Leeds United 'consider legal action' against Leicester City after Everton ordered to pay Burnley £35m
Leeds United 'consider legal action' against Leicester City after £35m case
Leeds United are reportedly considering legal action against Leicester City.
During the 2023/24 campaign, the Whites and Foxes were Championship rivals vying for promotion to the Premier League.
The latter clinched the title on 97 points, while the Whites finished third on a tally of 90 and were beaten by Southampton in the play-off final. Ipswich Town took the second automatic promotion slot, joining Leicester in the top flight.
In February this year, Leicester were hit with a six-point deduction in the Championship for profitability and sustainability (PSR) breaches relating to the 2023/24 campaign. They lost their appeal and are now preparing for life in League One after relegation.
Leeds United ‘considering’ legal action
According to The Times, Leeds are considering action following a landmark case involving Burnley and Everton.
The Toffees were recently ordered to pay the Clarets £35m having been found to have breached PSR regulations over a three-year period during the 2021/22 season.
Burnley, who were relegated at the end of that campaign, successfully put forward an argument that the breach had an impact on their chances of Premier League survival. They have been awarded £26m in damages and a further £9m interest, while Everton have appealed.
A spokesperson for the Merseyside club said: "This ruling sets a dangerous and unworkable precedent for English football, given it is constructed on a principle that a club can be in breach of financial rules at any point in a financial year.
“Everton believes the panel's ruling misrepresents the clear evidence presented by its legal representatives and that an appeal will be successful."
Leeds managed to beat the drop that season and reached an out-of-court settlement with Everton regarding the Toffees’ breach, receiving an undisclosed financiual package.
It appears they could now go down the legal route regarding Leicester’s breach, seemingly inspired by the Burnley and Everton case.