Man City settlement reached as Premier League issue statement

Manchester City and the Premier League have announced a settlement to their dispute over the top-flight's sponsorship rules.

Their dispute had been going on since January 2024. As a result, the Premier League had been forced to amend their sponsorship rules relating to Associated Party Transactions (APTs) following a tribunal instigated by the lawsuit from Man City.

The rules were formed by Premier League chiefs to prevent clubs from profiting from commercial deals with companies linked to their owners that are deemed above 'fair market value'.

But the previous regulations were deemed unlawful; therefore, the Premier League attempted to make amendments. Still, City were not pleased with the revisions and issued a new claim of unlawful activity.

However, this latest dispute will not go to tribunal, as City and the Premier League themselves have agreed to terminate the proceedings and that, as a result of the settlement, the Etihad club accept the current APT rules are 'valid and binding'.

A joint-statement from read: "The Premier League and Manchester City FC have reached a settlement in relation to the arbitration commenced by the club earlier this year concerning the Premier League’s Associated Party Transaction (APT) Rules and as a result the parties have agreed to terminate the proceedings.

"This settlement brings an end to the dispute between the parties regarding the APT Rules. As part of the settlement, Manchester City accepts that the current APT Rules are valid and binding.

"It has been agreed that neither the Premier League nor the club will be making any further comment about the matter."

As explained by football.london's colleagues at the Manchester Evening News, City had been blocked from making sponsorship agreements with Etihad Airways and First Abu Dhabi Bank, as the league did not deem them fair market value under the APT rules.

The Times report that the new settlement will 'enable Arsenal, Chelsea, and Tottenham Hotspur's rival to now complete a hugely lucrative, long-term deal with Etihad Airways'.

The legal action over APTs is separate from the one covering more than 115 charges laid out against City by the Premier League for alleged breaches of financial regulations between 2009 and 2018.

City has continually denied all charges; a hearing was conducted last year, and a verdict is still yet to be announced publicly.

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