“Manchester City suffer defeat in an important Premier League vote, but three clubs backed them.”

Manchester City face another legal dispute with the Premier League after amendments to the top flight's sponsorship rules were approved.

The City previously warned against making hasty changes to the rules on associated party transactions (APTs), after challenging them on competition law grounds.

Last month, an arbitration panel ruled that certain aspects of these regulations were illegal, and the City argued that making amendments before seeking further guidance from the panel could lead to further challenges.

Premier League bosses remain confident the changes are legal after more than a month of consultation and, crucially, have now received the backing of the majority of top-flight clubs in a vote on Friday.

League sources had predicted a lengthy meeting to discuss this issue, however, shortly before 9:30am, the Premier League confirmed that the clubs had voted in favor of the rule changes which the league believes will now make them legal.

This includes adding shareholder loans to the fair market value (FMV) assessment, removing some of the amendments made to the APT rules earlier this year, and changes to the way clubs access the bank. league data used to make FMV decisions.

talkSPORT understands the vote was incredibly close, with Man City receiving backing from Aston Villa, Newcastle United and Nottingham Forest, all of whom voted against the new APT rules.

A statement read: “At a Premier League shareholders meeting today, clubs approved changes to the league's associated party transactions (APT) rules.

“The amendments to the rules address the conclusions of an Arbitration Court following a legal challenge by city ​​of manchester to the APT system earlier this year.

“The Premier League has carried out detailed consultation with clubs, informed by multiple opinions from leading independent lawyers and experts, to draft rule changes that address the required amendments to the system.

“This relates to the integration of the assessment of shareholder loans, the removal of some of the amendments made to the APT rules earlier this year and changes to the process by which relevant information from the 'bank The League's data is shared with a club's advisors.

“The purpose of the APT rules is to ensure that clubs cannot benefit from commercial agreements or cost reductions that are not at fair market value (FMV) by virtue of relationships with associated parties. These rules were introduced to provide a solid mechanism to safeguard the financial stability, integrity and competitive balance of the League.”

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The case is not related to the 115 charges of alleged rule breaches facing Man City.

He first division inserted ATP rules following the acquisition of Newcastle, which was facilitated by the Saudi Arabian Public Investment Fund.

The rules were put in place to protect competitive integrity by preventing clubs from artificially inflating commercial deals associated with their owners.

That means sponsorships must be independently evaluated and will only be approved if they are deemed to have “fair market value.”

The city had argued that the rules discriminated against its ownership by Abu Dhabi United Group, an investment company of Abu Dhabi's royal family.

This came after they issued a 165-page complaint against the Premier League with a two-week hearing taking place in June.

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city ​​man had been seeking monetary damages for losses suffered as a result of the “illegality of the (fair market value) standards.”

They claimed the rules were “deliberately intended to stifle the commercial freedoms of particular clubs in particular circumstances and therefore to restrict economic competition”.

However, Friday's vote represents a significant defeat for City in their fight against the Premier League.

Meanwhile, City's legal case against the FFP charges continues after being charged by the Premier League in February 2023.

The accusations related to breaking FFP rules around 100 times over nine years, between 2009 and 2018.

The alleged crimes coincided with City's dominance of English football, having won the last four Premier League titles, the first club in history to do so.