- A top club has reportedly threatened to seek arbitration over rule changes
- It has been reported that the club in question is Manchester City
- CHRIS SUTTON on sledging, expletives and verbal jousting on the field – It’s all Kicking Off podcast
The Premier League is reportedly facing a legal battle over rule changes that would stop clubs from making commercial deals at inflated prices.
It comes as top clubs today voted in favor of stricter rules on related party transactions at a meeting in London – aimed at ensuring a level playing field between English clubs.
Clubs signing commercial deals at high prices would allow them to spend higher sums of money on players.
The Athletics have reported that the Premier League is facing the threat of arbitration from one of their own clubs.
The club in question is said to be Manchester City, who are already facing a legal battle over 115 charges of breaching Financial Fair Play rules.
The Premier League is facing a legal battle over changes to the rules governing commercial deals between related parties (CEO Richard Masters pictured)
It is claimed that Man City have warned the Premier League that they may resort to arbitration proceedings to prevent the changes from being implemented
Top clubs voted for stricter rules during a shareholders’ meeting on Friday (Arsenal CEO Vinai Venkatesham and West Ham’s vice-chairman Karren Brady arrive at the meeting)
Related party deals have become a hot topic due to the state ownership of Premier League clubs Man City and Newcastle (Magpies co-owner Amanda Staveley arrives on Friday)
Crystal Palace chairman Steve Parish arrives at the Premier League shareholders’ meeting
They are said to have objected to the reforms and told the Premier League that the changes were ‘unlawful’.
Related party deals have become a hot topic in football, due to the state ownership of Premier League clubs Man City and Newcastle.
Man City is part of the City Football Group, which has a widespread network of clubs including Girona, Palermo, Mumbai City, Japan’s Yokohama F. Marinos and Melbourne City.
Clubs failed to vote down a proposal to fast-track a ban on loans between affiliated clubs during the January transfer window in November, while a proposal to block wider affiliate transactions also failed to meet expectations 14 votes needed to pass.
The other six sides that rejected the temporary ban included Saudi Arabia’s Sheffield United, Chelsea, Wolves, Everton, Burnley and Nottingham Forest. The majority of these are part of multi-club empires.
However, at a meeting of member clubs on Friday it became clear that there were two reverse courses of action, allowing the motion to be passed and what is and is not allowed to be changed.
A statement from the association confirmed that ‘a range of changes’ had been agreed ‘to further improve the efficiency and accuracy of the system.’
Man City and Newcastle were two of eight clubs to block a ban on loans to related parties
Pep Guardiola’s side are facing 115 charges for breaching Financial Fair Play rules
The 115 FFP charges against Manchester City were filed a year ago.
Premier League chief executive Richard Masters told MPs last month that a date had been set for a hearing into the allegations, but did not say when that would be.
Since the charges were laid, Everton have been charged and given a ten-point deduction for breaching the league’s profitability and sustainability rules.
The Toffees have since been accused of a second series of offenses along with Nottingham Forest.