Wasps are willing to meet Cardiff Blues in court after refusing to pay compensation for the recruitment of Dai Young.
Young was unveiled as Wasps' new director of rugby on a four-year contract, declaring that he had joined "a better team and a better club".
Storm clouds are gathering on the horizon, however, as Young's appointment has placed Wasps on a collision course with the Blues that could end up in the law courts. The 43-year-old, who resigned from the Blues on Thursday morning, had a year remaining on his contract and the Welsh region are demanding compensation believed to be in the region of £100,000.
Blues chairman Peter Thomas has threatened legal action against Wasps and Young if no payment is forthcoming. Discussions are ongoing but Wasps have yet to offer any compensation - and chief executive Chris Thomas insists employment law indicates they are not obliged to do so.
"Our position is that we haven't done anything improper to entice Dai away from Cardiff," Thomas said.
"It was his decision to resign and accept a position here. He wanted to come. We'll continue to talk to Cardiff but at the moment we're happy with our position.
"It's a difficult situation. It's different to when you have a player's registration. With a coach you're in the same type of employment contract to anyone else.
"To pay compensation in this situation...there's no precedent in employment law to say we have to do that. It's no different to anyone moving between different companies. It's difficult to say where Cardiff have got this figure (£100,000) from. We don't believe there's any compensation payable in this situation."
Thomas revealed that Wasps will fight their case in court if the Blues choose to go down that route.
"We don't believe we've done anything improper and it's their decision if they want to pursue that course of action," he said.