Manchester City start legal action against the Premier League by rule that regulates transactions between clubs and companies of the same owneras is the case of the British squad with United Arab Emirates.
According to the British newspaper The TimesCity sued the Premier League for what it considers “an injustice” and “discrimination” and claims the benefits lost in recent years due to this measure.
Approximately a third of the club’s sponsors, including, for example, ETihad, who gives the stadium its name and is the main sponsor of the shirt, come from the United Arab Emirates, the country that has controlled the club since it bought it in 2008.
The current regulations imply that, for a club to reach an agreement with a company of the same owner, The pact has to go through an independent commission that determines that it is at the market price, so that financial doping is not incurred.
That rule went into effect in December 2021 when Newcastle United bought by Saudi Arabia. At that time, in the Premier League vote, which establishes that 14 votes are necessary for an initiative to go ahead, City abstained and Newcastle voted against.
If this rule is removedthe clubs will be able to value the agreements with their own companies in the amount they want.
This legal action comes one year and four months after the Premier League accused Manchester City of 115 financial irregularities committed between 2009 and 2018, which the club refutes.
There is still no exact date for the sanctions to be known, in case the club is found guilty, but the trial should begin this fall and the results, which could include loss of points and even relegation, could be determined in 2025.
