West Ham United are prepared to mount a 'vigorous defence' against an unprecedented multimillion pound compensation proceeding brought against them by Sheffield United. Sheffield United are seeking compensation after estimating that relegation cost them £50 million. Their claim is based on alleged inconsistencies in the sworn witness statements submitted by Eggert Magnússon when the West Ham chairman was defending his club against a charge of breaching Premiership rules in relation to the transfers of Carlos Tévez and Javier Mascherano. West Ham stated, 'Sheffield United's latest assertions clearly demonstrate a fundamental misunderstanding of the situation. West Ham United and its new owners will not permit these repeated slurs to go unchallenged.' The dispute will be considered by a three man panel, appointed by the FA, which has the authority to award any penalty, including compensation. Fulham may join the proceedings against West Ham. Peter Coyle, an expert in sports litigation, said that Sheffield United do not have a case: 'I think they are on a hiding to nothing. Sheffield didn't beat Wigan on the last day. That is a bigger reason for their relegation than Tévez and West Ham.' Hopefully some final resolution can be reached soon as this saga is in danger of becoming very boring.
