Manchester City has released a statement confirming a settlement with Premier League in regards to the Associated Party Transaction (APT) Rules. Those are the rules that limited the legality for football clubs to sign sponsorship deals with companies related to their ownerships. In this case, Etihad Airways: the football club signed an sponsorship deal with Etihad Airways but Premier League blocked it, because they said that the deal was above the "fair" market value of such an agreement.
In other words, the Premier League tried to block the deal between Manchester City and Premier League suspecting it was "inflated", to ensure fair market competition between all clubs. They followed rules first set in December 2021, when the Saudi Public Investment Fund (PIF) took over Newcastle United.
Last October, an independent court sided with Manchester City, saying that "some parts" of the rules were discriminatory. Premier League changed the rules and Manchester City took once again legal action, but now both parties have agreed to terminate the proceedings and reach a settlement which Manchester City "accepts that the current APT Rules are valid and binding."
Now, Manchester City will re-submit a proposed new sponsorship deal with Etihad Airways, complying to Premier League rules, say BBC.
This has nothing to do with the "lawsuit of the century" against Manchester City, for over 100 alleged breaches of financial rules, that is still awaiting resolution.