Manchester City have written to all top-flight clubs dismissing the Premier League’s statement after their legal battle over sponsorship rules concluded.
In a stunning and unprecedented move that further underlines the civil war that has broken out in English football, the champions accused league officials of “misleading” teams by providing “inaccuracies.”
City claimed a historic victory after a court ruled the league’s rules on commercial deals with parties linked to club owners were illegal.
However, in a subsequent statement of more than 1,200 words on Monday, the Premier League downplayed the significance of the verdict.
They stated that the court had generally endorsed its Associated Party Transactions (APT) Rules, but had “identified a small number of discrete elements… that, in their current form, do not meet the jurisdiction and compliance requirements.” public law”.
Manchester City have written to all 19 Premier League clubs after Monday’s victory
In the email, the club accused league bosses of “misleading” teams by providing “inaccuracies”.
Premier League rivals Arsenal were among eight teams to present evidence against him.
That move clearly sparked outrage at City, which on Monday night accused the Premier League of being misleading in an email sent to all its clubs, and the league itself.
While the Premier League declined to comment, officials reject any notion that their statement was misleading or inaccurate as the dispute continues.
In the message, seen by Mail Sport, City’s general counsel Simon Cliff says bluntly: “unfortunately the (league) summary is misleading and contains several inaccuracies.”
“Even more worrying,” adds Cliff, “is the Premier League’s suggestion that new APT rules be approved in the next 10 days.”
‘When the Premier League consulted and proposed the original APT Rules in late 2021, we noted that the process (which took several weeks) was rushed, poorly thought out and would result in anti-competitive rules. The recent award has fully validated those concerns.’
Cliff informs the clubs that the panel considered that the APT rules, aimed at preventing clubs from reaching inflated deals with companies linked to their owners, were illegal and that, contrary to comments from the top flight, the decision makes all rules “null and void”.
The club’s general counsel Simon Cliff sent the email, which was seen by Mail Sport, on Monday night.
“In recent correspondence,” Cliff writes, “the Premier League agreed with MCFC that this is a matter for the Tribunal to resolve.” It is therefore notable that the Premier League is now trying to involve member clubs in a process to amend the APT Rules at a time when it does not even know the status of those rules.
It is understood City have already received “multiple” supportive email responses from other clubs.
The scathing letter deals another blow to the Premier League and warns of further potentially costly legal action.
“This is the time for careful reflection and consideration by all clubs, not a knee-jerk reaction,” Cliff says. ‘Such a reckless move would likely lead to new court proceedings with increased legal costs. It is essential that member clubs feel they can trust their regulator.’
Next, City clarifies a series of points that come into direct conflict with the top flight’s statement. It rejects his claim that the decision “endorsed” the rules or declared them “necessary.”
Cliff adds that the Premier League’s claim that “certain discrete elements” of the rules were identified for amendment is “incorrect”.
Serial winners took legal action against Associated Party Transaction (APT) sanctions in February
The Premier League (pictured chief executive Richard Masters) will invite all clubs to an emergency meeting next week to discuss next steps.
The finding, he says, means the rules are “void and unenforceable.”
In summary, Cliff informs the clubs that the Court found the rules to be unlawful because they constitute a restriction of competition, an abuse of the Premier League’s dominant position and are discriminatory because they exclude shareholder loans made by owners and investors to clubs at favorable rates.
“If any member clubs have any questions about the award, we will be happy to help them as best we can,” concludes Cliff.
The Premier League will invite all its clubs to an emergency meeting next week to discuss the tribunal’s findings and next steps. However, a vote on the rule amendments is not expected to be held.
