A Paris labor court is expected to rule on Tuesday in the financial dispute between Kylian Mbappe and his former club Paris Saint-Germain, the latest chapter in a judicial saga involving huge sums of money.
Lawyers sparred before the Paris Human Rights Commission last month as both sides sought hundreds of millions of euros over the termination of the player’s contract ahead of a move to Real Madrid in the summer of 2024.
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Amid accusations of betrayal and harassment over the breakdown of their relationship, Mbappe’s lawyers claim PSG owes him more than 260 million euros ($305 million). They argued his fixed-term contract should be reclassified as permanent, triggering unfair dismissal and back wages compensation. They also alleged ethical harassment and undeclared work.
Meanwhile, Paris Saint-Germain is seeking €440 million in compensation from Mbappe, citing losses and “lost opportunities” caused by Mbappe’s free transfer.
Tuesday’s decision can be appealed but is unlikely to end the dispute. If a majority is not formed, the panel may also decide to deny jurisdiction or postpone the case to a later hearing, joining the tie-breaking judge.
While PSG insists Mbappe’s request to reclassify his contract as permanent has no legal basis, the ruling could have wider implications for player contracts and employment laws in French football.
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The club argued that the professional player contract is a special form of fixed-term agreement governed by sports law and verified by the French professional league in accordance with French and EU law. Mbappe’s legal team disagrees, saying it is standard procedure to reclassify a fixed-term contract into a permanent deal when the legal conditions for a fixed-term contract are not met.
Origin of the controversy
Relations between the 2018 World Cup winner and reigning European champions became strained when Mbappe decided in 2023 not to extend his contract, which was due to expire in the summer of 2024.
Although the club offered him the richest contract in the club’s history when he signed a new contract in 2022, it deprived the club of a lucrative transfer fee. He was left out of preseason and forced to train with fringe players. He missed the first league game but returned to the squad for the final season following discussions with the club – discussions that were at the heart of the controversy.
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Paris Saint-Germain feels betrayed
The club have accused Mbappe of walking out of an August 2023 agreement that allegedly included a pay cut if Mbappe left on a free transfer, an arrangement PSG said was designed to protect its financial stability. PSG claim Mbappe concealed his decision not to renew his contract for nearly 11 months (from July 2022 to June 2023), preventing the club from arranging transfers and causing significant financial losses. It accuses him of breaching contractual obligations and the principle of good faith.
Mbappe feels cheated
Mbappe’s camp insists PSG never provided evidence that the forward agreed to waive any payment. His lawyers claim the club failed to pay wages and bonuses for April, May and June 2024. They are also seeking to have his fixed-term contract reclassified as permanent, which would trigger compensation. Mbappe also accused PSG of moral harassment and cited the treatment he received in his absence. His claims total more than €260 million and include unpaid wages, contractual bonuses, severance pay, compensation and damages for workplace misconduct.
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PSG denies all harassment accusations, stressing that Mbappe participated in more than 94% of matches in the 2023-24 season and always worked under conditions consistent with the Professional Football Charter.
PSG is seeking compensation totaling 440 million euros, including 180 million euros in damages for missing out on a move for Mbappe after he left as a free agent in July 2023 after rejecting a €300 million offer from Saudi club Al Hilal.
Mbappe joins Real Madrid on a free transfer in the summer of 2024 after scoring a club-record 256 goals in seven years at PSG and winning this year’s Champions League without him.