Everton fail to reach settlement with Carlo Ancelotti as legal chaos ensues – Kieran Maguire
Everton may have failed to reach an agreement with Carlo Ancelotti over contingent payments after he left for Real Madrid, claims Kieran Maguire.
The football finance expert reveals that while compensation was paid by Los Blancos to the Toffees, there was money to be paid to the Italian as well for commercial deals and intellectual property.
While this may not be the reason, Maguire presumes that’s why he’s sued his former club for the money he feels he’s owed. [Times]
Speaking on the Price of Football at 45:15, Maguire said, “Former manager Carlo Ancelotti is issuing proceedings against Everton for commercial contracts. It’s worded very vaguely.
“We don’t hear about former managers going after clubs and the reason for that is there’s a quickly agreed contract signed off by both parties.
“What I suspect is the case is that there will have been correspondence between the two parties, then there’s been some form of radio silence.
“I suspect from the Everton side of things, they do not have a board of directors, and there’s been no progress made.
“When Ancelotti left, Everton would have got some form of compensation from Real Madrid but there would also be what we sometimes refer to as ‘Contingent payments’.
“Ancelotti’s would’ve been linked to league position, commercial deals, intellectual property in terms of being merchandised by Everton and an agreement couldn’t be reached.
“This is very unusual and I think it’s indicative of the chaos that’s enveloping Everton. They’ve got the Premier League charges, they’ve got this, they’ve got the uncertainty with regarding to the funding at MSP Capital. It’s very messy.”
Chaotic
For a manager going after his former employers like that it only exemplifies how shambolic things are behind the scenes at Everton.
There appears to be nobody sensible taking the decisions and this issue should have been resolved behind closed doors.
It’s now gone to court and a public mockery of the Toffees is set to follow suit.
It now remains to be seen how far along this can drag on and the fact that they could not reach an agreement shows that coffers at Goodison Park are pretty dry.
Cash flow has been an issue for the past few years and Ancelotti was the last Toffees manager who actually could spend lavishly.
There’s a good chance that this decision goes in Ancelotti’s favour as his legal team would’ve considered all of the scenarios before making this move.