FA Cup winners will play in Europe’s third tier competition after CAS upheld their demotion
Crystal Palace will play in the Conference League this season after losing their appeal against demotion from the Europa League.
The Court of Arbitration for Sport (CAS) confirmed on Monday that it had upheld Uefa’s decision to remove the FA Cup winners from Europe’s second-tier competition over breaches of multi-club ownership rules.
Palace was demoted because shareholder John Textor also owned a stake in Lyon and both clubs qualified for the Europa League. Uefa said that Textor had “decisive influence” at both clubs as of the key deadline of 1 March.
Textor has since sold his 43 per cent share in Palace to fellow US businessman Woody Johnson, but CAS ruled the breach still stood as of the deadline.
Palace argued at Friday’s hearing in Lausanne that Textor had no controlling influence and that they had been treated inconsistently compared with other clubs.
They pointed to Nottingham Forest owner Evangelos Marinakis, who was able to place his stake in Olympiakos into a blind trust before the deadline.
CAS rejected Palace’s argument, saying that “Uefa regulations are clear and do not provide flexibility to clubs that are non-compliant on the assessment date”.
The decision means Forest, who finished seventh in the Premier League, are expected to be promoted to the Europa League. Palace will instead face a Conference League play-off later this month against either Fredrikstad of Norway or Denmark’s Midtjylland. The first leg is scheduled for 21 August at Selhurst Park.
The south London club estimate the ruling could cost them as much as £20m in lost revenue and are considering seeking compensation from Uefa.
Chairman Steve Parish, speaking after Palace’s Community Shield win over Liverpool on Sunday, said if the club don’t “get the right outcome” then they would consider further legal action.