Zee Entertainment Enterprises Limited (ZEEL) has filed a counterclaim of $8.06 million against Star India in an ongoing arbitration concerning the International Cricket Council (ICC) broadcasting rights.
This legal dispute, currently under arbitration at the London Court of International Arbitration (LCIA), stems from an Alliance Agreement signed on August 26, 2022, under which Star India agreed to sub-license television broadcasting rights for ICC men’s cricket events from 2024 to 2027 to ZEEL.
In March 2024, Star India initiated arbitration proceedings, alleging that ZEEL had breached the terms of the Alliance Agreement by failing to pay the initial $203.56 million (approximately ₹1,693 crore) and incurring additional obligations, including ₹17 crore in bank guarantee commissions and deposit interest. Consequently, Star India terminated the agreement on June 20, 2024, and sought damages amounting to $940 million.
In response, ZEEL submitted its statement of defense on December 23, 2024, refuting all claims made by Star India. The company maintains that it is not in default of the Alliance Agreement and considers Star India’s claims to be unfounded and legally untenable. ZEEL has also filed a counterclaim of $8.06 million, plus applicable interest, asserting that the agreement was void due to Star India’s non-fulfillment of obligations.
The arbitration process is in its early stages, with a three-member arbitral tribunal appointed by the LCIA to oversee the dispute. The tribunal is yet to determine ZEEL’s alleged liability for breaches of the Alliance Agreement with Star India. Both parties are actively presenting their claims and counterclaims, with proceedings expected to intensify as they seek to resolve this high-stakes dispute.
This dispute highlights the complexities and financial stakes involved in media rights agreements, particularly concerning high-profile sports events like ICC tournaments. The outcome of this arbitration could set significant precedents for future media rights negotiations and contractual obligations within the entertainment industry.
Key Highlights:
- ZEEL has filed a counterclaim of $8.06 million against Star India in an arbitration over ICC broadcasting rights.
- The dispute arises from an Alliance Agreement signed on August 26, 2022, for sub-licensing ICC men’s cricket event broadcasting rights from 2024 to 2027.
- Star India alleges ZEEL breached the agreement by failing to pay the initial $203.56 million and incurring additional obligations.
- ZEEL refutes these claims, asserting the agreement was void due to Star India’s non-fulfillment of obligations.