The consequences of terminating a contract will depend on whether there is just cause, or possibly sporting just cause, or not, and whether one is within the protected period of three / two years. Both the player and the club may be liable to pay compensation and could even risk sporting sanctions.

The Court of Arbitration for Sport (CAS) has the competence to settle sport-related disputes. CAS was created by The International Olympic Committee (IOC) in 1983 and is located in Lausanne, Switzerland. CAS also has branch offices in New York and Sydney, and at major sports events, such as the Olympic Games, the football World Cup and the European Football Championships, ad hoc offices are created to deal with violations of regulations in the current sports event.

Nationally and internationally, sport has been given a high degree of autonomy. As long as the sport operates within a certain set of frames, the sport itself can decide which rules should apply in the field of sport and establish bodies that deal with violations of sports regulations and sports-related disputes. Sports-related disputes arising from a contract, e.g. related to player contracts, sponsorship contracts or media rights, may be processed by the various arbitration tribunals of the sport in question.