A MAJOR issue facing both the Nationwide Conference League and the member clubs is the legal fight with Exeter City.

The legal costs to member clubs could reach frightening levels with a five-day High Court case scheduled for the end of March and, perhaps, subsequently an appeal which could cost as much again.

The basis of Exeter's action is threefold. They have entered a CVA, which carries sporting sanctions of a 10-point deduction. The football authorities insist that any club wishing to enter a CVA or go into administration must meet their football financial commitments in full. Finally, there is a dispute over the registration of a player which, again in accordance with Conference rules, carry a hefty points deduction.

Exeter have employed a legal team on a 'no win no fee' basis and are claiming that should they lose the case and costs are awarded against them they could not pay. So, as it stands at present, regardless of the outcome of the case, the Conference clubs are facing substantial costs. If Exeter win the case, costs against Conference clubs could go over £1/2m.

By far the biggest issue is football creditors. The FA insist that any club going into administration or a CVA must honour players contracts in full and pay all debts owed to football, such as transfer fees, loans from the PFA etc. Failure to do so means expulsion for the club. Failure of any particular league to expel the club means that the FA could take sanctions against that league, for example: the clubs being denied entry into the FA Cup. We are therefore obliged to fight the case.

Exeter will undoubtedly go out of business if they lose the case, so the people there are gambling heavily. But should they win it there is a distinct possibility that several Conference clubs could go out of business when faced with the considerable costs.

Exeter have a ground with two sides redeveloped to a very high standard, with those costs lost in a CVA. They have a squad of players, one of whom cost £70,000, again all costs written off. Most of that squad have now been secured on long-term contracts. Without doubt Exeter would be in the strongest possible position in the Conference and very much stronger financially than most lower league clubs.

When I think about how hard everyone at this club has worked to keep it alive and that it could be put in jeopardy by the actions of another club, I have become very bitter towards them.

When it all first came to light several months ago I wrote to Exeter urging them to reconsider their actions, that letter was referred to their legal team. I did say that, should they continue, then my hand would be the first to go up to have them expelled from the Conference. The mood amongst Conference clubs, so I gather, is now the same.

The FA have to step in and help finance the case which has serious implications for all football clubs.

My own view, and it is strictly my own view, is that Exeter City will not be playing Conference football next season. They will be out of business and unless the FA step in to support our case then many Conference clubs will face a tough time because of these legal costs.