Manchester City wins key legal battle against the Premier League
An independent tribunal has ruled in favor of Manchester City, declaring null the rules that limit transactions between companies associated with football clubs. This regulation, which was in force from December 2021 to November 2024, was introduced following the Newcastle United acquisition by a Saudi fund, aiming to prevent clubs like the Premier League from benefiting from inflated deals with companies controlled by the same owners.
Manchester City, whose sponsorships are mostly from United Arab Emirates companies, challenged these rules. Despite the majority of clubs supporting the new legislation, the City contested it and, in October, won a ruling from an independent panel that deemed the regulation "unfair," arguing it violated free trade principles.
The legal decision now means that Premier League clubs can claim compensation for deals affected by the rules between December 2021 and November 2024. According to "The Times," the legal costs from the City’s victory could amount to around £10 million for the Premier League.
The future of the rules still uncertain
City has also questioned the amendments made in November 2024, and the tribunal is expected to rule on whether these new rules are fair and valid. The Premier League, for its part, acknowledged on Friday that the previous laws are no longer valid but insisted that the current ones are, with a decision on them expected soon.
This verdict is unrelated to the 130 financial irregularity charges allegedly committed by Manchester City between 2009 and 2018. The ruling on those charges is expected before the end of the season.