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City and Uefa far apart

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It was expected that an agreement between Uefa and Manchester City FC on the sanctions to be applied for breaches of financial fair play rules would be announced last Friday, but negotiations are continuing with the two sides far apart.

Uefa has proposed that City, along with Paris Saint-Germain and a handful of other clubs, agree to a heavy fine and a reduction in the number of players they can register for next season's Champions League.

Questions have been asked about Manchester City's ten year £350m contract with Etihad.  However, City's view is that the deal, which includes sponsorship of the stadium and the training ground as well as the team's kit represents 'fair value'.  This is particularly the case when it is compared with PSG's deals with the Qatar Tourist Authority.

Jean-Louis Dupont, the Belgian lawyer involved in the Bosman case, has argued that the financial fair play system is illegal under European law, a view that we have long argued.   It affects the right of free movement of capital, workers and providing services.