Crystal Palace have been demoted from the Europa League to the Conference League by UEFA for a breach of multi-club ownership rules, European footballs governing body confirmed on Friday.
US businessman John Textor owns a stake in the Eagles and is the majority owner of French club Lyon, who have also qualified for the Europa League.
Under UEFA multi-club ownership rules, Lyon have been allowed to keep their place in the second-tier competition of European football as they finished higher in Ligue 1 6th than Palace 12th in the Premier League last season.
Palace qualified for European competition for the first time by winning the FA Cup in May - the clubs first ever major trophy.
Textor has since agreed to sell his 43 percent stake in the London club to New York Jets owner Woody Johnson.