Albion are braced to take their cash battle with Chelsea over Isaiah Brown to a tribunal after fresh talks failed to end the impasse between the clubs.
The Baggies have held further discussions with the London club since rejecting their initial bid for the 16-year-old out of hand.
But those negotiations have not yielded any common ground and Albion are now ready for the matter to go to an FA tribunal.
Brown has now signed for the Blues and has already played matches for the London club’s Under-21s team during pre-season.
But, although the Baggies were powerless to prevent the move as Brown could not sign a professional contract until he turned 17, they are still due compensation for the midfielder.
Brown quit The Hawthorns for Stamford Bridge after three years with the Albion academy.
He joined from Histon and became Albion’s youngest first-team player in more than 90 years when he played the final four minutes as a substitute in May’s 3-2 defeat to Wigan.
The schoolboy, whose debut came at 16 years and 117 days old, is the second-youngest player in the history of the Premier League.
Several of Brown’s former academy colleagues joined the Baggies first team on the pre-season trip to Austria last week with boss Steve Clarke believing the tour will help their development.
Donervorn Daniels, Cameron Gayle, Liam O’Neil, Kemar Roofe, Adil Nabi and Saido Berahino all made the trip and Clarke said: “To be on the pitch, to travel with the team, to be working with the first-team day in day out and to be living with the team was great experience for them.”