A professional football player filed a lawsuit in the Labor Court against his former team for the payment of cogent rights, remedies for unlawful dismissal, and contractual rights.
The Court held that the proceedings must be stayed and the dispute referred to the Football Association Arbitration Institute. Generally, cogent rights in protective labor law cannot be waived and cannot be referred to arbitration. However, following a National Labor Court holding, a comprehensive reform was made to the Israel Football Association's Arbitration Institute regulations establishing a unique track for resolving cogent claims heard before retired Labor Court judges, subject to substantive law and rules of evidence, and granting a right to seek leave to appeal to the Labor Court. The case law finding that cogent rights are not arbitrable applies only to proceedings opened prior to the reform. Here, the lawsuit was filed after the reform took effect, the majority of the claimed remedies are contractual, and the new mechanism ensures adequate judicial oversight. Therefore, the proceedings were referred to arbitration.