Season › 2024-25 › News Everton's PSR nightmare casts a long shadow Michael Kenrick 14/11/2024 50comments | Jump to last The hope was that Everton's unprecedented points deductions last season for PSR breaches were the end of the matter but there are two issues that continue to linger in the background. It seems that in addition to the as-yet unresolved argument over interest paid on loans for which Everton claim exemption because they were stadium-related, the question of compensation for other clubs suffering as a result of the supposed "sporting advantage" the Blues gained from their over-spending still hasn't gone away, with the case that Burnley brought last year still unresolved. The Times report: Burnley are still involved in a compensation claim against Everton relating to the Merseyside club’s six-point deduction for breaking Profitability and Sustainability Rules (PSR) in the 2021-22 season. The first judgment in the Everton case was in November 2023 and sources with knowledge of the process said it could be another full year before there is an outcome. Article continues below video content In the Everton PSR case, five clubs initially applied for potential compensation — Burnley, Leeds United, Leicester City, Nottingham Forest and Southampton. When Everton’s points deduction was reduced from 10 to 6 after an appeal, it meant that only Burnley would have avoided relegation had the sanction been applied in the 2021-22 season — when the transgression took place — so the other clubs withdrew their applications. However, the same commission that imposed a ten-point deduction on Everton is also deciding on the compensation for financial damages connected to the case, with its chairman, David Phillips KC, saying [in the commission findings]: “I am satisfied that the applicant clubs have potential claims for compensation.” Everton initially challenged that position given that their 10-point sanction was reduced by a different commission, and there are still many legal arguments in the case, including over the sum Burnley would be entitled to in damages. Meanwhile, the Times restate that the commission examining Everton's second PSR breach asserted that the issue of stadium interest payments was too complicated for them to resolve and they suspended judgement until some unspecified time. That judgement had been expected some time before the end of this year but there is no indication of when the matter will be adjudicated. Reader Comments (50) Note: the following content is not moderated or vetted by the site owners at the time of submission. Comments are the responsibility of the poster. Disclaimer () Brian Williams 1 Posted 14/11/2024 at 22:04:42 I thought clubs weren't allowed to sue each other for compensation and could only claim compensation from the league itself? Liam Mogan 2 Posted 14/11/2024 at 22:05:37 Surely Burnley owe us compensation for allowing Sean Dyche to gain a reputation as a manager of football clubs! Danny Baily 3 Posted 14/11/2024 at 22:07:15 Nothing to see here. Last year's shambolic handling of points deductions was a one off. John Raftery 4 Posted 14/11/2024 at 22:22:43 I doubt this will be concluded while the City 115 case is ongoing. Derek Thomas 5 Posted 14/11/2024 at 22:38:47 Matthew 7:3-5"And why beholdest thou the mote that is in thy brother's eye, but considerest not the beam that is in thine own eye?""Or how wilt thou say to thy brother, Let me pull out the mote out of thine eye; and, behold, a beam is in thine own eye?""Thou hypocrite, first cast out the (city & chelsea shaped) beam out of thine own eye; and then shalt thou see clearly to cast out the mote out of thy brother's eye. Michael Kenrick 6 Posted 14/11/2024 at 22:51:34 Brian @1, You might (not!) want to have a gander at Premier League Rule W.51.5, which reads: ‘The Commission may order the Respondent to pay compensation unlimited in amount to any Person or to any Club.' Colin Glassar 7 Posted 14/11/2024 at 23:12:37 I read last week, somewhere, that we could face a one (1) point deduction this season. Do you think they would accept Dyche and a bag of crisps instead? Eric Myles 8 Posted 15/11/2024 at 01:59:39 Surely it was a failure by the Premier League to review Everton's case and impose a penalty in the year in question?So why are we penalised for their failure? Larry O'Hara 9 Posted 15/11/2024 at 02:15:09 This is despicable.We all know nothing will happen to Man City – and Chelsea have already got away with it. Bob Parrington 10 Posted 15/11/2024 at 03:07:23 We must be in an International Break for this to be brought up again! Jay Harris 11 Posted 15/11/2024 at 04:27:58 The greed that the Premier League has created knows no bounds and is fast becoming dog-eat-dog with 4 clubs lining up lawsuits against Man City too.Whatever happened to sportmanship and fair play?We have cheats on the pitch, cheats running clubs, cheats coaching clubs and cheats officiating the games.Who knows where it will all end??? Paul Hewitt 12 Posted 15/11/2024 at 05:11:21 I predicted years ago that football would eat itself. Looks like I was right. Gonzalo Franco 13 Posted 15/11/2024 at 05:32:00 This will become the best soap opera of all time... Mike Gaynes 14 Posted 15/11/2024 at 06:10:29 Let's see how fast the 354th-richest man in the world (Friedkin's net worth today, per Forbes: $8.1 billion) makes this crap go away. Paul Hewitt 15 Posted 15/11/2024 at 06:39:43 Mike, he might think "Is it worth the hassle?" Christy Ring 16 Posted 15/11/2024 at 07:42:22 Would the Premier League not be responsible for compensation, considering it was them who made the rules? Jerome Shields 17 Posted 15/11/2024 at 07:48:35 It is interesting that so many initially sought compensation. Now down to one. I suppose the Premier League want Everton to resolve their takeover issue, hence the delay.Looks like the P&S Rules process is going to continue. The 2023-24 season was not that hot for Everton either.Hope The Friedkin Group have insisted on an indemnity from Moshiri to cover the financial fallout of the P&S Rule compensation. They will probably have to take a points deduction on the chin.Regarding stadium interest payments, Everton withdrew their appeal on the last decision. Does that not mean that they have accepted the previous decisions and their outcome?I can"t see Everton's legal advisors allowing such a grievance to carry over.Count us lucky that The Friedkin Group turned up. I have a hunch that the Premier League are happy as well. So hopefully The Friedkin Group will be looked favourably upon, like the new owners of Chelsea.I would like to see the takeover in the bag. Eric Myles 18 Posted 15/11/2024 at 07:57:44 Jerome #17, Ddn't the Club only withdraw its appeal on the second points deduction, the interest payments being a hangover from the first case we answered but taken out of consideration as it would have delayed any sentencing? Christine Foster 19 Posted 15/11/2024 at 09:10:03 I really hope Friedkin comes in and tells them where to go. I am sick to death of the Premier League, Masters and all. A plague on all their houses. Corrupt as fuck. Fight them all for every penny, threaten them, do a Man City and take the Premier League to court.Enough of this... I hope the TFG get the biggest, nastiest, threatening lawyers the US have. Brent Stephens 20 Posted 15/11/2024 at 09:14:38 No surprise that the alleged second PSR breach regarding the issue of stadium interest payments is back — didn't we agree that this should be delayed until this season? To our advantage? Paul Hewitt 21 Posted 15/11/2024 at 09:50:38 Christine @19. I hope the Sly Six get there Super League, the Premier League then goes bust. And the remaining teams form their own league, and we can just concentrate on football. Barry Williams 22 Posted 15/11/2024 at 09:52:36 You'd think they'd get help and support from the Premier League in helping to not only promote their brand with a state-of-the-art shiny new stadium on an iconic waterfront for a club that was not only a founding member of the Premier League (a lesser league with less teams in it than the one it replaced, in my opinion) but also a founder member of the original Football League. A team that sells out its ticket allocations both at home and away, week-in & week-out – but no! Not to mention massively regenerating an area that has needed a cash injection for several decades now!Yes, I know how ludicrous that is in reality!Jay Harris - 11 - Agree 100% mate, the cheating, favouritism and the way footballers behave trying to get a fellow professional sent off is absolutely lamentable and has made me turn off the game almost completely, only ever watching Everton unless I have a friend around who wants to put another match on. The commentators hardly ever question it (unless they have a bias against a player), in fact, they seem to endorse it!I get angry at Everton players cheating and it embarrasses me, to be honest, and we have had a few of them in recent times.The acting and cheating – it riles me a lot and it is completely against the ethos of the game in my opinion; a game that has turned into some Monty Pythonesque parody of itself! Kids now think it is okay to cheat and act like brats because that is what their oh-so-lauded idols do! That does spill into every day life. Arrggghhhh — that feels better! Stu Darlington 23 Posted 15/11/2024 at 10:04:17 Some great rants on this thread today.Evertonians are nothing if not passionate. Power to the people! Brian Wilkinson 24 Posted 15/11/2024 at 10:12:15 Do what Jim Ratcliffe did: Put it down to money owed by the previous owners and see if they let it slide, like they did for Man Utd. Danny O'Neill 25 Posted 15/11/2024 at 10:31:46 I'm unsure whether we can be punished twice.And surely these clubs would have to put a case together and follow it through in a court of law? Not that I'm a legal expert. What are they claiming and what is the charge?They didn't win enough games and earn enough points.With the Government's regulatory organisation, surely they would monitor and decide, rather that leave it to the fat cats at Paddington, slapping themselves on the back and making it up as they go along.A fine maybe, but I doubt we'll be docked more points. Regardless of this circus, I just want 6 points from the next two games and Friedkin to get his takeover done and dusted before Christmas. Then we can look forwards, not backwards. John Chambers 26 Posted 15/11/2024 at 10:51:26 If it is taking so many months for the commission to decide if we have properly accounted for the stadium interest payment, I struggle to see how we can be penalised. The accounts for 22-23 had to be submitted by last December so, if after 10 months to review, to put it into VAR speak, we can not have committed a “Clear and Obvious” breach, so should not be penalised. Paul Hewitt 27 Posted 15/11/2024 at 10:54:55 I don't think I've ever seen any other organisation try to destroy itself like the Premier League are doing. I really don't understand what they're trying to achieve. Kevin Molloy 28 Posted 15/11/2024 at 12:33:03 As others note, this is no longer a big concern. Uncle Friedkin will sort it. Kevin Edward 29 Posted 15/11/2024 at 12:45:14 Problem here is that the ‘made up' rules and punishments probably don't stand up in a real court (kangaroo only). So seeking compensation based on something ‘made up' by a bunch of loons shouldn't have any legs.I'd strongly rebuff any such claims based on the Man City precedent of ‘Get stuffed and do one'. In the meantime, we are doing a pretty good job of making Burnley's dreams come true, and that's the current danger. Dave Roberts 30 Posted 15/11/2024 at 14:15:20 I remember at the time Leicester saying they were going to sue us too. Then look what happened. I know they got off on a technicality but all the same they appear to have shut up too. Craig Harrison 31 Posted 15/11/2024 at 14:43:56 It's a flawed argument to say compensation is owed based on the points we obtained. If it was known at the time to the club and players that we had an x-point deduction, then we would have entered games playing for different results. It likely would have spurred the team on to get better results (we can point directly to what happened to results after the first deduction). John Keating 32 Posted 15/11/2024 at 14:45:42 For an organisation that is continuing to promote and increase it's stature and income worldwide, it looks to me as if there is a “Cambridge” spy on its board.There appears a 2 tier league within the league they supposedly represent. The sooner the TFG take us over and sort these dickheads out, the better.We've been “Mr Nice Guy” under The World's Greatest Evertonian for far too long... Now it's time to do a Man City. Jim Wilson 33 Posted 15/11/2024 at 14:51:45 Ludicrous.We have been battered with sporting disadvantage for 3 years. Iain Johnston 35 Posted 15/11/2024 at 15:29:25 Anyone else think this may all be political due to Moshiri's link to Osmanov? Chelsea severed all ties with Abramovich; until we see the back of Moshiri, there is still a lingering smell. Steve Dowdeswell 36 Posted 15/11/2024 at 16:06:28 Just drags on and on.It's getting ridiculous now – we are even embroiled in the David Coote case now according to Paddy PowerLink Brian Williams 37 Posted 15/11/2024 at 16:55:54 🤣🤣🤣🤣 Fred Quick 38 Posted 15/11/2024 at 17:09:33 I honestly thought there wouldn't be much substance in the reports, however, David Powell in the Liverpool Echo says: A compensation case brought by a former Premier League club against Everton remains live. However, it could take a year to reach a conclusion.The report (Times) also states that the same commission that imposed a 10-point deduction on Everton initially is also deciding on the compensation for any claims for financial damages associated with it by aggrieved clubs. The commission's chairman, David Phillips KC, had previously stated: “I am satisfied that the applicant clubs have potential claims for compensation.”Everton challenged that position at the time by stating that their appeal, and subsequent reduction in the points deduction, was handled by a different commission.Quite how much, if any, compensation Burnley would be entitled to remains rooted in legal arguments between the two clubs and could take some time to fathom out given that there has been no precedent in the Premier League.Everton compensation case could take a year to reach outcome John Pickles 39 Posted 15/11/2024 at 20:23:44 They can take it out of the money Liverpool owe us for Heysel. Paul Birmingham 40 Posted 15/11/2024 at 20:41:39 Good call, John. A dark phase of English football history, almost erased.The governance so-called of the Premier League is the sewage pipe overflow. Stinks the Premier League to a lingering death. Danny O'Neill 41 Posted 15/11/2024 at 21:34:05 John, Paul, I'll never forgive them.Others were punished and I'm not making excuses for how the club has been run since, but we suffered more in terms of a lost opportunity for something we didn't do, when we were on the brink of something special. It's no light-hearted matter: 39 people lost their lives.We've had to put up with the 'bitter blues' for decades. Well, with the new stadium and The Friedkin Group on the horizon, I'm seeing jealousy. Bitter Reds??!! Our day is coming. Paul Birmingham 42 Posted 15/11/2024 at 21:41:48 Danny, agreed.Days of destiny... Hopefully Everton's new era kicks in this side of Christmas and provides a welcome tonic for all Evertonians!Santo Domingo! Viva Everton! UTFTs! Liam Mogan 43 Posted 15/11/2024 at 21:56:24 Danny, I agree with never forgiving. I often wonder if this club is cursed. We win the league in both seasons as World Wars start. We win the league and one of the best players is banned for life for alleged betting offences. We win the league and are banned from Europe for no fault of our own. All of these things (and the follow on effects) had a massive impact on us building real dynasties.As much as I love Goodison, and will be heartbroken to leave, I'm praying our luck changes at BMD and we can catch a break or two. Danny O'Neill 44 Posted 15/11/2024 at 21:57:16 Funny you mention that, Paul. I'm wearing my Sons of St Domingo 1878 top tonight!!! Danny O'Neill 45 Posted 15/11/2024 at 22:25:49 Totally, Liam. Sean Kearns 46 Posted 15/11/2024 at 23:08:36 Someone recently mentioned to me that music from the 1980s was as old in the 2000s, as music from the 2000s is today! And that made me think that our trophies from the 1980s were as old in the 2000s as our trophies from the 2000s are today… Oh wait!….. David fucken Moyes was the best times of my Everton life. Granted Martinez's first season was the best football I've ever seen us play. This is wank. Bring me Jose. Jerome Shields 47 Posted 15/11/2024 at 23:30:07 Eric #18,Yes, the withdrawal was on the second decision. But I thought with a high-powered legal team involved, a line would be drawn on all issues. I was not aware that the issue regarding stadium interest was allowed to hangover still. It seems incredibly messy. I am surprised (though I knew it was possible under the rules) that compensation is still on the agenda – though only for one club.To have a high-powered legal team involved and have loose ends ongoing seems incredibly slack.So does that mean that previous decisions could be revisited? Do the points that have been deducted not reflect the Premier League's stance on stadium interest payments?Messy. Jerome Shields 48 Posted 15/11/2024 at 23:50:18 Eric #18,Just read that a commission is to be held before the end of the year is to investigate stadium interest payments. Also compensation as a result of the first commission is still to be decided on. I missed this in my first reading of the article.Then there is a possibility of another independent commission regarding the Financial Year 2023-24.Compensation regarding the second commission decision is also a possibility. Michael Kenrick 49 Posted 20/11/2024 at 11:24:17 That's strangely not mentioned by our beloved Echo this morning, Jerome, who jumped all over this in their own inimitable journalistic fashion, proclaiming that they "understand the matter is yet to be resolved" … which is kinda what we knew already:Everton face anxious wait over unresolved PSR charge as points deduction fear persistsThe independent commission postponed an argument over the capitalisation of stadium interest by the club after ruling it was too complex to be heard at the time. But perhaps the key sentence in the whole piece is the last one:The Premier League and Everton declined to comment. Jim Wilson 50 Posted 20/11/2024 at 16:05:32 And of course the Premier League want Everton to vote with them next week.Nothing like having something hanging over someone.The whole thing stinks. Steve Brown 51 Posted 20/11/2024 at 16:08:13 If we are charged again or ordered to pay compensation, take it to court. By that time, the legislation for the football regulator will have passed through parliament and we will likely have an independent appeal process separate from the PL.Man City have stalled their process for years in the expectation of doing the same. Add Your Comments In order to post a comment, you need to be logged in as a registered user of the site. » Log in now Or Sign up as a ToffeeWeb Member — it's free, takes just a few minutes and will allow you to post your comments on articles and Talking Points submissions across the site. How to get rid of these ads and support TW © ToffeeWeb