JioStar ups arbitration claim against ZEEL to over $1 billion in ICC rights dispute
In its Q1 FY26 results, released on July 22, ZEEL reaffirmed its legal stance, calling JioStar’s claims “unfounded and legally not tenable.
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In a major escalation of its legal battle with Zee Entertainment Enterprises Ltd (ZEEL), JioStar India — jointly owned by Reliance and Disney — has increased its arbitration claim to over $1 billion in a high-stakes dispute over a failed broadcast rights agreement for International Cricket Council (ICC) events.
JioStar, previously known as Star India, had entered into an Alliance Agreement with ZEEL in 2022 to grant exclusive sub-licensing rights to broadcast ICC men’s and Under-19 global events for the 2024–2027 cycle. The partnership, touted as a game-changer for Zee’s media ambitions, collapsed amid accusations of contract violations, setting the stage for a legal showdown.
JioStar alleges that Zee failed to make the first payment of $203.56 million (₹16,934 crore) and did not furnish the required financial guarantees. The agreement was officially terminated by JioStar on June 20, 2024, following which it initiated arbitration proceedings before the London Court of International Arbitration (LCIA), initially seeking $940 million in damages.
In a regulatory filing dated June 13, 2025, ZEEL disclosed that JioStar has since revised its claim upwards to $1.003 billion (over ₹8,400 crore). The updated amount includes claims for damages, legal costs, and accrued interest.
Zee has strongly refuted JioStar’s claims, stating that it was not in breach of the agreement. Instead, the company alleges that JioStar committed a “repudiatory breach” of contract, prompting Zee to terminate the deal on January 8, 2024. In December 2024, Zee filed a counterclaim seeking a refund of $8.06 million it had already paid to JioStar.
The LCIA arbitration is expected to progress toward evidentiary hearings in November 2025. Zee is scheduled to file its formal rejoinder to JioStar’s reply by August 8, 2025.
In its Q1 FY26 results, released on July 22, ZEEL reaffirmed its legal stance, calling JioStar’s claims “unfounded and legally not tenable.” The company said it expects no material adverse financial impact, and therefore has not made any accounting provision for the dispute in its latest quarterly financials.
The arbitration case unfolds at a time when ZEEL is grappling with multiple regulatory probes, including investigations by SEBI and the Ministry of Corporate Affairs. An independent review commissioned by Zee’s board recently found no material irregularities in its vendor transactions, one of the areas under regulatory scrutiny.
Despite headwinds, the company reported a net profit of ₹1,115 million in Q1 FY26, even as its revenue from operations fell 16% year-on-year to ₹16,839 million. Zee attributed the profit to ongoing cost-control measures aimed at navigating financial uncertainty.
