Man City Wins Legal Challenge as Premier League's APT Sponsorship Rules Declared Unlawful

Oct 7, 2024, 02:08 PM

Manchester City has secured a significant legal victory over the Premier League after a tribunal declared the league's Associated Party Transaction (APT) rules unlawful. The APT rules, which govern commercial deals between clubs and companies related to their owners, aim to prevent clubs from inflating sponsorship deals to circumvent financial regulations. The tribunal found that certain elements of the Premier League's APT rules did not comply with competition and public law requirements, and that the league had unfairly blocked a significant new sponsorship deal between Manchester City and Etihad Airways. This verdict could have major ramifications for English football, potentially affecting how clubs secure sponsorships from related parties. Following the ruling, Manchester City is expected to bring in lucrative sponsorship contracts. The Premier League stated it would continue to operate the existing APT system while addressing the issues highlighted by the tribunal. The legal case saw several clubs, including Arsenal, Manchester United, Liverpool, West Ham, Brentford, Bournemouth, Fulham, and Wolves, give evidence in favor of the Premier League against Manchester City. The Premier League emphasized that the rules were not intended to discriminate against clubs from the Gulf region.