Paul Scholes ordered to pay Oldham after losing contractual dispute

Scholes claimed he was misled by promises from chairman Abdallah Lemsagam not to interfere in first team matters; arbitrator ruled Scholes did have complete control over team selection during his time as manager at Boundary Park

Oldham manager Paul Scholes prior to the Sky Bet League Two match against Yeovil Town
Image: Paul Scholes quit as Oldham manager in March 2019

Paul Scholes has been ordered to pay former club Oldham Athletic a significant five figure sum after losing a contractual dispute over the way he resigned as manager in March 2019.

At the time, Scholes claimed he was misled by promises from chairman Abdallah Lemsagam not to interfere in first team matters.

But Oldham have won a case for breach of contract, with an arbitrator ruling Scholes did have complete control over team selection during his time as manager at Boundary Park.

Sky Sports News exclusively revealed on March 14 2019 that Scholes had resigned by WhatsApp having been officially in charge for just 31 days, accusing Mr Lemsagam of making his job impossible by involving himself in the day-to-day operations of the team.

New Oldham Athletic manager Paul Scholes poses for photos after his press conference at Boundary Park
Image: Paul Scholes was named Oldham manager in February 2019

When taking over his boyhood club, Scholes had it written into his Oldham contract he would have complete control over transfers and team selection.

In an arbitration hearing Scholes accused Oldham of constructive dismissal, alleging he was told by Mr Lemsagam not to play club captain Peter Clarke against Lincoln on March 12 2019.

Clarke did play in what turned out to be Scholes' final match, a 2-0 defeat, and he resigned with immediate effect the next day citing a breach of trust.

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An arbitrator has ruled Oldham chairman Abdallah Lemsagam did not breach the terms of the manager's contract.
Image: An arbitrator has ruled Oldham chairman Abdallah Lemsagam did not breach the terms of the manager's contract

Mr Lemsagam denied telling Scholes not to select Peter Clarke, and responding to his resignation the Oldham chairman said he believed he had been true to his commitment not to interfere.

An arbitrator has ruled in favour of Oldham and Mr Lemsagam did not breach the terms of the manager's contract.

Oldham have also won an award for legal costs.

Sky Sports News has approached Paul Scholes for comment.

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