Changes to ownership regulations have sparked a massive uprising in the Premier League.
The English top division has decided to enforce stricter regulations regarding the relationship between teams and firms that share ownership. The likes of Manchester City and Newcastle might feel the effects of this decision.
Thus, it said that the current Champions League winners are considering taking legal action. This would be in response to the league’s stricter regulations on Fair Market Value sponsorship agreements. Talks between EPL and EFL clubs this week did not result in a financial arrangement, as per Sky Sports.
A modification to the Premier League‘s associated-party transactions (APT) laws was approved at a meeting on Friday involving all 20 top-flight teams. In an effort to curb teams’ penchant for negotiating inflated commercial agreements, the new APT regulations have been greenlit.
Clubs are able to generate substantial income from these deals, giving them additional capital to invest in the transfer market. A member of one club’s executive team allegedly threatened to take legal action by threatening to initiate arbitration proceedings against the Premier League.
The unidentified club is reportedly Manchester City, Sky and The Telegraph reveal. The Premier League is attempting to narrow financial gaps, but the club allegedly views the new regulations as illegal.
What did Premier League say that has frustrated Man City?
In a statement published this Friday, the Premier League announced: “After a thorough review of the current regulation regarding transactions between related parties and fair market, the clubs have agreed on a series of arrangements to enhance the efficiency and accuracy of the system.”
The City Football Group currently owns 12 different clubs, all using Abu Dhabi state funds
The clubs also failed to make any forward towards a measure’s implementation before year’s end. It would have made the winter…
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Author : Martina Alcheva
Publish date : 2024-02-10 17:53:30
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