Finance expert Stefan Borson has claimed Liverpool will push for Associated Party Transactions to be “completely banned” amid Manchester City’s current legal battle.
The 2023-24 Premier League winners have taken legal action against the Premier League over the new rules, which were originally introduced in December 2021, that look to limit Associated Party Transactions (ATPs). The tribunal case will begin on June 10 and will aim to be concluded before the beginning of the 2024/25 season.
According to The Times, City has claimed the current rules in place go against competition law and is now seeking ‘monetary damages’ on the basis that the club has been forced to comply with these rules for several years. City was originally taken over by Sheikh Mansour back in 2008 and has regularly invested heavily throughout the last 16 years.
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If the case goes in the favor of City, the club could be free to receive vast amounts of money through sponsorship deals from the likes of Etihad Airways. However, Borson has tipped Liverpool to be heavily against City during the legal proceedings – and has even claimed the Reds could push for a complete ban on ATPs.
“I think Liverpool will be part of a category of clubs who will be some of the most vocal about associated party transaction rules,” Borson told Football Insider. “They will be vocal about strengthening every rule around this.
“They will be a key instigator because they don’t have that as a source of revenue. They’re not looking to bring in any of FSG’s partners as sponsors and therefore I suspect they would like associated party transactions completely banned.
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“We always have to remember everybody around the table in those Premier League rules are quite entitled to look out for themselves. There’s nothing in itself wrong with those clubs looking out for their own interests.“
All deals in the Premier League must be of ‘fair market value’ and this is where City opposes the rules. Their owners argue that sponsors from companies such as Etihad Airways – which are linked to the owners – should be free to decide how much they are willing to spend on the club.
The report went on to state that City claim the rules in place make running the club more expensive, which could cause funds for women’s football, youth development and community projects to be cut.
Liverpool.com says: Given the fact City is a direct rival and Liverpool does not benefit from ATPs, the Reds will likely be one of the teams enforcing the rules that are currently in place.