According to UEFA regulations, no two clubs with the same ownership can participate in the same competition. Palace had missed the March deadline to change its ownership structure to comply with these rules, which may result in the club being demoted to the Conference League.

The UEFA regulations state that a club must be able to prove it meets the multi-club ownership criteria by a certain date and continues to comply with the criteria until the end of the competition season. Palace may have to pay a hefty fine and a significant amount of money to participate in the Europa League.

However, if Lyon is unable to pay the required fees, Palace may be allowed to remain in the Europa League. The club is planning to launch a legal challenge against the decision to remove them from the competition.