FIFA Regulations do not contain any express provision which prohibits the unilateral extension of contracts. It is generally unreasonable for a club to wait until only a few days before the start of the transfer period before exercising its right to extend an employment contract with a player. The player has the right to know well in advance whether or not the club would be extending the employment agreement so that he can take advantage of the transfer period and look for another club and thus avoid having to find himself unemployed in case the club decides not to extend his employment agreement.
Moral damages are commonly understood as the damages sustained by an individual who has suffered personal harm as result of conduct, acts or omissions which severely damage the personality or reputation of the injured party, causing physical, mental or psychological suffering. Moral damages that have been requested by a legal entity are limited in scope. A club’s request for moral damages can only be limited to losses brought about by damage to its image and reputation.
Facts/Procedure
On 17 August 2007, Maximiliano Gastón López (the Player) entered into an employment agreement with the Russian club FC Moscow. Under the FC Moscow Employment Agreement, the Player was entitled to receive a monthly salary. The Panel could not establish the exact term of the FC Moscow Employment Agreement, but it was clear that it started on or before August 2007 and would remain in force at least up to the course of 2010.
In February 2009, FC Moscow and the Player agreed on the possibility of releasing the Player to another club under certain terms and conditions. Later on, FC Moscow and the Player signed a contract called the Private Agreement wherein, FC Moscow agreed to release the Player and to transfer him on loan to any club in South America (including the Appellant Club) up to 31 December 2009 on condition that the Player agreed on the employment terms with...
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