Relegation clauses stating that the contractual relationship of
the parties automatically ends in the case of relegation of the club or give
both parties the right to terminate the employment contract in case of
relegation, should not only benefit clubs but
also the players.
Facts/Procedure
On 1 June 2010, the Parties concluded a contract of employment (the First Contract), valid from the date of signature until 30 May 2012, whereas the Player had signed his very first contract with the Club in 2008.
According to the First Contract, the Player was entitled to receive the amount of EUR 30,000 payable in ten equal monthly instalments amounting to EUR 3,000 for the season 2011-2012. In addition, other advantages were provided for, such as an exceptional bonus in the amount of EUR 5,000 was due, if the Club “climbs to a superior division”. The Player was promoted to the Cypriot First Division at the end of 2010- 20011 season.
On 1 July 2011, the Parties concluded a second contract of employment for the period as from 1 June 2012 until 30 May 2015 (the Second Contract) and on 2 July 2011 the Parties concluded a supplementary agreement for the period as from 2 July 2012 until 30 May 2015 (the...
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