The RFU had said Welsh were barred from the top flight because they did not reach the minimum standards criteria and, in particular, they would not have primacy of tenure of their new Kassam Stadium home, shared with Oxford United Football Club.
However, a three-man appeal panel announced on Friday that the RFU"s primacy of tenure rule 'gave rise to an unjustified distortion of competition, contrary to EU and UK competition law' and upheld Welsh"s appeal.
Newcastle Falcons, who finished bottom of the Premiership last season and thought they had escaped relegation, now face a new campaign in the second tier.
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