Introduction
In the sports world, player agreements are common, especially with (semi)professional athletes. Yet many sports clubs do not sufficiently realize that such an agreement can qualify as an employment contract in a legal sense. This difference is of great significance: in an employment contract, rights and obligations under employment law apply, such as continued payment of wages during illness, protection against dismissal and entitlement to compensation. A recent case against handball club Lions shows how big the consequences can be.
The case: player versus handball club Lions
At handball club Lions from Sittard-Geleen, a player played for almost ten years on successive temporary player contracts. He received €1,850 net per month and was provided with a car by the club. For a long time nothing seemed wrong, until the player was injured. After several months, the club stopped paying his allowance.
The player did not let this bother him and went to court. His position: despite the label "player agreement," it was an employment contract, entitling him to continued pay during illness and compensation at the end of employment.
The court: existence of an employment contract
The court vindicated the player and qualified the player agreement as an employment contract. In doing so, the following elements were considered decisive:
- The player performed personal labor by participating in trainings and competitions.
- The club provided guidance and instruction and determined the roster.
- The player could not be replaced by another.
- A fixed fee was paid structurally.
- The player was not acting as an independent contractor.
These circumstances are consistent with the legal definition of an employment contract: labor, wages and authority. The formal label of "player agreement" was not determinative for the court.
Financial implications: fees and bankruptcy
The club had to pay the player transitional compensation of over €6,000. In addition, an equitable compensation of almost €40,000 was awarded due to serious culpable actions by the club, particularly due to the cessation of salary continuation during illness.
The ruling had far-reaching consequences. The Lions, already under financial pressure, were forced to file for bankruptcy after the ruling. This case shows how great the risk is when sports clubs do not delve sufficiently into the legal nature of working with athletes.
What does this mean for sports clubs and athletes?
Sports organizations should look critically at their agreements with athletes. If the factual situation meets the characteristics of an employment contract, the player is entitled to protection under employment law - regardless of what the contract is called. This means, among other things:
- Mandatory sick pay.
- Entitlement to severance pay upon termination.
- Dismissal protection and notice periods.
- Claim to insurance and benefits.
For athletes, this provides legal clarity and protection. For sports clubs, it means they are at risk if they do not follow the legal frameworks. An incorrect qualification can have major financial consequences.
Conclusion
The case at handball club Lions shows that a player agreement can soon bear the characteristics of an employment contract. The legal consequences are far-reaching - and can even lead to bankruptcy, as in this case. For both sports clubs and athletes, it is therefore essential to clearly record the agreements and have them legally reviewed. A well-formulated agreement prevents misunderstandings and protects both parties from unexpected risks.
This blog was written by mr. Stijn Blom, employment lawyer at Arbeidsadvocaat.nl B.V. Stijn has extensive experience in employment law and supports entrepreneurs and employees on a daily basis with a variety of employment law issues. From dismissal cases to drafting watertight contracts and regulations - with his practical and personal approach, he helps employers and employees move forward. Want to know more? Visit Stijn's page.
Arbeidsadvocaat.nl is happy to think with you if you have questions about player agreements. Please feel free to contact us .
April 2025
