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The New Saints FC Ltd v The Football Association of Wales Ltd & Anor

[2020] EWHC 1838 (Ch)

Case details

Neutral citation
[2020] EWHC 1838 (Ch)
Court
High Court
Judgment date
13 July 2020
Subjects
Sports governanceAdministrative lawContractCompany law
Keywords
points per gameCymru Premier Leagueprocedural fairnessultra viresUEFA COVID Guidelinessporting meritRule 17.9rubber stampingarbitration
Outcome
other

Case summary

The Claimant challenged FA Wales' decisions to (i) decline to restart the curtailed 2019/2020 Cymru Premier League season in an alternative sporting format (Decision 2) and (ii) to adopt an unweighted points-per-game (PPG) method to determine final rankings (Decision 3), together with a related failure to revisit those decisions (Decision 2A). The court treated the dispute through the lens of the contractual framework governing FA Wales and the clubs, read together with public-law-like supervisory principles (procedural fairness, irrationality and vires). The court held that Rule 17.9 of the Cymru Premier League Rules (dealing with a club that "ceases to operate") did not apply to the COVID-19 suspension, that FA Wales had the power to make the contested decisions, and that the UEFA "Guidelines on eligibility principles" were guidance rather than hard limits on FA Wales' vires. The court found no unlawful "rubber-stamping", found the consultation and decision process to be procedurally fair, and concluded the choices adopted (terminating the season and using an unweighted PPG) fell within the range of reasonable options. The claim was dismissed.

Case abstract

This was an urgent first-instance proceeding and ad hoc arbitration in which The New Saints FC challenged FA Wales' determination of the 2019/2020 Cymru Premier League standings after COVID-19 suspension of matches. The Claimant sought to impugn Decision 2 (refusal to re-start the season in an alternative sporting format), Decision 3 (use of an unweighted PPG system to determine final standings and UEFA nominations) and Decision 2A (failure to revisit earlier decisions).

The court set out the governing legal and organisational framework: the FA Wales Articles of Association, FA Wales Rules, the National League Board standing orders and the Cymru Premier League Rules (including Rule 17.9). UEFA guidance on COVID-19 (the UEFA COVID Guidelines) and relevant public-health Regulations were part of the factual and legal backdrop.

The issues framed by the court included:

  • construction of Rule 17.9 and whether it required expunging Phase 2 results so as to make the Claimant champion;
  • whether FA Wales acted ultra vires by failing to comply with UEFA rules or by exceeding delegated powers;
  • whether the Board of Directors unlawfully rubber-stamped the National League Board's decisions;
  • whether the decision-making process breached principles of procedural fairness or natural justice;
  • whether Decisions 2 and 3 were irrational, unreasonable or non-transparent; and
  • whether there was any legitimate expectation or duty to revisit the decisions (Decision 2A).

On reasoning the court held: Rule 17.9 applies to clubs that "cease to operate" (e.g. liquidation) and does not apply to an across-the-board public-health suspension; FA Wales' power to make the decisions derived from the Articles and delegated authority to the National League Board and Board of Directors; the UEFA COVID Guidelines were guidance encouraging sporting merit but did not curtail FA Wales' vires; the National League Board had delegated competence and the Board of Directors properly considered and ratified the decisions, so there was no unlawful rubber-stamping; consultation and the decision-making process were procedurally fair in context; and the election of an unweighted PPG system was within the range of reasonable decisions (other reasonable options existed but did not render FA Wales' choice irrational). The court therefore dismissed the Claimant's challenges.

Held

The claim is dismissed. The court held that (i) Rule 17.9 of the Cymru Premier League Rules did not apply to the suspension caused by COVID-19, (ii) FA Wales had the vires to adopt the decisions it reached (the UEFA COVID Guidelines were guidance and not a constraint on FA Wales' powers), (iii) there was no unlawful rubber-stamping by the Board of Directors, (iv) the consultation and decision-making process met standards of procedural fairness and transparency in the circumstances, and (v) the choice to terminate the season without a sporting restart and to adopt an unweighted PPG ranking fell within the range of reasonable decisions.

Cited cases

Legislation cited

  • Arbitration Act 1996: Section 93
  • Companies Act 2006: Section 33
  • Health Protection (Coronavirus Restrictions)(Wales) Regulations 2020: Regulation 8(1)
  • Health Protection (Coronavirus Restrictions)(Wales) Regulations 2020: Regulation 8A