Man City LOSE fight to stop new rules & called ‘unlawful’ over sponsorship deals

Premier League clubs have voted in favor of changes to sponsorship rules, despite strong opposition from Manchester City.

A summit in London this morning saw a vote on changes to the regulations on associated party transactions (APTs), which the league drew up following a legal challenge from City, which found parts of the previous rules were unlawful.

City had warned that the competition was rushing through the amendments, urged clubs to vote against them and threatened legal action if they were adopted.

However, Mail Sport understands that the changes resulted in sixteen votes in favor and four against, more than the required fourteen.

A Premier League spokesperson said: 'At a Premier League shareholders' meeting today, clubs approved changes to the League's Associated Party Transaction (APT) rules.

The rule changes respond to the findings of an arbitration tribunal following a legal challenge by Manchester City against the APT system earlier this year.

'The Premier League has carried out detailed consultations with clubs – based on multiple opinions from expert, independent Leading Counsel – to develop rule changes that address the changes to the system.

'This includes the integration of shareholder loan assessment, the removal of some of the changes made to the APT rules earlier this year and changes to the process by which relevant information from the League's 'database' is shared with the advisors of a club.

'The purpose of the APT rules is to ensure that clubs cannot benefit from commercial deals or cost reductions that are not at Fair Market Value (FMV) based on relationships with associated parties.

'These rules have been introduced to provide a robust mechanism to ensure the financial stability, integrity and competitive balance of the League.'