A Football Association arbitration hearing has ruled in favor of Sheffield United in their claim for compensation from West Ham over the Carlos Tevez affair, the Coca-Cola Championship club have confirmed.
The South Yorkshire club were relegated in a dramatic end to the 2006-07 season, when a Tevez-inspired Hammers beat Manchester United on the final day of the season to clinch top-flight safety at the Blades' expense.
The Premier League fined the Hammers a record £5.5million for fielding Tevez and Javier Mascherano when they were ineligible to play under league rules regarding third-party ownership.
United initially wanted to have their Premier League place reinstated and appealed that the monetary fine was insufficient.
Having failed in that regard they then turned their attentions to achieving a financial settlement.
The club today issued a statement on their official website, www.sufc.co.uk, claiming success in that case, although the exact nature of the compensation is as yet unclear.
Newspaper reports suggest the Blades could be looking for a figure of around £30million, while chairman Kevin McCabe is on record as saying that relegation cost United at least £50million in lost revenues.
McCabe said this morning: "I can confirm that both clubs have been notified of the ruling.
"The arbitration panel has awarded in our favor.
"The matter is still legally in process so I do not wish to comment any further until we have completed that process."
Intriguingly, the club statement also raises the question of a further intervention by the Premier League.
It read: "The Blades began their legal fight for reinstatement some 16 months which also included an arbitration hearing against the Premier League. This award could now pose a question as to what the Premier League will do."
A West Ham spokesperson told BBC Radio 4: "We need to digest the full findings of the arbitration panel and will consult our lawyers on the next steps we might take before making any further comment."
Tevez and Mascherano are both long gone from Upton Park, earning lucrative moves to Manchester United and Liverpool respectively, while Kia Joorabchian, whose MSI company were judged to have partially-owned the Argentinian pair, is now a transfer consultant with the Hammers.
He had originally taken legal action against the east London club, claiming he was owed £7.1million, but the parties agreed an out-of-court settlement earlier this year.
For their part, West Ham are now considering whether or not to appeal against this latest ruling through the Court of Arbitration for Sport, although that decision may hinge on the level of compensation that is fixed when the arbitration panel meets again to determine a figure.
Like Sheffield United, West Ham signaled their intent to withdraw from the debate while they consult legal representatives, adding: "It would be inappropriate to comment further at this stage."
Timeline: Leading up to FA arbitration hearing
August 31, 2006: West Ham pull off a major coup by signing Carlos Tevez and his Argentina team-mate Javier Mascherano, whose contracts were previously held by Kia Joorabchian's MSI company.
January 31, 2007: Mascherano signs for Liverpool.
March 2: West Ham are charged by the Premier League for breaching their rules in relation to the signings of Tevez and Mascherano.
April 4: A three-man panel is appointed by the Premier League to investigate the signings of Tevez and Mascherano.
April 26: A hearing into the transfer of Tevez and Mascherano begins.
April 27: West Ham are fined £5.5million but spared a points deduction after pleading guilty to breaking Premier League rules. The verdict also rules "the registration of Carlos Tevez can be terminated by the FA Premier League" but Tevez is later cleared to play on for the Hammers.
May 4: Charlton, Fulham, Sheffield United and Wigan send a letter to Premier League chief executive Richard Scudamore confirming they are "separately in the process of obtaining legal advice arising out of the terms of the decision".
May 13: Tevez scores the winning goal in 1-0 defeat to Manchester United which ensures West Ham avoid relegation.
May 15: FIFA say they will investigate Premier League ruling.
May 16: Sheffield United file "arbitration proceedings" against the Premier League in a bid to overturn the decision not to deduct points from West Ham. Premier League chairman Sir Dave Richards and chief executive Richard Scudamore send a six-page letter to all 20 club chairmen defending the decision.
May 22: The Premier League agree to set up an arbitration tribunal to rule on Sheffield United's complaints over the affair.
May 25: Brighton write to the FA seeking clarification over the West Ham striker's eligibility to play in their FA Cup third-round clash back in January.
June 2: Premier League chairmen agree a new rule forcing clubs to disclose every document connected to player transfers to improve "clarity".
June 13: Sheffield United plc chairman Kevin McCabe threatens to turn to the European Commission to seek compensation if the independent arbitration panel reject their bid to overturn their relegation.
June 18: At the first day of the hearing Sheffield United call on Liverpool chief executive Rick Parry, as first chief executive of the Premier League, to answer questions about when the rules were first established.
June 19: At the conclusion of the hearing, McCabe reveals a verdict is expected "by the end of the month, maybe sooner".
July 3: Sheffield United lose their legal challenge against the Premier League after an arbitration panel dismiss their claim over the Tevez affair.
July 4: The Blades investigate the possibility of a High Court appeal, on the basis that the arbitration panel made an "error in law" in not referring the Tevez case back to the original independent three-man panel which fined West Ham in May.
July 6: Tevez agrees personal terms with Manchester United. The deal is held up as the Premier League insist proceeds of the deal must go to West Ham and not to Joorabchian or MSI.
July 11: West Ham reject an official request from Tevez to cancel his contract with the club.
July 13: Following a private hearing at the High Court, Sheffield United's attempt to gain leave to appeal the arbitration panel's decision is refused.
July 17: Tevez flies into Manchester airport for a proposed medical but stalemate between the Hammers and the Red Devils casts doubt over the examination.
July 18: Manchester United chief executive David Gill announces the club will ask FIFA to arbitrate on the Carlos Tevez transfer.
July 24: FIFA recommend case to be referred to Court of Arbitration for Sport after deciding not to become involved. However, Joorabchian opts to issue High Court proceedings against West Ham.
August 1: Newspaper reports claim a document was produced in the High Court showing West Ham agreed to Tevez's third-party ownership after the Icelandic takeover, although the club question its authenticity.
August 3: West Ham confirm they have reached a £2million settlement with Carlos Tevez's representatives which will allow the Argentinian to leave the club for United.
August 10: Tevez is confirmed as a United player.
August 16: Sheffield United announce their intention to sue West Ham for cost of relegation from Premier League. West Ham describe the action as "desperate".
September 23, 2008: An independent arbitration hearing rules in favor of Sheffield United in their claim for compensation from West Ham.
