Premier League champions Manchester City are set to tackle the Premier League over a controversial new financial rule, MySportDab reports.
The Etihad outfit have reportedly sued the Premier League for the new rule that has divided the English elite division into rival camps.
The new rule is a financial rule that touches on the financial dealings of Football Clubs in the English top-flight going forward.
Sources close to Manchester City revealed the club feel they have been wrongfully targeted and discriminated against by the news, and have described it as ”the tyranny of the majority.”
The new rule is said to have been endorsed by other Premier League clubs. The rule, termed ‘Associated Party Transactions,’ (ATP) bars football clubs from inflating sponsorship deals with businesses and organizations linked to the ownership of the clubs. The rule also mandates that all club transactions must comply with Fair Market Value (FMV).
Manchester City feels they are the primary target by the ATP rule and its implementation will erode the club’s recent gains, including limiting growth.
Daily Mail reports the Manchester club have filed a 168-page document challenging the new rule.
A private hearing on the case is set to commence and it will span two weeks with the final decision set to have an overarching effect on the spending pattern of clubs and financial dealings.
It is also understood that the ruling could have an effect on the outcome of the Premier League’s 115 charges on Manchester City for financial breaches which will be decided in November 2024.
A triumph for Manchester City is more likely to boost the club’s chances of coming out unscathed from the 115 charges while a loss will see the club dread the worst outcome in November.
About 10 Premier League clubs have reportedly endorsed the ATP rule with only one club set to back City’s appeal to have the rule dumped.
