Manchester City set for new Premier League legal battle over ‘unlawful’ rule changes

Redaction Willow Austin with Harry Winters
Published on 2024-02-09 14:20:58

Manchester City has reportedly raised concerns to the Premier League about the legality of new rules regarding associated party transactions, potentially sparking a new legal battle.

The toughening of rules relating to associated party transactions was voted on and approved by Premier League clubs, with Manchester City reportedly warning of legal action.

This comes in the midst of a major legal dispute between the current champions and the Premier League over alleged Financial Fair Play breaches.

The club has reportedly threatened fresh arbitration proceedings against the Premier League, claiming that the changes are ‘unlawful’ in English competition law.

However, the Premier League has declined to comment on the identity of the club and insists that the new rules are fully compatible with the law.

A Premier League statement detailed the amendments to the Associated Party Transactions Rules and Fair Market Value assessment protocols, with clubs agreeing to further enhance the efficiency and accuracy of the system.

Additionally, clubs also committed to an Environmental Sustainability Commitment introducing a minimum standard of action on environmental issues across the clubs and the League.

The new ATP rules are intended to ensure a level playing field among English football’s elite teams by preventing clubs from signing commercial deals at inflated prices, thereby enabling them to spend even greater sums on players.

Manchester City’s previous sponsorship agreements with Abu Dhabi-based businesses have faced scrutiny, and the club has expressed opposition to the rule amendment.

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