Misrepresentation of facts when entering into a representation contract; is it all in the game?

Misrepresentation of facts when entering into a representation contract; is it all in the game?

On 14 March 2018, the KNVB Arbitration Tribunal issued a decision on a claim filed by Friends & Football International LLC (a Delaware company acting as intermediary, hereinafter referred to as “F&F International”) against FC Twente (a Dutch football club) and a counterclaim of FC Twente against F&F International, after Mr Dušan Tadić (Tadić) transferred from FC Twente to FC Southampton in July 2014.

KNVB Arbitration Tribunal, 14 March 2018, case no. 1466, Friends & Football International LLC v. FC Twente

 

The Arbitration Tribunal decided on the validity of a representation contract on the basis of Dutch private law and on the justification of payments made by FC Twente to F&F International.

The dispute

The dispute circled around the question whether based on the agreements that the parties concluded in the context of the transfer of Tadić from FC Twente to FC Southampton in 2014, there still remains a claim of F&F International on FC Twente - as F&F International argues - or - as FC Twente argues - that one of these agreements must be denied legal effect as a result of which FC Twente has a claim against F&F International for return of amounts already paid.