EBBW Vale insist the Welsh Rugby Union cannot go ahead with the plan to reduce the number of clubs in the top flight from nine to six until at least 2007.
WRU officials and Premier Rugby Partnership Wales yesterday struck a last-ditch deal after seven hours of talks on Saturday and more on Sunday.
That said, subject to ratifcation by a special meeting of the WRU general committee tonight, the number of clubs will be cut to six the season after next.
The choice of those clubs and the criteria laid down for that selection would be established by May 1.
Because of that the Welsh players have called off their threatened strike, they reported for training today and will be available to play against England at Twickenham on Saturday.
But Ebbw Vale have poured scorn on the plans, and WRU secretary Dennis Gethin admitted today they could go to court.
Vale director of rugby Ray Harris (pictured) said: "The players are playing for their country, the owners are not walking away and they haven't got what they want for next season.
"And they haven't got that because of us. They can't do it because of Ebbw Vale's legal position.
"Ebbw Vale will be in the premier division of the Welsh League until 2007. Out of all the premier clubs we are the most secure.
"There is no certainty, for example, that Bridgend, because of their owners, will be around the year after next. But they are not going to get rid of us.
"If the WRU could have reduced the number of clubs to six next season they would have done it.
"If they breach our loyalty agreement they will suffer the legal consequences."
Gethin admitted today: "Any implementation in the reduction of clubs will be made as soon as is legally practicable."
"There is a loyalty agreement with all the premier clubs, and Ebbw Vale and Llanelli's are different.
"It is open to legal interpretation that there can be a reduction below eight clubs, and it could end up in court.
"What we want is what is best for Welsh rugby, and I hope there won't be litigation."
The agreement which was worked out yesterday enabled Wales caretaker coach Steve Hansen to name his best squad today for the England clash.
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