What is Man City’s legal case vs Premier League, does it involve the 115 charges and can they win?

What is Man City’s legal case vs Premier League, does it involve the 115 charges and can they win?
Club’s arguments, covered in 165-page document, include claims they are being unlawfully targeted by rivals to stifle their success

On Tuesday it was revealed that Manchester City have launched a legal assault against the Premier League, with the Abu Dhabi-owned club challenging sponsorship rules, while claiming they are victims of “discrimination” from rival clubs.

It is an unprecedented action which could ultimately undermine the competition’s 115 charges against the champions.

Here Telegraph Sport delves into the exact nature of the legal case and whether City can win.

What are the Premier League’s associated party transaction (APT) rules?
APT safeguards were originally introduced in December 2021 after the Saudi Arabia-backed takeover of Newcastle United. By then, it had already been alleged, initially via the Football Leaks dossier of private emails, that Manchester City had concealed payments made by their owner, Sheikh Mansour, through third parties and disguised them as sponsorship revenue.

Protections were brought in by rival clubs with two key themes in mind: to stop clubs using inflated sponsorship deals with companies linked to their owners, and to ensure fair market value on player trading between teams under multi-club ownerships.

Last season, there were repeated attempts by other clubs – opposed primarily by City – to further tighten the restrictions. Since the 2021 rule was introduced, Newcastle have secured major uplifts on sponsorship agreements, including a £25 million-a-year front-of-shirt deal with Saudi events company Sela.

Player dealing was also a source of concern as the injury-hit club were expected to raid the Saudi Pro League in January. Eventually, in February, rules – which further restricted loans and purchases between related clubs – were passed on just 12 votes rather than the usual threshold of 14, reduced because of two rare abstentions. The key sticking point was understood to be around the personal liabilities directors have to assume for their clubs breaking financial regulations.

What are City arguing?
Within a 165-page legal document, City claim they are being unlawfully targeted by rivals to stifle their success. The club argues the league’s democratic system of 14 clubs being able to implement rule change gives the majority unacceptable levels of control.

City are seeking “damages for the losses which it has incurred as a result of the unlawfulness of the FMV [fair market value] rules”, the claim states. One potential target that could have been delayed as a result of the rule is winger Sávio, on loan last season at Girona, part of the City Football Group empire.

The rules were “deliberately intended to stifle commercial freedoms of particular clubs in particular circumstances, and thus to restrict economic competition”, the claim, first reported by The Times newspaper, says.

“There is no rational or logical connection between a club’s financial non-sustainability and its receipt of revenues from entities linked to ownerships.”

In his summary of the case, Daniel Gore, a senior associate at law firm Withers, says City are “challenging the contract which exists between the clubs themselves and the league”.

What do rivals fear?
Some clubs believe the first shots have been fired in a war that could ultimately lead to the end of all financial controls.

City will know they are not alone in seeking to loosen constraints. Chelsea and Newcastle both have shirt sponsors with close links to their ownership. Smaller regimes, however, are desperately hoping the Premier League is successful over the next fortnight. The 12 clubs who voted through the rule changes in February should be counted on to rally behind the top tier.

Gore warns the consequences for all clubs could be significant. “These rules provide a shield against an unrestricted sporting arms race between the most-wealthy owners, funnelling money into their club through parties they control and increasing the notional profitability of their club,” the lawyer says.

“If a challenge to the legality of these APTs can succeed then it is not inconceivable that someone might try to challenge the overarching Profitability and Sustainability rules more generally and this could reverse the moves to ensure that clubs operate within their means – something people may argue has increased the overall competitiveness of the Premier League and reduced clubs going insolvent.”

What does this mean for City’s 115 charges?
Launching the legal challenge now is a key part in City’s aggressive strategy to weaken the league ahead of their biggest fight of all in the autumn.

Time and resources spent preparing for next week’s case eats into the top tier’s legal team preparations for facing a City legal team again in November. In terms of the precedent set by evidence raised next week, the challenge next week to the fundamental mechanism of a two-third’s majority vote could prove particularly destabilising in the autumn.

“It is hard to see how effective governance could take place without a threshold such as this, so Man City’s challenge could plunge the Premier League’s governance structure into chaos and make it harder for any decision to take place,” explains Gore. “This move might be seen by some sceptics as Man City trying to manoeuvre the narrative and legal arguments in its favour, ahead of its own defence of the 115 charges.”

Dan Chapman, a sports lawyer and partner at Leathes Prior, says his “immediate instinct”, however, is that an unlawful verdict in a fortnight should “not be of major significance to the 115 charges”.

“If City thought that rules were unlawful to which they were subject over many, many years and were now, only in 2024, raising that, I do not see that would likely be a terribly attractive argument for any regulatory commission hearing the charges based on the laws as they then were,” he adds.

“I can understand if they establish the APT rules introduced in 2021 are unlawful that it would mean anyone charged post-2021 would have something to say about it, but I do not immediately see the direct link between this and the bulk of the 115 charges.

“That said, of course, symbolically, I suppose, if City were to win this case, it certainly gives them a significant moral high ground or PR footing to argue that a lot of the charges that they face, under the historical regulations, would not necessarily be brought under whatever amended regulations emerge from the outcome of these proceedings.”

🚨BREAKING: After 9 Years, Talented Player Ready To Say Goodbye To Man City

TRANSFERSManchester City ‘firmly focussed’ on £100 million midfielder – Two first-team stars could be involved in ‘compromise deal’

Officials within the Etihad Stadium remain ‘firmly focussed’ on the signing of Newcastle United and Brazil international midfielder Bruno Guimaraes.

The 26-year-old is widely expected to be at the centre of somewhat of a transfer scramble in the coming months, with a number of clubs admiring his abilities and some keen to take advantage of the fact that the Magpies are held to a nine-figure release clause.

While some clubs may not be willing to trigger such a clause at its £100 million valuation, there is likely to be negotiations to be had over offering a deal that comes close to such an amount or appeals to Eddie Howe and his coaching staff in terms of makeweight personnel.

Manchester City are one of those clubs, alongside their Premier League title rivals for the last two seasons Arsenal, with a number of uncertainties within their first-team midfield ranks as the summer market approaches.

Bernardo Silva continues to hold some uncertainty over his future, having eyed a move away from the Etihad Stadium for the last three seasons, while Kalvin Phillips is highly likely to find a way out of the club on either a permanent or temporary agreement.

Now, according to the information of Manchester City insider ‘Tolmie’s Hairdoo’ on X, Etihad Stadium bosses remain firmly focused on signing Bruno Guimaraes from Newcastle United this summer.

However, while it has been well-documented that the Brazilian international has a £100 million release clause valid the end of June, both the midfielder and Manchester City are hopeful of a ‘compromise deal’, as per the

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Former Manchester City player Sergio Aguero looks on during the Manchester City Training Session ahead of the UEFA Champions League 2022/23 final o…Photo by Michael Regan – UEFA/UEFA via Getty Images
Sergio Aguero reacts with four words fans will love as Manchester City send birthday message
Mon 3 June 2024 19:00
Tom Procter
Manchester City sent a birthday message to Sergio Aguero at the weekend, and the Etihad Legend gave a response fans will love.

Manchester City recently secured their fourth straight Premier League title, beating West Ham United on the final day of the season to edge out Arsenal.

That was Pep Guardiola‘s sixth as City manager, and the eighth in the club’s history.

The very first, of course, came back in 2012 – and it could not have arrived in more dramatic fashion.

City fans will never forget the emotions of going 2-1 down against QPR, before turning it around to win and break Manchester United hearts.

The man responsible for arguably the most famous Premier League goal ever was Sergio Aguero, and on Sunday he sent a message to City fans after seeing the club use it to mark his birthday…

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Sergio Aguero reacts as Manchester City use 93:20 goal to make legend’s birthday
Manchester City’s Argentinian striker Sergio Aguero celebrates his late winning goal with team-mates during the English Premier League football mat…
Photo credit should read PAUL ELLIS/AFP/GettyImages
There will likely never again be a final day quite like the 2011/12 Premier League season.

City had their noses in front heading to the final round of fixtures and on any other day, the team would have wiped the floor with strugglers QPR.

But there was a first league title at stake, and nerves were in the air.

City took the lead against QPR through Pablo Zabaleta, but the visitors hit back through Drjibril Cisse. The nerves then took hold, with Jamie Mackie giving QPR a shock lead. Meanwhile, United were leading against United.

City found a late equaliser though through Edin Dzeko, before potentially the most famous Premier League moment of all-time took place; Sergio Aguero collected a pass from Mario Balotelli and evaded a challenge from Taye Taiwo before lashing home at the near post.

Always in my heart 🩵 https://t.co/HCJWiQ2uXW

— Sergio Kun Aguero (@aguerosergiokun) June 2, 2024
View Tweet
Scenes of bedlam ensued, and Aguero etched his name into the City history books forever.

On Sunday, the club posted on X to mark Aguero’s 36th birthday, and simply had to share his famous goal. Aguero replied ‘Always in my heart’. He also added a blue heart for good measure.

What a player
READ MORE: Who is Sergio Aguero? Step inside the life of the Premier League icon with 260 Man City goals
It is lovely to see Aguero acknowledging the post from City, and he clearly still cares deeply about the club and the fans.

Quite simply, his goal against QPR in 2012 was one of the most extraordinary moments in the history of football.

He will forever be adored by City fans for that moment alone, but of course, he was a sensational player during his 10 years at the club.

Undoubtedly, he is one of the greatest strikers the Premier League has ever seen. Not only was he lethal, but he was also a brilliant technician and creator, as evidenced by his 65 assists for the club.

He was truly fearsome, and it was a pleasure to see him don the sky-blue shirt.

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Cody Gakpo is Loving Life At The Red,As He Now Target Personal And Collective Success In His Second Year At The Club

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One year of Cody Gakpo at Liverpool: ‘I love being here’
INTERVIEWOne year of Cody Gakpo at Liverpool: ‘I love being here’
PUBLISHED 16 MINUTES AGO
By Glenn Price
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Cody Gakpo is loving life at Liverpool as he now targets personal and collective success in his second year at the club.

Thursday marked exactly 12 months since an agreement was reached for the Dutch forward’s transfer from PSV Eindhoven, marking the beginning of his journey at Anfield that has seen him score 14 goals from his half-century of appearances.

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Gakpo feels totally settled on Merseyside and credits the love given to him from the supporters as a reason for his quick adaptation period.

The No.18 told Liverpoolfc.com: “A year with obviously really good moments, some lesser-good moments, but I’m happy to be here and hopefully beautiful moments to come.

“I really feel at home and I think the club is amazing. It’s like a big family. The supporters are amazing every game and show love to all of us. I appreciate it and I love being here.”

On his aims for year two, the 24-year-old stated: “I hope to achieve a lot – on a personal level as well. But as a team we have big dreams and big goals. We are working on that.

“I think it always takes some time for every player in a new place to settle a little bit but I felt [at] home quite fast.

“It’s an amazing club and hopefully many more beautiful moments will come for me and for the team.”

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Jürgen Klopp’s Reds currently sit top of the Premier League at the halfway point in the campaign.

They begin the new calendar year by welcoming Newcastle United to Anfield on Monday night, with Gakpo and his teammates looking to maintain their occupancy of first place.

He continued: “I think we are doing really good from the beginning of the season and we have a good group.

“This game, even though we are in first place, we just go into this game like it’s a really important game – like every other game.

“Of course it brings pressure to be in the top position in the league but I think we don’t see it like that. We are just really focused on that one game we have to play in that moment, and I think that’s also a strength of the team.

“They [Newcastle] have a really good team. Obviously we have to work really hard, we have to fight together, stick together even through the difficult moments maybe that will come in the game – hopefully not but it’s a world-class team as well.

“It’s hopefully going to be a great game with us on top at the end.”

PUBLISHED 16 MINUTES AGO
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