Clubs Threaten Legal Action Against The Football League Over FFP

February 27, 2014

The Football League could be facing legal action from its own clubs over Financial Fair Play (FFP) rules according to a report in The Guardian.

The rules are aimed to stop massive financial losses, asthma but some clubs have written to the Football League’s CEO Shaun Harvey warning of legal action if changes are not made.

A report in The Guardian names Leicester, Blackburn Rovers and QPR as three of the clubs to be considering action.

The Guardian claim to have seen a letter that read: “It is likely that unless the FFP rules are modified, the Football League should expect a challenge from any number of clubs and/or players or agents suffering sanctions or the consequences of sanctions.”

FFP rules in the Football League stipulate that losses this season must be reduced to £8m ($13.3m) or sanctions such as a transfer embargo could be implemented.

Leicester City’s latest accounts showed the club lost £30m ($50m), QPR lost £23m ($38.3m) in 2012 and Blackburn lost £37m ($61.6m) in 2013. Sources say these clubs have objected to the rule.

All three clubs, and Wolverhampton Wanderers in League One are represented by Manchester-based law firm Brabners.

The latest accounts for Wolves showed they had made £2m ($3.3m) profit, but in that time the club has suffered back-to-back relegations and now find themselves with one of the highest wage bills in League One.

Harvey responded by writing to all Football League clubs promising to maintain the FFP rules: “The League has received a letter from Brabners solicitors on behalf of several unnamed Championship (and one League One) clubs which raises a number of issues including the potential of a legal challenge.

“We are comfortable that the rules were incorporated properly and that this is an attempt by a few clubs to impose their views on the majority, who approved their implementation. A position we will vigorously defend if required.”