Southampton, Leicester City, Nottingham Forest, Leeds United, and Burnley are all pondering the possibility of seeking compensation from Everton after the team received a ten-point deduction for violating the Premier League’s financial regulations.
The punishment is the harshest ever issued to a Premier League team, with an independent commission finding that Everton’s transfer dealings exceeded the permissible losses over a three-year period by £19.5 million.
The commission, comprised of David Phillips KC, His Honour Alan Greenwood, and Nick Igoe, determined that this penalty exceeds the nine-point deduction handed to Portsmouth in 2010 when the club entered administration.
Everton intends to appeal the decision, which has resulted in their descent into the relegation zone. Now, with the same number of points as Burnley at the bottom of the table, Southampton, Leicester City, Leeds United, and Nottingham Forest are contemplating the pursuit of compensation from Everton.
A decision by David Phillips KC in May enabled these clubs, with the exception of Nottingham Forest, which has not faced relegation, to apply for compensation if Everton was found in violation of financial rules.
The clubs have 28 days to submit their claims, which will be evaluated by the Premier League commission. The potential compensation, as outlined in the Premier League handbook, is limitless, and there is an opportunity to appeal a rejected bid, though if that fails, no further claims can be brought against Everton.
