A CONTRACT dispute between Clyde FC and former manager Jim Chapman has been settled.

Mr Chapman was suing the cash-strapped club for almost £30,000 for breach of contract.

He was just five months into his two-year contract with the Scottish League Two club when he left in October last year after a run of poor results.

His departure came just days after heated exchanges between the management team and fans during a home defeat to Elgin City.

Mr Chapman launched an employment tribunal against the fan-owned team, which operates as a Community Interest Club.

He had been seeking a payout of £27,390 for breach of contract, as well as more than £800 for unpaid holiday pay.

The Herald:

The tribunal initially awarded in favour of the ex-manager as the Bully Wee failed to lodge a response on time, but that decision was overturned at Clyde’s request and a full hearing was scheduled to take place on Monday.

But it has now been confirmed that the dispute was settled through the Advisory, Conciliation and Arbitration Service.

Mr Chapman's legal representative would not comment about the case.  And Clyde FC would not discuss the settlement, saying only that a statement would be released "in due course".

In a previous  written decision on the case, employment judge Robert Gall stated: “The claimant was on a fixed two-year contract with the respondents.

“His claim is for breach of contract on the basis that he maintains he ought to have been employed for a two-year period and is therefore entitled to the full amount of his salary for the remainder of his contract.”

Mr Chapman, who was a forward for Albion Rovers and Dumbarton during his playing career, had also lodged a claim for unlawful deduction of wages.

READ MORE: Clyde FC's handling of race row footballer condemned in Scottish Parliament

The judgment, which ruled that Clyde should now be allowed to defend the action, also detailed how the club lied about seeking legal advice.

Club chairman Norrie Innes told Mr Chapman’s lawyer that he had been advised that the club were on “strong ground”, when he had not even contacted a solicitor.

Mr Innes also emailed the tribunal to say that the claim would be “robustly defended” and again referred to having legal representation when he did not.

The club had not contacted a lawyer “because of the difficult financial position they were in, wishing to restrict their costs”.

When Mr Innes was asked about lying, he told the tribunal that he had been “boxing clever”.

Judge Gall said the chairman had lied “in an attempt to call [Mr Chapman’s] bluff by stating that the respondents had a strong case”.

The judge added: “I did not see the actions of Mr Innes in the period after the claim had been lodged as ‘boxing clever’.

“It would have course been better had the respondents actually taken legal advice.

“Had he taken legal advice he might have been better prepared for the tribunal claim being served upon the respondents and perhaps then to have taken steps to defend the claim within the appropriate time period.”

The Herald:

At the time of Mr Chapman’s departure, assistant manager John Joyce also left the club.

READ MORE: Ex-manager Jim Chapman sues Clyde FC for £30k 

Mr Chapman was replaced by Danny Lennon, who was appointed on November 13 last year.