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Etihad Airways considers legal action against Premier League after Manchester City ruling

Etihad Airways is considering legal action against the Premier League following an independent commission ruling that found Manchester City breached the league’s financial rules, with the airline arguing that the findings created a damaging public impression without giving it an opportunity to present its case.

According to The Athletic, Etihad Airways, Manchester City’s long-standing shirt sponsor and stadium naming-rights partner, said on Wednesday that it was reviewing its legal options after the Premier League published details of the commission’s findings.

The independent commission, appointed by the Premier League, concluded that Manchester City had artificially inflated its revenues through sponsorship agreements. It found that some deals were purportedly disguised arrangements indirectly financed by the club’s owners. Manchester City continues to deny the allegations.

Etihad says it was not given an opportunity to respond

Etihad Airways said its name was not explicitly included in the published ruling but argued that the way the findings were presented had nevertheless created negative implications for the airline.

In a statement, Etihad categorically rejected any finding or suggestion that it had been involved in improper commercial arrangements. The airline said the Premier League had not contacted it during the commission process and that it had therefore been denied the opportunity to be represented, provide relevant information or assist in establishing the accuracy of information considered by the commission.

The airline also said the publication of selected information and what it described as a lack of transparency had caused potentially damaging consequences for the company. It said it would seek legal advice on the options available to protect its interests.

Etihad reiterated its long-standing partnership with Manchester City and said it supported the club’s right to pursue the existing legal process against the commission’s ruling.

The Premier League declined to comment.

Sponsorship relationship dates back to 2009

Etihad Airways signed its sponsorship agreement with Manchester City in 2009. The partnership has since expanded beyond the stadium naming rights to include the Etihad Campus academy and training facilities, as well as sponsorship visibility across other clubs within the City Football Group.

The two organisations have also had historic links at board level. Mohamed Al Mazrouei, former chairman of Etihad Aviation Group, served on Manchester City’s board from 2010 to 2021. His successor, Mohamed Al Shorafa, is a member of Abu Dhabi’s Executive Council, where Manchester City chairman Khaldoon Al Mubarak also serves.

The Athletic examined Manchester City’s relationships with some of its sponsors in a 2022 report. At the time, the club maintained that all of its commercial agreements were negotiated on independent commercial terms and were free from conflicts of interest.

Previous investigations by UEFA also examined Etihad’s relationship with Manchester City. A three-member panel at the Court of Arbitration for Sport concluded that Etihad should not be considered a related party to Manchester City and found no evidence that the sponsor’s commercial activities were controlled or directed by the club’s owners or board.

The Etihad-Manchester City agreement has been renegotiated at least four times since 2009 and has reportedly generated hundreds of millions of pounds in revenue for the club.

The legal process surrounding the latest commission ruling and Manchester City’s challenges against the findings remains ongoing, while the precise scope of any potential legal action by Etihad has yet to be established.