Rival clubs 'threatening to sue Everton' for £300 million if they avoid relegation

A slew of clubs are reportedly threatening to sue Everton for £300 million in the event they retain their status in the Premier League.

The Toffees, who have never been relegated since the Premier League's inception 1992, are currently 17th in the table and one point clear of Leeds United with two games remaining in the top flight.

Though Southampton were sent down to the Championship last weekend, it's still incredibly tight in terms of the other relegation spots.

But according to the Daily Mail, Everton face a serious legal battle should they avoid relegation to the second tier.

The outlet claims Southampton, Leicester, Leeds, Nottingham Forest and Burnley, winners of the Championship, feel they would be owed compensation if Everton are found guilty of allegedly breaching spending rules.

Both Leeds and Burnley made the threat a year ago after claims Everton breached Profit and Sustainability (P&S) rules but the Premier League said Everton had complied with regulations and pointed to the financial issues which occurred as a result of COVID-19.

However, Everton were charged in March following updated accounts being published and figures showing a £313.5 million loss for the past three years.

Image: Alamy

The rules in place state clubs cannot lose more than £105 million over a three-year period. And though COVID losses are taken into account, and deductions are made from funds put towards women’s football and community projects, Everton's losses are still reportedly well above the threshold.

The five aforementioned clubs are complaining and it will be the two clubs joining Southampton in experiencing relegation who look to take legal action if Everton stay up after an application for the fast-tracking of the hearing was turned down.

Everton are awaiting a tribunal appointed by the Premier League but the case will not be heard before the summer.

Image: Alamy

Although Burnley have bounced back to the Premier League at the first time of asking, they still have a sour taste in the mouth from last season's relegation - specifically the loss of TV revenue and the early-repayment clause in a £65 million clause which was activated.

Everton, who stayed up narrowly last term, are adamant they are guilty of no wrongdoing and intend to defend themselves against the charges brought.

SPORTbible has approached the Premier League for comment.