Delhi High Court grants JioStar interim relief in dispute over broadcast of Legends League Cricket

The Delhi High Court has restrained the transfer of broadcast rights in the Legends League Cricket Master T20 tournament to any third party, in an ongoing dispute between JioStar India and Absolute Legends Sports, which runs the cricket tournament [Jiostar India Pvt. Ltd. Vs Ms Absolute Legends Sports Private Limited & Anr.].

JioStar and Absolute Legends had earlier entered into an agreement for broadcast and commercial exploitation of the Legends League Cricket Master T20 tournament. The cricket league features matches with legendary and retired cricket players from around the world.

After disputes emerged over the media and commercial rights over the said tournament and the payment of certain dues, JioStar approached the Court with a petition under the Arbitration and Conciliation Act, 1996.

As interim relief, JioStar also urged the Court to restrain Absolute Legends from creating any third-party rights concerning the broadcast of the cricket tournament.

On March 18, Justice Harish Vaidyanathan Shankar opined that it was imperative to restrain Absolute Legends from creating any third-party rights, to ensure that JioStar's claims are not defeated before the dispute is settled.

Therefore, the Court passed an order restraining Absolute Legends from transferring any rights to a company named Bluegod Entertainment Limited.

“In view of the fact that the transfer of the rights as set out in prayer clause (c) would effectively result in a complete erosion of the subject matter of the dispute, this Court is of the prima facie view that it is necessary that the proposed transfer of the same by Respondent No. 1 [Absolute Legends] to Respondent No. 2 [Bluegod] be interdicted. The Respondent No. 1 [Absolute Legends] is therefore interdicted from, in any manner, creating any third-party rights, or transferring, assigning, or otherwise dealing with the media and commercial rights relating to the Legends League Cricket Master T20 tournament,” the Court directed. 

In its petition, JioStar has sought directions to restrain Absolute Legends from broadcasting or streaming the cricket tournament through television or digital platforms such as Netflix, Amazon Prime, etc.

Further, JioStar also urged the Court to direct Absolute Legends to deposit a sum of over ₹3 crore while the dispute remains pending.

It further called for the creation of an escrow account under the supervision of the High Court, so that earnings collected by Absolute Legends through the commercial exploitation of the cricket league's broadcast could be deposited there until the dispute with JioStar is decided.

The Court had earlier referred the case to mediation at the Delhi High Court Mediation and Conciliation Centre. However, it noted that no progress has been made towards the settlement of the dispute.

When the case was taken up on March 18, counsel representing Absolute Legends sought more time to place a better offer. The Court, in turn, observed,

“Irrespective of any offer that may be made, there is an urgent need to ensure that the assets of the Respondent No. 1 [Absolute Legends] are not transferred, such that third party rights are created thereon. This would necessarily include the intellectual property rights which are proposed to be assigned to Respondent No. 2 [Bluegod Entertainment]."

Accordingly, it restrained the creation of any third-party rights with respect to the broadcast of the cricket tournament for now.

The next date of hearing is April 22.

Senior Advocate Kunal Tandon along with advocates Aanchal Tandon, Niti Jain, Ronnie S Brara, Niharika Sharma, Nitai Agarwal and Natasa appeared for JioStar India.

Advocates Arjun Syal, Shreyan Das and Vidisha Kumar appeared for Absolute Legends Sports.

[Read order]