The Premier League may face a new legal challenge from one of its own clubs after approving new rules that would limit the ability of teams to buy players or strike sponsorship deals with parties related to their ownership.
An amendment to rules governing associated party transactions (APTs) was approved by clubs at a league meeting on Friday, after they had been informed of the risk of legal action should they do so.
The identity of the club that is considering legal arbitration has not been made public, but is understood to be the champions, Manchester City.
A new legal fight would hardly be welcomed by the league, which is contesting high-profile cases against Everton, Nottingham Forest and City over a variety of alleged breaches. On the other hand, the competition also has to manage the desire of a majority of clubs to crack down on the use of associated parties.
League officials regard the new rules as clarifying the process by which APTs are assessed, with clubs expected to show that – in any deal conducted with a club or business in the same ownership – they have struck fair market value. Critics say the rules were changed to make it harder for such deals to be done. Changes were rejected in a vote last November but those proposals were adjusted before Friday’s vote, including by removing personal liability for directors involved in striking such deals.
“Following a full review of the existing associated party transactions rules and fair market value assessment protocols, clubs agreed to a series of amendments to further enhance the efficiency and accuracy of the system,” the league said in a statement.
Manchester City have been approached for comment.
The latest Premier League shareholder gathering lasted for
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