Legal action complicates F1 row solution – Mosley

(GMM) Ferrari's escalation of the budget cap row will complicate negotiations for a resolution, Max Mosley said on Friday.

The FIA president was speaking following a meeting in London, whereafter Bernie Ecclestone indicated that major progress had been made to placate furious formula one teams.

"I think the most important thing that upset everybody is the two-tier technical system, and I think it's been agreed that we shouldn't have that, we should just have one set of regulations," the F1 chief executive said.

"I think everybody is more or less happy with the budget cap, it's just a case of how much," Ecclestone added.

Mosley, however, said that while the talks had been amicable, "no compromise" was reached, and that in fact Ferrari had applied to the French courts for an injunction against the 2010 rules.

The Briton said he would be "very surprised" if the Italian team follows through its threat to quit the sport, although "when people start bringing proceedings it becomes very difficult to negotiate with them".

Mosley also told reporters that the May 29 deadline for 2010 team entries still stands.

It is understood that, following the F1 teams' subsequent meeting at the Heathrow airport hotel, a statement on behalf of FOTA will be issued.