Egyptian club Al Ahly announced on Thursday that it is taking escalating legal steps in response to the financial penalty imposed on it by FIFA, related to outstanding payments owed to its former coach, José Ribeiro. This move comes as part of the club's efforts to protect its financial and legal rights and exhaust all available international legal avenues.
Details of the fine and FIFA's decision
The FIFA Dispute Resolution Chamber had issued a ruling obligating Al Ahly Club to pay $588,000 in compensation to José Ribeiro. This amount includes the penalty clause stipulated in the contract between the two parties, which covers three months' salary. The club's management considered the ruling to be subject to appeal, given the legal arguments they had previously submitted.
Legal roadmap towards CAS
In official statements, Al Ahly's legal advisor, Abdullah Shehata, revealed the club's legal plan for the coming period. Shehata confirmed that the club is preparing to file a formal appeal with the Court of Arbitration for Sport (CAS), based in Lausanne, Switzerland, which is the highest authority for resolving sports disputes worldwide.
The legal advisor explained that Al Ahly's legal team is currently awaiting the detailed "grounds of the decision" from FIFA, a necessary procedural step for preparing the appeal. Shehata anticipated that the appeal file would be submitted within a maximum of three weeks from the date of receiving the grounds, emphasizing that the current ruling is not final and that appealing to CAS suspends the execution of the penalty until a final decision is reached in the dispute.
General context and mechanisms of international sports litigation
This issue is particularly important given the financial burdens facing sports clubs worldwide, with major clubs like Egypt's Al Ahly meticulously reviewing all financial claims to ensure their financial stability. The Court of Arbitration for Sport (CAS) is the final recourse for clubs, players, and coaches seeking redress if they believe FIFA's initial rulings have been unfair.
Legally, contractual disputes between coaches and clubs go through several stages, beginning with FIFA's Dispute Resolution Chamber. However, a ruling only becomes final and enforceable after the appeal period has expired or after a verdict is issued by the Court of Arbitration for Sport. Al-Ahly is seeking, through this move, to reduce or completely cancel the awarded amount based on the contract terms and the circumstances of the contract termination. This is a professional approach adopted by major sports organizations to resolve outstanding issues with minimal financial losses.
