Manchester City sue Premier League over sponsorship rules

Manchester City have reportedly initiated legal action against the English Premier League over the league’s sponsorship rules.

As reported time, Manchester City have created a 165-page legal document to challenge the league’s rules on related party transactions (APTs), which the club believes are illegal. These rules are designed to prevent related parties from accepting sponsorship deals that exceed fair market value. The 2021 takeover of Newcastle United by Saudi Arabia’s sovereign wealth fund PIF has previously led to attempts by EPL clubs to change the APT rules.

The next step in the case will be a two-week private arbitration hearing before an independent tribunal, scheduled to begin on June 10.

The Premier League declined to comment. Manchester City did not respond Sportyhis request for comment.

The lawsuit comes after the league announced it was preparing for a hearing into City’s alleged breach of rules involving 115 allegations related to the league’s financial fair play. According to a report published by the Premier League last February, the eight-time EPL champions broke the league’s financial rules in every season from 2008 to 2019. During that time, the team won three EPL titles (2012, 2014, 2018).

The Premier League also claimed the club failed to comply with UEFA’s club licensing and financial fair play regulations from 2013-2015 and during the 2017-18 season.

In 2020, Man City were banned from UEFA European competitions for alleged breaches of Financial Fair Play (FFP) regulations. However, the Court of Arbitration for Sport overturned the sanction later that year.

Manchester City have consistently denied any wrongdoing.

In another claim reported to be part of the lawsuit, Man City contested the Premier League’s voting rules, which require 14 out of 20 clubs to vote in favor of any proposal for it to be adopted. The club claims this system preserves the “tyranny of the majority”. According to the report, between 10 and 12 top clubs have responded to a league request for referrals to support its rules. Meanwhile, one club was reported to have testified in support of the city’s claim.

Two weeks ago, the club beat West Ham 3-1 to win the Premier League title for the fourth consecutive season and sixth in seven seasons.

Sporty values ​​Manchester City at $4.75 billion, ranking sixth in the world’s 50 most valuable soccer franchises. Sheikh Mansour bin Zayed al Nahyan bought City in 2008 for $388.5 million.