The Premier League Delays Response to Man City Ruling

The Premier League has informed its clubs that it will take time to respond to this week’s arbitration verdict in Manchester City’s legal challenge over associated party transaction (APT) rules. In a letter to clubs, chief executive Richard Masters hinted at a potential delay in upcoming meetings due to the issue’s complexity. City challenged the APT regulations which aim to ensure sponsorship deals with companies linked to club owners reflect fair market value.

The tribunal ruled in City’s favor on two points, declaring parts of the rules unlawful. It determined that low-interest shareholder loans should fall within the scope of APT rules and that recent rule changes violated competition law. Despite these rulings, the Premier League emphasized that the panel supports the overall framework and objectives of the APT system.

The league plans to amend its rules but will take time to carefully consider the changes which could affect next week’s scheduled meetings of the Financial Controls and Legal Advisory Groups followed by a full clubs meeting. Masters acknowledged the extensive feedback from clubs and stated that the league is using this input to shape its proposals and draft rule amendments.

However, City criticized the Premier League’s summary of the ruling, calling it “misleading” and threatening potential legal action if new rules are introduced too hastily. The league has sought further clarification from the tribunal on the status of the APT rules. Clubs remain divided over the issue with some expressing concern about the destabilizing effects of the dispute.

Meanwhile, others urge for a thoughtful resolution and a focus on moving forward. This case remains separate from the Premier League’s 115 financial charges against City which the club denies.