Everton will formally appeal the unprecedented 10-pointPremier League deduction handed to them by an independent commission on Friday, December 1.
The sanction, being the biggest in Premier League history, was issued on November 17 after The Toffees were found to have breached financial rules.
Everton had 14 days to appeal and while they admitted the breach, they expressed shock and disappointment at the severity of the punishment.
Meanwhile, the club's case revolves around interest payments on the construction of their new £760m stadium at Bramley Moore Dock, which they argue should have been considered permissible 'add-backs' for profit and sustainability calculations in the 2021-22 financial year.
However, the independent commission rejected the club's argument that mitigating factors such as adhering to the Premier League process over the past two years, the effects of the Russia-Ukraine war leading to the loss of the lucrative USM sponsorship, and the impact of the Covid-19 pandemic on the transfer market should be taken into consideration.
Once the appeal is submitted on Friday, the case will now be reviewed by an independent appeals commission, which is comprised of different individuals from the initial commission panel.
The appeal process is expected to be completed before the conclusion of the current season.
It should be noted that Everton has not been informed of how the independent commission decided to impose a 10-point penalty, and believes that a sporting punishment for a financial violation is unfair.
The case will be brought before a judicial panel that will review the commission's ruling and determine if the penalty was just.
As a result of the points deduction, Everton have dropped to 19th place in the Premier League, putting them in the relegation zone and five points away from safety.
Everton's fans and politicians frown over EPL point deductions
Before Sunday's 3-0 loss to Manchester United, thousands of Everton fans staged protests against the Premier League, expressing their dissatisfaction with the severity of the punishment.
Meanwhile, several local politicians have expressed their worries about Everton losing 10 points.
Andy Burnham, the Mayor of Greater Manchester and a season ticket holder for Everton, has penned a letter to Premier League chair Alison Brittain asking for the penalty to be revoked.
Steve Rotheram, the Mayor of Liverpool, has written to Premier League chief executive Richard Masters stating he fully backs the club's appeal.
Labour MP for West Derby Ian Byrne has put forward an early-day motion (EDM) in the House of Commons condemning Everton's punishment as "extremely unfair".
Everton may face more financial troubles
Everton could be confronted with additional financial challenges as five clubs, including Nottingham Forest, Leicester, and Southampton, may seek compensation.
Burnley and Leeds had previously backed down from legal action in July 2022 but may reconsider following a ruling by David Phillips KC in May, in which he said he was "satisfied that the applicant clubs have potential compensation claims".
The applicant clubs have 28 days from the ruling to decide whether they will pursue a compensation claim.
The sanction, being the biggest in Premier League history, was issued on November 17 after The Toffees were found to have breached financial rules.
Everton had 14 days to appeal and while they admitted the breach, they expressed shock and disappointment at the severity of the punishment.
Meanwhile, the club's case revolves around interest payments on the construction of their new £760m stadium at Bramley Moore Dock, which they argue should have been considered permissible 'add-backs' for profit and sustainability calculations in the 2021-22 financial year.
However, the independent commission rejected the club's argument that mitigating factors such as adhering to the Premier League process over the past two years, the effects of the Russia-Ukraine war leading to the loss of the lucrative USM sponsorship, and the impact of the Covid-19 pandemic on the transfer market should be taken into consideration.
Once the appeal is submitted on Friday, the case will now be reviewed by an independent appeals commission, which is comprised of different individuals from the initial commission panel.
The appeal process is expected to be completed before the conclusion of the current season.
It should be noted that Everton has not been informed of how the independent commission decided to impose a 10-point penalty, and believes that a sporting punishment for a financial violation is unfair.
The case will be brought before a judicial panel that will review the commission's ruling and determine if the penalty was just.
As a result of the points deduction, Everton have dropped to 19th place in the Premier League, putting them in the relegation zone and five points away from safety.
Everton's fans and politicians frown over EPL point deductions
Before Sunday's 3-0 loss to Manchester United, thousands of Everton fans staged protests against the Premier League, expressing their dissatisfaction with the severity of the punishment.
Meanwhile, several local politicians have expressed their worries about Everton losing 10 points.
Andy Burnham, the Mayor of Greater Manchester and a season ticket holder for Everton, has penned a letter to Premier League chair Alison Brittain asking for the penalty to be revoked.
Steve Rotheram, the Mayor of Liverpool, has written to Premier League chief executive Richard Masters stating he fully backs the club's appeal.
Labour MP for West Derby Ian Byrne has put forward an early-day motion (EDM) in the House of Commons condemning Everton's punishment as "extremely unfair".
Everton may face more financial troubles
Everton could be confronted with additional financial challenges as five clubs, including Nottingham Forest, Leicester, and Southampton, may seek compensation.
Burnley and Leeds had previously backed down from legal action in July 2022 but may reconsider following a ruling by David Phillips KC in May, in which he said he was "satisfied that the applicant clubs have potential compensation claims".
The applicant clubs have 28 days from the ruling to decide whether they will pursue a compensation claim.