IT MAY BE AGREED TO PAY SEVERANCE FOR TERMINATION OF AN ATHLETE'S CONTRACT OVER THE TERM OF THE CONTRACT
Navarra high court validates a contractual clause allowing severance for termination of the professional athlete's contract to be paid on a pro rata basis in advance.
ngel Olmedo Jimnez
1. Issue under debate
The Navarra high court judgment of December 20, 2018 examined whether a clause was valid which determined that the club would pay in advance and on a monthly basis a number of amounts in respect of an advance payment of the potential severance to which the cyclist might be entitled by reason of termination of the agreed term.
2. Facts of interest
The cyclist had been providing services to the club since January 1, 2012, and had signed three employment contracts, the first for one, the second for three and the third for one season.
In the last of these contracts, signed in the presence of the cyclist's agent, the cyclist's annual salary was 170,000, and it stated that "of the amount to be received in the last year of the valid term of the contract, the parties agree to deduct the severance to which they are entitled by law on termination of the contract".
At the end of September 2016, the club notified the cyclist that his contract would be terminated on December 31 that year. In that same month, the cyclist announced he had been signed by another cub.
After his employment contract had been terminated, the cyclist filed a monetary claim, asking for the club to pay him the severance to which he was entitled as a result of termination of his temporary contract.
In the 2016 season, the club paid the cyclist, in respect of "severance under RDL 10/2010, transition provision 13", an aggregate sum of 20,027.34.
At first instance, Pamplona labor court number 1 partly upheld the claim, and ordered the club to pay the cyclist 931.41 (difference between the amount already received in respect of severance and the statutory severance payment).