Featured image of post Impasse between DAZN and LFP: disputes and financial stakes in French football

Impasse between DAZN and LFP: disputes and financial stakes in French football

The mediation between DAZN and the Ligue de Football Professionnel (LFP) ended without reaching an agreement, suggesting a period of tension and potential litigation. The LFP clearly demonstrates its intention to terminate the contract in effect at the conclusion of the current sports season, a decision that was upheld by a categorical refusal by DAZN. Despite the intervention of a conciliation body, the differences between the two parties remain profound, suggesting a complex and probably prolonged situation. The initial ambition to generate substantial revenues now seems to be compromised, and the subscription, considered prohibitive for viewers, has contributed to what appears to be a new failure for French football.

As part of this breakdown, the LFP notified DAZN of its claim for breakage compensation, estimated at between EUR 110 million and EUR 125 million. In return, DAZN claims a considerably larger amount, amounting to EUR 573 million, invoking a “observed breach” and a “deceit on the goods”. The thorny financial issue persists with the remaining deadlines, amounting to a total of 140 million euros, suggesting new difficulties for the world of round balloons.

In the face of this crisis, Nicolas de Tavernost was entrusted with the creation of an internal channel, potentially distributed by Canal+. This initiative, which may seem disconnected from current difficulties, also comes in the wake of financial commitments related to the presence of CCV, a minority shareholder of French TV rights, whose presence generates a lifetime royalty. The case illustrates a complex situation where financial issues and dissemination strategies are mixed with the fragility of the economic model of French football.