Manchester City files a lawsuit against the Premier League due to alleged rule violations.

According to the newspaper, City is trying to get rid of the Premier League's Associated Party Transaction (ATP) regulations.

These regulations apply to business and sponsorship agreements with entities owned or connected to the club's owners.

Currently, those regulations require that every transaction of this kind be independently determined to be fair market value.

According to The Times, City wants to sue for damages for revenue lost as a result of the regulations' prohibitions, claiming that the rules are "unlawful".

• Which rules apply to Associated Party Transactions?
  -Any club, its players, manager, or any "senior official" is required by Premier League rules to have any transactions with "associated parties" processed via them.
  -"Associated parties" are businesses or individuals with a sizable stake in the relevant club, whether it be material or immaterial.
  -The board of the Premier League then examines each deal to see whether it thinks it represents a fair market value.
  -The league claims that by removing a "reliance on enhanced commercial revenues linked to the club's ownership," the rule contributes to the development of "fairness" throughout the division.

Matt Lawton, the newspaper's correspondent, cites a 165-page court brief in which City claims it has been the victim of "discrimination".

The regulation went into effect in December 2021 when the Saudi Arabian Public Investment Fund acquired Newcastle.

Beginning on Monday, June 10, a two-week arbitration hearing will be held to decide the legal issue.

• What connection does this have to City's 115 Premier League charges?
  Manchester City was initially accused in February 2023 of violating financial fair play regulations approximately 100 times over a nine-year span beginning in 2009 and ending in 2018.
  It is said that they withheld from one of their managers the entire amount of money that was paid to them during a four-year period. It is suggested that one of the managers was paid far more than what was declared on paper because of a covert agreement.
  Man City is accused by the Premier League of failing to adhere to UEFA's financial fair play regulations for a period of five years. Additionally, they claim that Man City has not cooperated completely with the Premier League's probe.

"This could have significant effects on the Premier League's competitive balance in the future."
Kaveh Solhekol, chief correspondent for Sky Sports News:

"The information being reported is extraordinary. The Premier League's champions, Manchester City, are essentially suing the Premier League in this particular instance.

"City will contend that certain league financial regulations are illegal and in violation of UK competition law at this arbitration case, which is scheduled to begin on Monday. The Associated Party Transaction regulations are the ones they are discussing.

These were implemented in 2021 and are intended to ensure that, in the event that a club enters into a business agreement with a corporation connected to its owners, the agreement must be of a reasonable worth and be verified as such.

Therefore, in order to ensure that a deal is of fair value, independent auditors must review it if you are the owner of a Premier League team and you have another company, such as an airline or an energy company, and you want to get that company to sponsor your club. This is a good way to bring in revenue for your team.

"You cannot simply invent a figure and claim that a deal for £100 million, £200 million, or £300 million will bring in money for your team. It must have a reasonable worth.

"But City are going to argue that these rules are unlawful and obviously, this could have big, serious ramifications for the future competitive balance of the Premier League."