Resolution does not affect the 115 charges hanging over the club
Manchester City have dropped their legal challenge against the Premier League’s Associated Party Transaction (APT) rules after reaching a settlement with the league.
In a joint statement released on Monday, both parties confirmed that arbitration proceedings have been terminated, with City accepting that the current rules are “valid and binding”.
The APT framework was introduced to ensure sponsorship deals involving companies linked to club owners are agreed at fair market value. It was seen as a safeguard against artificially inflated commercial revenue, particularly for clubs backed by sovereign wealth.
City had contested amendments to the rules earlier this year, arguing they were unlawful. The case followed an earlier arbitration last year in which a panel ruled that parts of the original rules were discriminatory, forcing the league to make revisions.
After the changes City launched a fresh challenge, but that process has now been brought to an end.
The resolution does not affect the separate, much larger case hanging over the club. City still face some 115 charges from the Premier League relating to alleged financial breaches over a nine-year period, charges the club deny.
The case was heard late last year by an independent panel but has yet to produce a verdict.
