Home Sports Crystal Palace Denied Europa League Entry Over Multi-Club Ownership Rules

Crystal Palace Denied Europa League Entry Over Multi-Club Ownership Rules

Crystal Palace - FA Cup Victory Over Man City

July 11, (THEWILL) — Crystal Palace have been refused entry to the Europa League next season after UEFA found the club breached regulations regarding multi-club ownership. The south London side, who qualified for Europe’s second-tier competition by winning their first major trophy in May’s FA Cup final against Manchester City, will instead compete in the Conference League. Nottingham Forest, who finished seventh in the English Premier League, are expected to take Palace’s Europa League place, though confirmation awaits the outcome of Palace’s planned appeal to the Court of Arbitration for Sport.

UEFA’s Club Financial Control Body ruled that Palace violated Article 5 of the competition regulations due to Eagle Football’s 43 per cent stake in the club. Eagle Football, controlled by American businessman John Textor, also owns a majority share in Lyon, which qualified for the same competition. The governing body requires that no individual or legal entity can have “control or influence” over more than one participating club to maintain tournament integrity. Palace’s ownership group, including chairman Steve Parish, Josh Harris and David Blitzer, presented their case to UEFA on June 3 but were unsuccessful despite Textor’s agreement to sell his stake to New York Jets owner Woody Johnson on June 23.

The timing of the ownership change proved crucial to UEFA’s decision. The sale to Johnson requires EPL ratification through the owners’ and directors’ test, typically taking two months to complete. UEFA assessed the clubs’ ownership structure against the March 1 deadline and concluded that Palace breached the multi-club criteria at that date. Lyon’s successful appeal against relegation to Ligue 2 earlier this month allowed the French club to retain their Europa League place, leaving Palace without a route into the competition.

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Palace’s situation differs markedly from City and Girona, along with Manchester United and Nice, who were cleared to compete in the same tournaments in July 2024. UEFA accepted that “significant changes” by concerned investors meant no one held “control or decisive influence” over both teams in those cases. Palace maintained they operated independently from Lyon, with Parish reportedly reluctant to embrace a multi-club model, but UEFA determined they failed to prove Textor lacked decisive influence over both clubs.

The decision threatens to overshadow Palace’s most successful EPL campaign, which culminated in Eberechi Eze’s winning goal against City in the FA Cup final. The club face a reduced financial windfall from European competition, with the Conference League offering lower prize money and commercial opportunities than the Europa League. Palace’s appeal to CAS represents their final chance to overturn the ruling and claim what they consider their rightful place in European football’s second tier.

Jude Obafemi is a versatile senior Correspondent at THEWILL Newspapers, excelling in sourcing, researching, and delivering sports news stories for both print and digital publications.

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