Greek club Larissa has announced its intention to take legal action against the Football Association of Wales over the appointment of Chris Coleman as Wales manager.
Coleman was unveiled as the successor to his former Wales team-mate
But within hours of the FAW confirming Coleman's appointment, with the 41-year-old being handed a contract through to the end of Wales' World Cup qualifying campaign, Larissa posted a statement on its website stating that the former Fulham manager remained under contract with it.
A Larissa spokesman told BBC Sport: "We have started legal proceedings ... to claim compensation from the Welsh FA.
"We are also prepared to take the matter to FIFA."
But Press Association Sport understands the FAW is confident that it and Coleman have been thorough and correct in all matters relating to his appointment, with Larissa's failure to pay Coleman and members of his staff due to its financial problems meaning it was in breach of his contract.
Coleman has previously said the club had not paid him and during his unveiling he claimed: "I left Larissa two points off the top of the league. I left them because financially they are in big trouble. Some of the staff had not been paid for six months, eight months, up to a year."
Coleman had taken charge of Larissa in May last year, and it was enjoying a successful season under his guidance.
A statement on Larissa's website read: "On
"Once it became known that
"Instead of asking for an apology from all those who criticised us, we instead feel the need to apologise for our choice in appointing
The FAW, which revealed it spoke to the family of Speed, who died aged 42 in November, before appointing Coleman, will be hoping its new manager can build on the encouraging run of four wins from five games at the end of Speed's tenure.
Coleman, who was measured and dignified throughout his unveiling, said he will look to continue Speed's legacy, but has made it clear to his squad and staff that he will be his own man.
Captain Aaron Ramsey, winger Gareth Bale and Speed's assistant Raymond Verheijen had all voiced their desire for the backroom team to be left intact.
Dutchman Verheijen was particularly outspoken, calling for the FAW bring in a 'figurehead' to lead Wales, allowing himself and Osian Roberts to remain responsible for the hands-on coaching.
Coleman, who has been tipped to appoint former Wales and Fulham team-mate Kit Symons as his assistant, says he will speak to the staff that served under Speed before deciding on his own backroom team, but he was adamant that he is no figurehead appointment, and the tone of his comments suggest that Verheijen may have no place in his set-up.
He said: "I've seen some of the comments. If you need a figurehead, why not get an actor and tell him to be a manager?
"You either are or you aren't. You're either a number one or a number two.
"You can't have someone in here either acting, or pretending, to be the manager while someone else is doing everything.
"In fairness, Raymond has done a lot of the coaching and the players have responded.
"But, I know football. And I know footballers. They have done very well for one man who isn't here any more. And I think some people have forgotten that it was Gary Speed."
He added: "I've not had the chance to speak to many of the staff.
"We have got other things running parallel at the moment but there are certain people I need to talk with, not just Raymond.
"I have never met Raymond, he is clearly an opinionated guy but I need to sit down and speak with him at length."
But Coleman is keen to retain the passing style that proved so successful in the latter stages of Speed's tenure, although he admitted taking over from his former team-mate was bittersweet in such difficult circumstances.
"No-one wants to be here, least of all me if I am honest," he said. "On the one hand it's probably the proudest moment of my career to get the opportunity to lead my country but to be given that opportunity because of circumstance no-one could foresee, it's bittersweet for me."
He added: "I'd be a fool to come in here and start again because that's not what it needs. I've got no intention of doing that.
"I love this philosophy of playing. I love what's been happening at Swansea City and I've tried to implement the same in Greece with Larissa.
"At the same time, the tail cannot wag the dog. It has to be the other way around.
"I'm not going to change everything, but I'm my own man and if something does need to change, then it will be changed. But, from the outside, looking in, I don't think a lot needs to be changed."