Manchester City and Premier League Settle Dispute Over Sponsor Rules
City accepts associated party transaction regulations as valid and binding after mounting a legal challenge; both sides say they will make no further comment
Manchester City and the Premier League have reached a settlement ending a legal dispute over the rules that govern commercial deals between clubs and companies linked to their owners.
Under the agreement, City has accepted that the league’s regulations on associated party transactions (APTs) are valid and binding. The club had previously mounted a legal challenge, arguing that aspects of the new rules were unlawful.
A joint statement from the club and the Premier League said neither party would make any further comment about the matter. The dispute had centred on the Premier League’s APT framework, which was designed to prevent clubs from profiting from commercial deals with companies linked to their owners where payments are judged above "fair market value."
The legal challenge followed a November 2024 vote by a majority of top-flight clubs to approve amendments to the APT rules, despite opposition from Manchester City. Last year, an independent arbitration panel had found against aspects of the league’s APT regulations in a case instigated by the club, prompting further contention over the rules’ scope and application.
The settlement brings to a close a high-profile clash between one of England’s leading clubs and the governing body of the domestic league over commercial governance and the limits of owner-linked transactions. The APT regime is part of the Premier League’s broader efforts to increase transparency and enforce consistent standards across member clubs’ commercial arrangements.
Neither the statement nor the league’s published materials detailed any changes to the regulations or outlined any concessions beyond City’s acceptance of the rules’ validity. The Premier League has previously said the APT measures are intended to protect the financial integrity of competition and ensure that commercial deals reflect market rates rather than preferential arrangements.
The resolution leaves in place the amended APT framework approved by the clubs in late 2024 and removes the immediate legal uncertainty that had surrounded its enforcement against Manchester City. Further commentary from the parties was ruled out by the joint statement.