Man City’s Legal Battles: 115 Charges and a £100M Gamble
Manchester City’s ongoing legal tussle with the Premier League has reached a critical juncture as the club awaits a hearing date for their 115 charges while also challenging the top-flight’s Associated Party Transaction (APT) rules.
City’s private arbitration kicked off recently, with The Times leaking the club’s legal strategy to overturn APT rules. Experts are divided on the implications, both for the immediate case and the broader impact on the Premier League.
The 115 Charges
The 115 charges against Manchester City span 14 seasons and include serious allegations such as non-cooperation with investigations, violations of PSR regulations, and providing false financial information over nine seasons. If proven, these could lead to severe penalties, ranging from fines to expulsion from the Premier League.
The hearing is expected to take place in late 2024, aiming to resolve the matter by the end of the 2024/25 season. Two experts have recently concluded that a pre-hearing settlement is unlikely. Football finance expert Kieran Maguire said, “It would certainly save a lot of money on behalf of both sides. But public opinion and the reaction from media and other clubs make a settlement unpalatable.”
Lawyer Stefan Borson added, “They missed their window for a settlement. Now that it’s public and we’re so close to the hearing, it’s very unlikely to find common ground politically to settle.”
Dan Chapman, head of employment and sports at Leathes Prior, emphasized the gravity of the situation: “These charges are far more serious than those admitted by Everton and Nottingham Forest. The independent commission has almost limitless powers, and sanctions could range from fines to points deductions to expulsion from the Premier League.”
The APT Legal Challenge
City’s challenge against APT rules is another front in their battle. Football finance expert Kieran Maguire commented on BBC Sounds that City feels the rules weren’t properly considered and are being targeted by other clubs. “They want to protect their ability to be the most successful commercial organization in the Premier League,” Maguire noted. “City feels the Premier League rules on associated parties give them a competitive disadvantage.”
Borson, speaking on talkSPORT, described the situation as “animosity.” He said, “City are at war with the Premier League. The allegations of dishonesty and false accounting are the most serious imaginable. The backdrop is one of animosity, with City feeling targeted due to their success.”
Sports lawyer Daniel Geey highlighted that the APT challenge is distinct from the 115 charges. “This is a very narrow argument about how commercial agreements between a linked party to a club should be valued. Even if City wins, it simply means that regulation is deemed unlawful, but the PSR rules stay in place.”
Football finance expert Rob Wilson told OLBG that City is trying to avoid a hearing on the 115 charges. “It’s the last proper role of the dice for City. This is a hail mary, a last throw of the dice to prevent going to court,” Wilson said. “They are playing a legal game, and the only winners are the lawyers.”
As Manchester City battles on two fronts, the outcome of these legal challenges could have far-reaching implications for the club and the Premier League. With the hearing date approaching, the football world watches closely, awaiting a resolution to this high-stakes saga.
