Also a result of the dispute with DAZN
DFL only transfers 47 instead of 127 million euros to Bundesliga clubs
April 26, 2024, 10:17 p.m
DAZN is paying the DFL late, but with interest – but the umbrella organization of the Bundesliga is still missing money. The 36 clubs in the 1st and 2nd leagues will therefore receive significantly less in June than originally planned.
The German Football League (DFL) will pay out less money to the 36 professional clubs in two months than planned. “The distribution rate for June 2024 will be reduced from the original 127 million euros to 47 million euros,” says a DFL letter to the 36 clubs.
The letter continues: “The reason for this is that proceeds of EUR 80 million can only be collected at a later date this year, as payments from partners could not be made on the contractual due dates. At the instigation of those concerned In this respect, partners had to make agreements about later payments.” It is currently not known which company it is about besides DAZN.
“The DFL already agreed a new payment plan with DAZN in February for the installments in March and April,” said a spokesman for the media company: “This is a normal process in working capital management between business partners.” The missing money will reportedly be paid with interest at a later date.
With the late payments and the letter, the DFL’s dispute with the media company DAZN continues. The global media company announced on Friday afternoon that it would take the dispute with the DFL over Rights Pact B to court. According to dpa information, the internet sports broadcaster also intends to withdraw completely from the Bundesliga TV broadcast if it does not receive package B.
DFL feels ready for legal action against DAZN
The sales process for the audiovisual media rights of the Bundesliga was interrupted the previous week. The lack of a bank guarantee from DAZN was controversial. The dispute is about package B of the TV rights auction with live games on pay TV. It is the largest package with the matches on Saturday at 3.30 p.m. and on Friday evening as well as the relegation games. This package includes a total of 196 live games.
DAZN then announced that it wanted to go to court. “In view of the DFL’s lack of response to our complaint about the unlawful allocation of rights package B, DAZN will take legal action to achieve the award of the package,” a company spokesman said.
In terms of content, the DFL rejected all allegations made by the streaming service. “The offers from DAZN Limited were not in accordance with the tender and were therefore not taken into account in the award. The document from a bank subsequently submitted by DAZN does not change the decision about the alternative award. There is no basis for the withdrawal of the decision requested by DAZN Eligibility,” wrote the DFL. All interested parties were aware of “the conditions of the auction”. DAZN’s accusation of not having been correctly informed is “definitely rejected”.
The league association also published a statement with five points “for clarification”. It says: “Should DAZN file the arbitration claim, the DFL is well positioned for such a procedure. In the interests of speedy procedural and legal certainty, which is in everyone’s interest, the DFL expects that all parties involved accept an arbitration award as final and conclusive.”