Leyton Orient and Tottenham Hotspur have been refused permission by the High Court for a judicial review of the decision to award use of the Olympic Stadium to West Ham after next year’s Olympic Games. The clubs are unhappy about Newham Council’s £40m loan to help finance the move. Needless to say, West Ham are delighted with the court’s decision.
Leyton Orient and Tottenham Hotspur have been refused permission by the High Court for a judicial review of the decision to award use of the Olympic Stadium to West Ham after next year’s Olympic Games. The clubs are unhappy about Newham Council’s £40m loan to help finance the move. Needless to say, West Ham are delighted with the court’s decision.
The clubs are expected to appeal, although it might be that the advice to stop digging when in a hole is applicable. Orient have separate applications against the Government and the Mayor of London, but this decision does not suggest that their prospects are good. Leyton Orient have stated on their website that they are talking to their solicitors about whether to apply for an oral hearing on the decision. Spurs are also consider whether to apply for an oral hearing.
However, the judge in the case has made it clear that he is not impressed by the arguments advanced. He has ordered both clubs to pay the legal costs run up by Newham Council and the Olympic Park Legacy Company which could amount to six figures.
The argument put forward by Spurs that the action by Newham Council exceeded their powers in making the loan was rejected, as was the argument that they discriminated against Spurs by not offering them a loan, not a very strong argument given that they are located in another borough.
The clubs believe that they could dispute the ruling through reference to EU state aid rules, but that is a legal minefield and could ultimately involve the European courts. It is not unusual for local authorities to give state aid to stadium developments in continental Europe so it is difficult at first sight to see what kind of argument could be mounted.
Spurs perhaps need to focus on the re-development of White Hart Lane which would be the preferred option of many of their fans. Orient fans understandably feel aggrieved at having a big rival so near, but it is hard to see what options they have left.