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Everton have been told by Watford to forget about signing winger Richarlison.
The two clubs are at loggerheads, with Watford accusing Everton of an illegal approach for their former boss Marco Silva last October.
The Hornets will not entertain bids under £40 million for the Brazilian and they will not sell to the Toffees at any price.
Richarlison played for America Mineiro and Fluminense in Brazil, before signing for Watford for £11.2 million in 2017.
The 21-year-old enjoyed an impressive first season in England, scoring five goals in 41 appearances in all competitions for Watford.
Sky Sports’ Alan Myers has claimed that the two clubs will try to sort out their differences once again in the next few weeks as the Silva row enters a fifth month.
A second mediation meeting – prompted by the Premier League – is scheduled for later in June.
Watford believe confirmation of Silva as Everton’s manager only strengthens their case, while the Blues are adamant that they followed all rules and regulations and informed them of their desire to talk to Silva.