Last season, one of my clients went through a nightmarish ordeal with a basketball team in Serbia. From the moment she landed, things spiraled out of control. Eventually, we reached a mutual agreement for her to leave the team. However, the team exploited her situation—especially after she lost her agent—by withholding wages (already overdue by two weeks) and refusing to pay for her flight home, even though it was clearly stated in her contract. Unfortunately, these scenarios are all too common in Europe, affecting both small-budget and larger teams alike.
Throughout her ordeal, I was there to guide her on the next steps. However, when the situation reached an impasse, I sought help from an experienced agent with high-level European experience. Together, we provided the necessary advice to my client.
Ultimately, my client forfeited the money owed to her (not a large amount, but still rightfully hers) and paid for her flight home. After some bizarre negotiations where the team tried to impose a buyout clause for her next team, she finally obtained her Letter of Termination—crucial for leaving any team—and returned home. Despite the toxic environment, she remained professional, and I couldn’t be prouder of her.
The Importance of the BAT Clause in Contracts
This incident underscored a critical mistake made by my client’s former agent: the absence of a BAT clause in her contract. The BAT, or Basketball Arbitral Tribunal, serves as the FIBA court that oversees basketball disputes for every FIBA-affiliated country.
The BAT resolves contractual disputes between players, agents, coaches, and clubs through arbitration. However, there are significant considerations before taking a dispute to the BAT: money and time. Opening a dispute is neither cheap nor quick. Administrative fees range from 1,500€ to 7,000€, and arbitrator fees can be between 4,000€ and 12,000€. In contrast, lawsuits in most European countries often exceed 50,000€. If you win, the losing side must cover these costs, but you must pay upfront.
Time is another factor. It may take up to nine months to receive a BAT arbitration award, which is still quicker than a normal civil court case, which can drag on for years.
Teams often bet that even if the BAT clause is included in the contract, most players won’t pursue a claim. However, if your case is clear-cut, they usually fold and reach a settlement, especially if you have a dedicated agent.
In my client’s case, the money owed was around 1,000€, not enough to justify opening a BAT case. The main problem was the lack of a BAT clause in her contract. Without it, the BAT won’t consider the case.
Updated BAT Arbitration Clause for Contracts
Given the updated rules as of February 2024, it’s crucial to include the following clauses in your contracts to protect yourself:
Standard BAT Arbitration Clause:
“Any dispute arising from or related to the present contract shall be submitted to the Basketball Arbitral Tribunal (BAT) in Geneva, Switzerland, and shall be resolved in accordance with the BAT Arbitration Rules by a single arbitrator appointed by the BAT President. The seat of the arbitration shall be Geneva, Switzerland. The arbitration shall be governed by Chapter 12 of the Swiss Act on Private International Law, irrespective of the parties’ domicile. The language of the arbitration shall be English. The arbitrator shall decide the dispute ex aequo et bono.”
Payment Order Procedure Clause:
“Any dispute arising from or related to the present contract shall be submitted to the Basketball Arbitral Tribunal (BAT) in Geneva, Switzerland. If a Request for Arbitration is filed, the dispute shall be resolved in accordance with the BAT Arbitration Rules by a single arbitrator appointed by the BAT President. The arbitrator shall decide the dispute ex aequo et bono. Provided that the relevant requirements as set out in the BAT Arbitration Rules are met, each party may file a Payment Order Request instead of a Request for Arbitration. In such case, a Payment Order Procedure shall be conducted in accordance with the BAT Arbitration Rules. The parties acknowledge and agree that any Final Payment Order issued by the BAT President shall have the effects of a final and binding arbitral award between the parties to the dispute. In any case, the seat of the arbitration shall be Geneva, Switzerland. The arbitration shall be governed by Chapter 12 of the Swiss Act on Private International Law, irrespective of the parties’ domicile. The language of the arbitration shall be English.”
Links concerning BAT:
https://www.fiba.basketball/bat
https://www.fiba.basketball/bat/process
Alternative Solution
For many overseas players, pursuing a BAT case might not be feasible due to the costs involved. However, in employee-friendly countries like France or Germany, hiring a lawyer specializing in workers’ rights might be a better solution.
In certain instances, receiving a formal letter from a lawyer in their own country may scare the team into action to pay what is owed.
I hope this post helps many of you. Please share it with others who might benefit from this knowledge. It could save someone a lot of money and stress!