Manchester City have claimed a legal victory against the Premier League, after challenging the English top-flight’s Associated Party Transactions (APT) rules.
The tribunal, which comprises a 175-page document, found the league’s ATP rules, which pertain to sponsorship deals with companies linked to team ownership, to be unlawful.
City appealed against the Premier League’s decision to block two commercial deals with First Abu Dhabi Bank and Etihad Aviation Group, due to their links with the Abu Dhabi-backed club’s ownership.
The Citizens also challenged 25 of the league’s APT rules, which were originally brought in in 2021 following Newcastle United’s Saudi Arabia-backed takeover.
The panel deemed it unfair for the league to block these deals, finding that the Citizens were not given all of the necessary information in time for the club to respond.
The tribunal also determined that shareholder loans should not be excluded from the APT rules.
According to the Premier League, the tribunal supported the APT rules’ overall aims, despite the partial victory for City.
The league said in a statement, ‘The Premier League welcomes the tribunal’s findings, which endorsed the overall objectives, framework and decision-making of the APT system.
‘The tribunal upheld the need for the APT system as a whole and rejected the majority of Manchester City’s challenges. Moreover, the tribunal found that the rules are necessary in order for the League’s financial controls to be effective.
‘The Tribunal did, however, identify a small number of discrete elements of the Rules which do not, in their current form, comply with competition and public law requirements.
‘These elements can quickly and effectively be remedied by the League and clubs.’
This case is not directly related to the Premier League disciplinary commission, which will hear 115 charges against City for allegedly breaching its financial regulations, some of which date back to 2009. City deny wrongdoing.
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