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TRENDING
May 9, 2024
DAZN Threatens to Sue German Football League over TV Rights
DAZN’s bid for Bundesliga rights has escalated into a high-stakes legal battle, potentially reshaping the landscape of sports media. By: K Dass.
Europe - It appears that DAZN, the
sports media company, is embroiled in a legal battle with the German Football
League (DFL) over Bundesliga broadcast rights.
DAZN submitted a bid of €1.6 billion (approximately
US$1.71 billion) for a rights package that included 196 matches per season.
However, the DFL rejected their offer and allegedly engaged in anticompetitive
behavior during the auction process.
DAZN claims that it was not given sufficient time to
provide a bank guarantee, which the league demanded. The company found it
impossible to arrange such a guarantee within the tight 24-hour window.
In response, DAZN has confirmed that it plans to take
the dispute to court. They assert that the DFL’s allocation of rights package B
was unlawful and are prepared for a potentially lengthy legal process. The
European Court of Justice (ECJ) may even be involved.
The DFL refutes DAZN’s claims and insists that all
bidding parties were aware of the tender’s terms and conditions. They maintain
that they are well-prepared for any arbitration proceedings and expect all
parties to accept an arbitration award as final.
Interestingly, this legal dispute coincides with
reports that DAZN is behind on its rights payments for the Bundesliga’s current
contract. The DFL informed clubs that their media rights income would be
significantly reduced, with payments for June 2024 dropping from €127 million
to €47 million. Additionally, payments totaling €80 million for the current
rights contract were not received on time.
