Disney India (previously Disney Star) is seeking $940 million of damages from Indian media conglomerate Zee Entertainment Enterprises Limited, it was revealed on Wednesday. The claim relates to a cricket rights deal that collapsed in January this year. After Disney won a 2022 bid for TV and digital rights to men’s and women’s cricket events conducted through the International Cricket Council, and spanning the four years 2024-2027, the television broadcast rights to ICC men’s and under-19 tournaments were quickly sub-licensed to ZEEL for a fee of $1.
4 billion . However, since January it has become clear that the deal was not going forward . Reuters reported at the time that ZEEL had missed its first $200 million stage payment and did not have the resources to go ahead.
The companies have since begun arbitration at the London Court of International Arbitration. According to a regulatory filing by ZEEL, Disney has claimed that the agreement has now been validly terminated and that Disney is owed $940 million of damages, plus costs, expenses and interest. ZEEL’s filing responded by saying that it “categorically refutes all claims and assertions made by Star including its claims for damages.
The arbitration is at its initial stage and the LCIA Arbitral Tribunal is yet to determine if the Company is liable in any manner. [ZEEL] will, on merits, strongly contest all unfounded claims by Star and reserves all its rights.” The case follows another corporate battle involving.