Earlier this week, the USL Players Association filed a lawsuit on behalf of Enzo Martinez against Queen City Soccer Club, LLC. The suit alleges that Charlotte Independence (which is operated by Queen City Soccer Club, LLC) had not complied with last year’s ruling from a Grievance Committee authorized by USL’s new Collective Bargaining Agreement.

Enzo Martinez, a midfielder, had been under contract with the Charlotte Independence beginning with the 2019 USL Championship season. Following the 2021 season, the Independence self-relegated from the USL Championship to the USL League One for the 2022 season. Martinez was still under contract with the Independence through the 2022 season.

What seems to be an otherwise cut and dry situation is muddied by the Independence’s drop from Championship to League One. While dropping a tier is relatively common in European leagues, it’s almost unheard of in the United States. However, according to Steven Bank, the Paul Hastings Professor of Business Law at UCLA, “Martinez' case was covered by the new USL CBA, which was ratified in late 2021.”

Per the USL’s Collective Bargaining Agreement, because the Independence moved from USL Championship to USL League One, the team had three options regarding Enzo Martinez’s contract: pay Martinez per his current contract; negotiate a new contract; or pay a dollar amount equal to three months wages under his current contract. The issue ended up in front of the CBA-authorized Grievance Committee which ruled in favor of Martinez’s claim of unpaid wages and ordered Queen City Soccer Club, LLC to pay the player $28,401.85 plus interest by June 20, 2022. The committee also provided that the amount owed by Queen City Soccer Club, LLC would accrue simple (non-compounding) interest at the annual rate of 9% for each day after June 20, 2022 that the amount remained unpaid. According to the USLPA, the club has refused to pay that amount to the player and the USLPA filed suit in U.S. District Court to recoup the amount owed to Martinez.

Image credit: Hayden Schiff and Wikimedia Commons

Connor Tobin, the USLPA’s Executive Director, spoke with Protagonist regarding the suit and stated that the USLPA felt the case was necessary to pursue because “we're looking for enforcement of a grievance that was ruled on behalf of a player. We're seeking enforcement of that because it has not been taken care of, up to date." The peculiarity of the situation is not lost on the union either. “This will be the first time we've filed in district court looking for enforcement,” said Tobin. “Just to note, our collective bargaining agreement at the championship level and the league one level are both relatively new, so in terms of the number of grievances we've gotten that have gotten to this point, this is obviously new ground for us."

While the USL declined to comment on the situation, Professor Bank did share some of his thoughts with Protagonist via email. Bank highlighted that in the district court filing, the USLPA refers to “the Grievance Committee order and, indeed, the CBA provides and the USLPA alleges that it is a ‘final and binding’ on the parties because it was a ‘joint decision,’ which means that the USL rep and the USLPA rep on the Grievance Committee agreed on the order.” Had the two parties differed in opinion on the result, Bank pointed out that an “impartial arbitrator” would have been appointed, according to the rules of the grievance process in the CBA. Because both parties agreed on the Grievance Committee’s order, no arbitrator was appointed.

In a statement released to Protagonist yesterday, the Charlotte Independence offered its perspective on the legal filing (the full statement is below). “As we told the Grievance Committee, at the conclusion of the 2021 USL Championship season and following our move to USL League One, Enzo was extended an opportunity to continue playing in Charlotte with the Independence. It was Enzo who made the decision to choose another path.” The club claims that it had every intention of its continued employment of Martinez in League One, but the player declined, instead choosing to remain at the Championship level with another club, the Birmingham Legion. According to this statement, Martinez chose to leave “before the club was able to present an official offer.”

Now it appears that the matter will be decided in U.S. District Court, with both sides claiming the high ground from their respective positions. The Independence closed out their statement claiming that they “managed the process the best we could and in the right manner, given the unique situation.” When asked if the USLPA hoped for a settlement, Tobin replied that “Our hope was that their obligation would have been satisfied when it arose almost a year ago."

While the case may seem significantly less interesting than what happens on the field, there are several big implications within the case. As mentioned before, the situation is a new one for the USL’s professional clubs. The court’s ruling may shape future transactions of this type, as the club/league landscape becomes more crowded. The lawsuit is also a big chance for the USLPA to flex its legal muscles. Player unions set tones in cases like this and this is an early challenge to the player’s union to force a club to respect the CBA.

Regardless of who wins or loses, it’s an important step in a rapidly professionalizing relationship between the league and the players playing within it. Seeing how it plays out should make for interesting viewing.

- Dan Vaughn