Rangers are raising a legal counterclaim against Sydney Super Cup organisers who are taking action over the club's withdrawal from the event.

The Ibrox club have cited numerous breaches of contract related to communications for the competition, its marketing and issues over payments. They are also looking to cover the loss of potential earnings that would have been made on the tour.

Sources suggest there's disappointment over lost fees amid what is perceived to be various failures by the organisers. Those close to the Govan side are confident of their position and are not expecting to have associated costs hit the club's balance sheet.

Various reports from Australia cite legal action taken by TEG Live POty Ltd and Left Field Live Pty Ltd in Federal Court last Friday. They claim the friendly matches against Celtic and Western Sydney Wanderers were terminated wrongfully and are seeking £1.6m in compensation.

The tournament was announced unexpectedly early by Celtic on March 1st, catching their rivals off guard. It was immediately controversial with fans of both clubs taking to social media to give their verdicts. Rangers confirmed their involvement a day later.

Quickly, it became clear that Celtic manager Ange Postecoglou's return to his homeland was going to be a significant element of the event's marketing, a strategy that was felt to be at odds with what was positioned prior to the final agreement.

Rangers withdrew less than a month later citing issues with the event's organisers.

A statement read: "Rangers can confirm the club will not be participating in the Sydney Super Cup in November 2022.

"After it became clear the tournament organisers were unwilling to fulfil their commitments to Rangers, we have, with immediate effect, terminated the club's agreement with the organisers."

The event went ahead earlier this month with Everton coming into the four-team competition instead.

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