In the case of my suggestion they would get points deducted in the Premier League. Optimal? No, and the current system with point deduction was introduced because Leicester "abused" going into administration back in 2004.
The idea was that introducing a point deduction system would encourage...
I think there is a substantial difference between falling behind due to bureaucratic decisions and performances on the pitch. Point deductions should happen at the beginning of a season, not in the middle of it.
Not really a fan of deciding league tables off the pitch but I realise that there's not a lot of other solutions.
It does damage the integrity of the competition however, with some teams playing a demotivated Derby twice while others had to face them when they had reasons to fight.