Live streaming company DAZN refuse to pay broadcasting rights fees & stop customers cancelling contracts

DAZN: Live streaming sport company

DAZN are an online sports live streaming broadcaster, who have been in business since 2016.

The company’s chairman is John Skipper, who was formerly the head of ESPN.

DAZN operates in several countries, including the United States and Canada.

In North America, customers of DAZN get to watch all of the Premier League, Champions League and Europa League action.

The company also broadcasts in Italy, Austria, Germany, Switzerland and Japan.

 

What are DAZN best known for?

While DAZN offers a huge amount of football, the company is best known for its boxing content.

In recent years, DAZN signed exclusive contracts with some of boxing’s biggest stars, including Canelo Alvarez.

 

DAZN refuse to pay broadcasting rights fees

On Tuesday, news broke that DAZN are set to renege on their broadcasting deals.

The live streaming company are refusing to pay rights fees for sporting events which have now been canceled. Sports Business Daily reported:

DAZN has started telling sports leagues that it will not pay rights fees for any games that have been suspended or content that has not been delivered because of the coronavirus pandemic, according to sources.

DAZN is believed to be the first media company with U.S. ties to withhold rights fees; most media rights contracts mandate that networks continue to make payments even when games are not played.

 

DAZN furlough employees & ‘the biggest disaster to hit the sports world in 75 years’

Not only have DAZN refused to pay up on existing contracts, the company have also furloughed most of their employees.

In an email sent to DAZN staff, employees were told:

I know for many of you that this message will create anxiety and uncertainty. I am deeply sorry for that, as I know all of us have our own personal challenges and stresses at the moment.

This is the biggest disaster to hit the sports world in 75 years and the biggest challenge our business has ever faced.

DAZN subscribers cannot cancel contracts

While DAZN are looking to back out of their rights deals, the company is receiving a lot of criticism on social media for the way in which they are dealing with their customers.

As DAZN have no live sport to broadcast, many subscribers are seeking to cancel their contracts. The problem is that DAZN won’t let them do that. As reported by SB Nation:

While DAZN isn’t offering refunds to customers who have purchased annual subscriptions, it is allowing members to pause their membership for up to four months.

 

Social media backlash against DAZN

Also see: How to cancel Sky Sports subscription & still watch 11 channels for free.

How to cancel BT Sport subscription during coronavirus quarantine.


This article was edited by Conor Laird.