed to perform its financial obligations, the
Player was contractually authorized to terminate the employment relationship with just cause, and
to claim the applicable compensation.
90. The Player insisted that Corinthians acknowledged that he already had just cause to terminate the
employment relationship when concluding the Term of Agreement. Also, that Clause 2.2 entitled the
Player to terminate the contracts, without prior notice, if Corinthians defaulted any of the amounts
agreed.
91. The Player further referred to Brazilian law, according to which he had the right to assign his image
rights to a third party (i.e., Redland) and that, default in the payment of these rights would entail just
cause. In this respect, the Player argued that the different contracts concluded were
interdependent, and that the Image Rights Agreement would be terminated in case the Contract
was terminated.
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REF. FPSD-13963
92. According to the Player, FIFA has competence to deal with this case according to its well-established
jurisprudence regarding image rights agreements, as well as according to the Commentary on the
Regulations. Additionally, the Player argued that Corinthians did not challenge the competence of
the Football Tribunal, but it embraced it.
93. The Player insisted that he had just cause to terminate the employment relationship under art. 14
of the Regulations, since the just cause derived from a sufficiently serious breach of trust which
rendered it unreasonably to expect the employment relationship between the Parties to continue,
and that it was an ultima ratio measure.
94. The Player amended his request for relief as follows:
Based on the facts, arguments, legal grounds, and jurisprudence brought therein, the Player hereby
requests the honorable Dispute Resolution Chamber of the Football Tribunal to admit the Claim and this
Answer and pass a decision:
A) Rejecting in its entirety Corinthians’ Response;
B) Recognizing the Player terminated the Contract with just cause, following Corinthians’ continued
breach to the Contract and, as per the clear provisions of the Term of Agreement, condemning the
Respondent to pay:
i) USD 818,005.25 as overdue payables under the Term of Agreement;
ii) USD 6,688,600, as compensation for causing the Player to terminate the Contracts with just
cause, corresponding to the net residual value of the Contracts from 01 March 2024 until 30
June 2027;
iii) All applicable taxes imposed over the amounts i) plus ii) above, to guarantee receipt, by the
Player, of the amount of USD 7,506,005.28 net at the time of payment, regardless of his tax
residency at the time;
iv) Interest on default at the rate of 5% (five per cent) per annum over items (i) and (ii) above as of
28 February 2024 (termination date); and
v) To support all costs associated with this dispute.
And,
C) Imposing further financial and sportive sanctions it may deem appropriate to Corinthians for its
continued and unjustified breach of the Contracts during the Protected Period.
Alternatively, in the unluckily event the DRC finds that the Player did not have just cause to
terminate the Contracts (quad non), the Player hereby requests the Chamber to establish that no
amount is due to Corinthians as compensation, considering the Player was hired on a free transfer
and Corinthians clearly had no interest in maintaining the stability of the Contracts.
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REF. FPSD-13963
d. Position of Inter Miami
95. Inter Miami argued that it signed the Player after his agent, Mr Taraciuk, had informed he was fully
entitled to terminate the employment relationship with Corinthians.
96. Inter Miami alleged that the Player had just cause to terminate the employment relationship, as
expressly provided in the Term of Agreement.
97. According to Inter Miami, Corinthians acknowledged having failed to pay to the Player monies that
were outstanding under the Image Rights Agreement.
98. Inter Miami asserted that no compensation to Corinthians is due at all, but in case the Chamber
considered that the Player had no just cause, the compensation payable to Corinthians should be
based on the actual loss suffered by it as confirmed by CAS in several awards.
99. Inter Miami argued that in case the Chamber decided that the Player did not have just cause, in any
event, there should not be sporting sanctions imposed on Inter Miami, because it did not induce the
Player to terminate the Contract. According to Inter Miami, Corinthians did not include a request for
sporting sanctions to be imposed on Inter Miami as the Player’s new club, which was indicative of
the fact that such punishment is not warranted in the present circumstances.
100. Inter Miami argued that it did not approach, nor was it approached, by the Player or his
representatives prior to the date of termination with Corinthians. Inter Miami acted in good faith
and understood they were registering a free agent, and a period of five weeks passed from the date
of termination to the Player registering with Inter Miami.
101. Inter Miami requested the following relief:
1. IMFC respectfully requests that the DRC dismiss the Counterclaim on the basis that the Player
terminated the Contracts of Employment with just cause.
2. In the event the DRC finds that the Player did not terminate the Contract with just cause, IMCF
respectfully requests that the DRC makes the following orders that:
2.1. There is no evidence to suggest IMCF induced the Player to terminate the Contract and
therefore no sporting sanctions are imposed on IMCF; and
2.2. In the event compensation is due to Corinthians at all (which is denied), the Compensation
claimed by Corinthians be reduced to an amount deemed appropriate by the DRC taking into
account Corinthians’ actual loss (to the extent it has suffered any at all).
3. Corinthians must pay in full, or, in the alternative, a contribution towards, the costs and expenses,
including IMCF’s legal costs and expenses, pertaining to these proceedings in accordance with Article
18.1 of the Procedural Regulations given that Corinthians has generated unnecessary costs and acted
unreasonably and in bad faith by bringing a claim which it knows is wholly without merit.
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REF. FPSD-13963
III. Considerations of the Dispute Resolution Chamber
a. Competence and applicable legal framework
102. First of all, the Dispute Resolution Chamber (hereinafter, also referred to as the Chamber) analysed
whether it was competent to deal with the case at hand. In this respect, it took note that the present
matter was presented to FIFA on 7 March 2024 and submitted for decision on 27 June 2024. Taking
into account the wording of art. 34 of the March 2023 edition of the Procedural Rules Governing the
Football Tribunal (hereinafter, the Procedural Rules), the aforementioned edition of the Procedural
Rules is applicable to the matter at hand.
103. Subsequently, the Chamber referred to art. 2 par. 1 and art. 24 par. 1 lit. a) of the Procedural Rules
and observed that in accordance with art. 23 par. 1 in combination with art. 22 par. 1 lit. b) of the
Regulations on the Status and Transfer of Players (June 2024 edition), it is, in principle, competent
to deal with the matter at stake.
104. In this respect, the Chamber took note of the fact that the Player claimed being entitled to some
amounts which had been initially agreed with Corinthians in the Image Rights Agreement. The
Chamber further recalled that, on 9 January 2024, the Parties concluded the Term of Agreement, by
way of which they novated some of the provisions of the previous contracts.
105. In particular, the Chamber recalled Clause 4.2 of the Term of Agreement, stipulating the following:
“In the event of default by Corinthians which leads the Player to declare the unilateral and justified
termination of the Contract (CETD and Image), the Player will apply directly to the FIFA Football Tribunal
for collection of the amounts due to him under the Contract (CETD and Image)”.
106. Based on the above provision, the Chamber considered that the Parties had clearly and exclusively
provided that any dispute arising from the Term of Agreement would be submitted to FIFA and,
consequently, the Chamber concluded that it was competent to deal with the dispute at stake, which
concerns an employment-related dispute with an international dimension between a Paraguayan
player and a Brazilian club, with the intervention of an American club as the Player’s new club.
107. Subsequently, the Chamber analysed which regulations should be applicable as to the substance of
the matter. In this respect, it confirmed that, in accordance with art. 26 par. 1 and 2 of the
Regulations on the Status and Transfer of Players (June 2024 edition), and considering that the
present claim was lodged on 7 March 2024, the February 2024 edition of said regulations
(hereinafter, the Regulations) is applicable to the matter at hand as to the substance.
b. Burden of proof
108. The Chamber recalled the basic principle of burden of proof, as stipulated in art. 13 par. 5 of the
Procedural Rules, according to which a party claiming a right on the basis of an alleged fact shall
carry the respective burden of proof. Likewise, the Chamber stressed the wording of art. 13 par. 4
of the Procedural Rules, pursuant to which it may consider evidence not filed by the parties,
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REF. FPSD-13963
including without limitation the evidence generated by or within the Transfer Matching System
(TMS).
c.
Merits of the dispute
109. Its competence and the applicable regulations having been established, the Chamber entered into
the merits of the dispute. In this respect, the Chamber started by acknowledging all the abovementioned facts as well as the arguments and the documentation on file. However, the Chamber
emphasised that in the following considerations it will refer only to the facts, arguments and
documentary evidence, which it considered pertinent for the assessment of the matter at hand.
i. Main legal discussion and considerations
110. The above having been established, the Chamber moved to the substance of the present dispute
and took note of the fact that it concerned the unilateral termination of the employment relationship
by the Player and its consequences.
111. In this respect, the Chamber noted that the Player claimed having just cause to terminate the
contractual relationship after Corinthians’ repeated defaults in the payments agreed under the
Image Rights Agreement and, subsequently, under the Term of Agreement. On its part, Corinthians
not only argued having complied with the payments agreed, but also that the Player had terminated
the contractual relationship without just cause by failing to undergo a medical examination on
28 February 2024.
112. For the sake of clarity, the Chamber wished to recall the following sequence of events:
• On 31 May 2023, the Parties concluded the Preliminary Agreement.
• On 2 July 2023, the Parties signed the Image Rights Agreement.
• On 7 July 2023, the Parties entered into the Contract.
• On 9 January 2024, the Parties concluded the Term of Agreement by way of which they agreed
on a new payment schedule of the defaulted amounts provided in the Image Rights Agreement.
• At the time of conclusion of the Term of Agreement, Corinthians had no overdue payables to the
Player as per the Contract. However, it had only paid BRL 1,945,000 as per the Image Rights
Agreement.
• According to the Term of Agreement, Corinthians acknowledged being in default in the amount
of BRL 8,180,052.77 under the Image Rights Agreement. Also, that the Player had just cause to
terminate the employment relationship under art. 14bis of the Regulations.
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REF. FPSD-13963
• In accordance with Clause 2.1 of the Term of Agreement, Corinthians undertook to pay the abovementioned amount in six equal monthly instalments of BRL 1,363,342.13 on the 10th day of
January, February, March, April, May and June 2024.
• The default in any of the aforementioned instalments would enable the Player to terminate the
employment relationship with just cause.
• On 10 January 2024, Corinthians paid to the Player BRL 1,363,342.13, corresponding to the first
instalment of the Term of Agreement.
• On 21 February 2024, the Player put Corinthians in default for the amount of BRL 1,363,342.13,
corresponding to the second instalment of the Term of Agreement, due on 10 February 2024.
• On 28 February 2024, the Player informed Corinthian’s doctor that he would not attend the MRI
exam.
• Also on 28 February 2024, the Player terminated the contractual relationship with Corinthians
based on Clause 3.3 and 3.4 of the Term of Agreement.
• On 7 March 2024, Corinthians paid to the Player BRL 1,363,492.13, corresponding to the second
instalment of the Term of Agreement.
• On 12 March 2024, Corinthians paid BRL 602,762 as per the Contract.
• On 14 March 2024, Corinthians paid BRL 1,363,492.13, corresponding to the third instalment as
per the Term of Agreement.
113. With the above events in mind, the Chamber then referred to art. 14 par. 1 of the Regulations, in
accordance with which “A contract may be terminated by either party without consequences of any kind
(either payment of compensation or imposition of sporting sanctions) where there is just cause”.
114. The Chamber further recalled it is a longstanding and well-established jurisprudence that only a
breach or misconduct which is of a certain severity justifies the termination of a contract, i.e. only
when there are objective criteria which do not reasonably permit to expect a continuation of the
employment relationship between the parties, a contract may be terminated prematurely. Hence, if
there are more lenient measures which can be taken in order for an employer to ensure the
employee’s fulfilment of his contractual obligations, and vice versa, such measures must be taken
before terminating an employment contract. A premature termination of an employment contract
can only ever be an ultima ratio measure.
115. Additionally, the Chamber wished to point out that, according to the Commentary to art. 14 of the
Regulations (p. 130), “The parties to a contract may decide to include a list within that contract of what
they consider to be just cause for the early termination of their contractual relationship. Drawing up such
a list might provide general legal security, at least to a certain extent”.
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REF. FPSD-13963
116. In casu, the Chamber observed that with the conclusion of the Term of Agreement, and after several
default notices sent by the Player, Corinthians acknowledged that the Player had just cause to
terminate the employment relationship under art. 14bis of the Regulations. In this respect, the
Parties, in the mentioned Term of Agreement, decided to freely agree on the following clauses:
3.3. For this reason, the Parties hereto establish that, in the event of default by Corinthians in the
payment of any amounts provided for in this instrument – whether due to Redland (as assignee – and
assignor – of the Player's image rights) or to the Intermediary -, the Player will be allowed to declare
the unilateral and justified termination of the Contract (CETD and Image), without need of prior
notification to Corinthians.
3.3.1. The Player will have until 01 August 2024 to invoke the unilateral and justified termination of
the Contract, and may, subsequently, plead before FIFA the financial consequences derived from such
termination, without the possibility of mitigation by Corinthians.
3.4. In order to avoid disputes, the Parties hereby establish that the delay by Corinthians of more than
five (5) days for the payment of any installments established herein will enable the Player, immediately
and until 01 August 2024, and without the need for prior notice, to declare the unilateral and justified
termination of the Contract (CETD and Image), and the provisions of clause 3.3.1 above shall apply.
117. Based on the above provision, the Chamber concluded that the Player had the right to terminate
the employment relationship with Corinthians provided that the latter defaulted any of the
instalments of the Term of Agreement for more than five days. In such a case, the Player would be
enabled to terminate the employment relationship before 1 August 2024 and without prior notice.
118. With the above in mind, the Chamber took note of the following:
i. By 15 February 2024 Corinthians had not paid the second instalment of the Term of Agreement,
due on 10 February 2024:
ii. On 21 February 2024, and even though the Player was not obliged to do so, he (again) put
Corinthians in default, granting it with another opportunity to comply with its financial
obligations, to no avail;
iii. On 28 February 2024 the Player terminated the employment relationship (i.e., before 1 August
2024); and
iv. Corinthians paid the second instalment of the Term of Agreement on 7 March 2024, i.e., a week
after the Player terminated the Contract.
119. On account of the foregoing, the Chamber observed that the termination by the Player took place
only after several default notices, an agreement to delay the payment of some amounts, and even
the signature of a new agreement with different payment dates that the ones initially agreed (i.e.,
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REF. FPSD-13963
the Term of Agreement). In other words, the Chamber considered that the termination by the Player
was clearly an ultima ratio measure, as it followed several lenient measures undertaken by him.
120. Based on the above considerations, the Chamber concluded that the Player had just cause to
terminate the employment relationship and, consequently, Corinthians shall be held liable for the
consequences that follow.
121. For the sake of completeness, based on the well-established jurisprudence of the Chamber, and
also referring to art. 13 par. 5 of the Procedural Rules, the Chamber rejected Corinthians’
counterclaim and its allegations that it was the Player who terminated the contractual relationship
without just cause after he rejected to undergo a medical examination.
ii. Consequences
122. Having stated the above, the members of the Chamber turned its attention to the question of the
consequences of such unjustified breach of contract committed by Corinthians.
123. The Chamber firstly noted that the Player claimed being entitled to USD 818,005.25 as overdue
payables under the Term of the Agreement. In this respect, the Chamber pointed out that, with the
conclusion of the said Term of Agreement, the Parties novated the payment schedule in connection
with the assignment of the Player’s image rights.
124. According to said document, Corinthians undertook to pay to the Player six equal instalments of
BRL 1,363,342.13 on the 10th day of January, February, March, April, May and June 2024.
125. After having carefully analysed the evidence provided by Corinthians, the Chamber noted that it
indeed has paid the first three instalments of BRL 1,363,342.13 on 10 January and on 7 and 14 March
2024, which were due on 10 January, 10 February and 10 March 2024, respectively.
126. The Chamber also took into account that Corinthians provided the relevant evidence as to the
payment of BRL 602,762 on 12 March 2024, corresponding to the monthly salary of February 2024
as per the Contract.
127. On account of the foregoing, and considering that the employment relationship was terminated on
28 February 2024, the Chamber concluded that there were no outstanding amounts due to the
Player at the time of termination.
128. For the sake of completeness, the Chamber recalled that, according to Corinthians, it applied a
discount of BRL 78,250 on the first twelve instalments agreed in the Contract (i.e., until July 2024)
after the Player had allegedly requested a wage in advance in his first week at the club. In this
respect, the Chamber observed that, in his reply to the counterclaim, the Player confirmed having
received all his remuneration during the relevant months as per the Contract and, consequently,
the Chamber concluded that the Player recognized Corinthians allegations in this regard, which was
also substantiated by the proof of payments submitted by it.
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REF. FPSD-13963
129. Having stated the above, the Chamber turned its attention to the calculation of the amount of
compensation payable to the Player by Corinthians in the case at stake. In doing so, the Chamber
firstly recapitulated that, in accordance with art. 17 par. 1 of the Regulations, the amount of
compensation shall be calculated, in particular and unless otherwise provided for in the contract at
the basis of the dispute, with due consideration for the law of the country concerned, the specificity
of sport and further objective criteria, including in particular, the remuneration and other benefits
due to the player under the existing contract and/or the new contract, the time remaining on the
existing contract up to a maximum of five years, and depending on whether the contractual breach
falls within the protected period.
130. In application of the relevant provision, the Chamber held that it first of all had to clarify whether
the pertinent employment contract contained a provision by means of which the Parties had
beforehand agreed upon an amount of compensation payable by the Parties in the event of breach
of contract.
131. In this regard, the Chamber took note of the fact that all the contracts concluded between the Parties
established the very same compensation clause, entitling the Player to the residual value of the
different contracts.
132. In particular, the Chamber took note of the wording of Clause 3.3.1 of the Term of Agreement, which
novated the previous contracts, in accordance with which:
“The Player will have until 01 August 2024 to invoke the unilateral and justified termination of the
Contract, and may, subsequently, plead before FIFA the financial consequences derived from such
termination, without the possibility of mitigation by Corinthians”.
133. After analysing the content of the aforementioned clause, the Chamber concluded that it fulfilled
the criteria of reciprocity and proportionality, in line with the longstanding jurisprudence of the
Football Tribunal, and therefore was to be applied in the case at hand to determine the amount of
compensation payable by Corinthians to the Player.
134. For the sake of completeness, the Chamber recalled the jurisprudence of the CAS (to which it
adhered), in the sense that “any clause that provides that the compensation payable will amount to the
remaining value of the contract is generally to be deemed proportionate” (among others, CAS
2015/A/3999&4000).
135. Consequently, the Chamber decided that the Player is entitled to receive the residual value of the
different contracts entered into with Corinthians, with no mitigation, amounting to BRL 40,397,726
as per the following calculation:
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REF. FPSD-13963
i) Contract: total of BRL 36,308,000 as follows:
• BRL 860,7500 per month as from April to July 2024, after having deducted BRL 78,250 per
month, i.e., total of BRL 3,443,000.
• BRL 939,000 per month as from August 2024 until July 2027, i.e. total of BRL 32,865,000.
ii) Term of Agreement: BRL 4,089,726.38, after having deducted the evidenced paid amount by
Corinthians (i.e., BRL 4,090,326.39) from the overall amount agreed (i.e., BRL 8,180,052.77)
136. Lastly, taking into consideration the Player’s request as well as the constant practice of the Chamber
in this regard, the latter decided to award the Player interest on said compensation at the rate of
5% p.a. as of 28 February 2024 until the date of effective payment.
iii. Compliance with monetary decisions
137. Finally, taking into account the applicable Regulations, the Chamber referred to art. 24 par. 1 and 2
of the Regulations, which stipulate that, with its decision, the pertinent FIFA deciding body shall also
rule on the consequences deriving from the failure of the concerned party to pay the relevant
amounts of outstanding remuneration and/or compensation in due time.
138. In this regard, the Chamber highlighted that, against clubs, the consequence of the failure to pay
the relevant amounts in due time shall consist of a ban from registering any new players, either
nationally or internationally, up until the due amounts are paid. The overall maximum duration of
the registration ban shall be of up to three entire and consecutive registration periods.
139. Therefore, bearing in mind the above, the Chamber decided that Corinthians must pay the full
amount due (including all applicable interest) to the Player within 45 days of notification of the
decision, failing which, at the request of the creditor, a ban from registering any new players, either
nationally or internationally, for the maximum duration of three entire and consecutive registration
periods shall become immediately effective on Corinthians in accordance with art. 24 par. 2,4 and 7
of the Regulations.
140. Corinthians shall make full payment (including all applicable interest) to the bank account provided
by the Player in the Bank Account Registration Form, which is attached to the present decision.
141. The Chamber recalled that the above-mentioned ban will be lifted immediately and prior to its
complete serving upon payment of the due amounts, in accordance with art. 24 par. 8 of the
Regulations.
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REF. FPSD-13963
d. Costs
142. The Chamber referred to art. 25 par. 1 of the Procedural Rules, according to which “Procedures are
free of charge where at least one of the parties is a player, coach, football agent, or match agent”.
Accordingly, the Chamber decided that no procedural costs were to be imposed on the parties.
143. Furthermore, the Chamber recalled the contents of art. 25 par. 8 of the Procedural Rules, and
decided that no procedural compensation shall be awarded in these proceedings.
144. Lastly, the Chamber concluded its deliberations by rejecting any other requests for relief made by
any of the parties.
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REF. FPSD-13963
IV. Decision of the Dispute Resolution Chamber
1.
The Football Tribunal is competent to hear the claim of the Claimant / Counter-Respondent, Matías
Nicolás Rojas Romero.
2.
The claim of the Claimant / Counter-Respondent is partially accepted.
3.
The Respondent / Counter-Claimant, Sport Club Corinthians Paulista, must pay to the Claimant /
Counter-Respondent the following amount(s):
BRL 40,397,726 as compensation for breach of contract without just cause plus 5% interest p.a.
as from 28 February 2024 until the date of effective payment.
4.
Any further claims of the Claimant / Counter-Respondent are rejected.
5.
The counterclaim of the Respondent / Counter-Claimant is rejected.
6.
Full payment (including all applicable interest) shall be made to the bank account indicated in the
enclosed Bank Account Registration Form.
7.
Pursuant to art. 24 of the Regulations on the Status and Transfer of Players, if full payment (including
all applicable interest) is not made within 45 days of notification of this decision, the following
consequences shall apply:
1. The Respondent / Counter-Claimant shall be banned from registering any new players, either
nationality or internationally, up until the amount is paid. The maximum duration of the ban shall
be of up to three entire and consecutive registration periods.
2. The present matter shall be submitted, upon request, to the FIFA Disciplinary Committee in the
event that full payment (including all applicable interest) is still not made by the end of three
entire and consecutive registration periods.
8.
The consequences shall only be enforced at the request of the Claimant / Counter-Respondent
in accordance with art. 24 par. 7 and 8 and art. 25 of the Regulations on the Status and Transfer of
Players.
9.
This decision is rendered without costs.
For the Football Tribunal:
Emilio García Silvero
Chief Legal & Compliance Officer
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REF. FPSD-13963
NOTE RELATED TO THE APPEAL PROCEDURE
According to article 57 par. 1 of the FIFA Statutes, this decision may be appealed against before the Court
of Arbitration for Sport (CAS) within 21 days of receipt of the notification of this decision.
NOTE RELATED TO THE PUBLICATION
FIFA may publish this decision. For reasons of confidentiality, FIFA may decide, at the request of a party
within five days of the notification of the motivated decision, to publish an anonymised or a redacted
version (cf. article 17 of the Procedural Rules).
CONTACT INFORMATION
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FIFA-Strasse 20 P.O. Box 8044 Zurich Switzerland
www.fifa.com | legal.fifa.com | [email protected] | T: +41 (0)43 222 7777
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