Manchester City have intensified their dispute with the Premier League by launching a fresh legal challenge against the division’s sponsorship regulations, which they claim are “unlawful.”
The club previously suffered a setback in November last year when the majority of Premier League clubs voted in favor of amendments to the Associated Party Transaction (APT) rules.
This followed an initial legal challenge by City last summer, in which they secured support from only three other top-flight clubs.
According to a report from The Times, City’s legal team has now notified the Premier League that they are seeking another arbitration on the matter.
The APT rules were introduced to prevent clubs from securing excessive financial backing from affiliated companies.
While an independent tribunal ruled last year that the previous regulations were unlawful, City believe the Premier League rushed through new measures to appease their rivals.
Man City’s latest arbitration request will be overseen by Lord Pannick, the same barrister leading their defense against the 115 alleged breaches of Premier League financial rules.
The Times has also revealed a letter sent by Premier League chief executive Richard Masters to club executives, outlining the league’s stance on City’s latest legal manoeuvre.
“On January 20, 2025, Manchester City FC began a further arbitration to challenge the APT rules. As you will see, the new challenge relates to the amendments to the APT rules that clubs approved at the 22 November 2024 shareholders’ meeting.
“Manchester City FC seeks a declaration that the amendments approved by clubs in November (and therefore the current APT rules in force) are unlawful and void.
“The Premier League remains strongly of the view that the amendments passed in November were lawful and the APT rules comply with all competition law requirements.
“We consider that the new arbitration must be resolved as soon as possible and, to that end, have agreed that the same tribunal should be appointed to hear the new case.
“The parties are currently corresponding in relation to further directions.
“The APT rules remain in full force and effect and clubs remain required to comply with all aspects of the system.”
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