Posts

Showing posts from September, 2020

A Summer of Legal Issues in the Championship

Image
Sheffield Wednesday In November 2019, the EFL brought charges against SWFC for misconduct in relation to the sale of Hillsborough stadium. Charge 1 – SWFC included the sale of Hillsborough in their 2018 accounts, when it appears the stadium was not officially sold until 2019. The reason why SWFC sold their stadium and included the sale in the 2018 accounts was so that they could comply with the EFL’s Profit and Sustainability Rules (the EFL’s version of financial fair play) for the 3-year period 2015-18.   SWFC argued that assertions made by the EFL at the time gave rise to a ‘legitimate expectation’ from SWFC that it could be included in the 2018 accounts. These assertions were made in emails from EFL employees. The Independent Disciplinary Commission made it clear this was no defence because employees of the EFL have no powers to waive or change the requirements of EFL rules. SWFC claimed that they had entered into a heads of terms agreement which was dated before 31 July,