Manchester City secured a partial victory over the Premier League on Monday after an arbitration panel ruled that parts of the league’s rules on sponsorship deals, known as Associated Party Transactions (APT), violated British competition law. The ruling came after the Premier League blocked City from completing sponsorship agreements with First Abu Dhabi Bank and Etihad Aviation Group in 2023.
BREAKING: Manchester City have won their legal challenge against the Premier League’s Associated Party Transactions (APT) rules 🚨 pic.twitter.com/3UoTMaALKI
— Sky Sports News (@SkySportsNews) October 7, 2024
The panel found that the Premier League’s decision regarding these transactions was “procedurally unfair” and ordered the decisions to be overturned. APT rules are designed to prevent clubs from inflating sponsorship deals with companies linked to their owners, thereby maintaining competitive balance within the league.
While the Premier League emphasized that the ruling supported its overall objectives, the arbitration panel concluded that aspects of the APT rules were discriminatory, as they excluded shareholder loans and denied clubs the opportunity to comment on the data used to assess the deals.
Manchester City hailed the decision as a victory, accusing the Premier League of abusing its dominant position and enforcing “structurally unfair” rules. Meanwhile, the Premier League maintained that most of City’s challenges had been rejected and defended the necessity of APT rules for effective financial regulation.