Manchester City has won their legal challenge against the Premier League over the Associated Party Transaction (APT) rules, according to reports. These rules are designed to prevent clubs from inflating commercial deals with companies tied to their owners.
City argued that the APT rules were “unlawful” and launched legal action against the Premier League. This case is separate from the ongoing investigation into City’s alleged 115 breaches of financial regulations. According to Mike Keegan of the *Daily Mail*, a panel of judges ruled in favor of City, agreeing that the APT system was indeed “unlawful” and that the league was wrong to block two sponsorship deals the club had secured.
City’s legal team reportedly won on seven key arguments, though many claims were dismissed by the panel. Crucially, City only needed to prove the rules were unlawful on one point to secure a win.
Following the ruling, the Premier League issued a statement, saying they welcomed the Tribunal’s findings, which supported the objectives and framework of the APT system. The statement clarified that while the majority of City’s challenges were rejected, the Tribunal identified a few elements of the rules that didn’t comply with competition and public law. These issues can be remedied swiftly, allowing the league to continue operating the APT system while making necessary adjustments.
In its “next steps” section, the Premier League outlined the required changes, including incorporating the assessment of shareholder loans and removing recent amendments to the APT rules. The statement affirmed that aside from these specific areas, the Premier League rulebook meets competition and public law standards and remains effective in upholding the league’s Profitability and Sustainability Rules. The league is working on a process to implement these changes quickly.
Leave a Reply