Fox and Seven bring in lawyers in dispute with Cricket Australia

Fox Cricket and Seven have both sent legal letters to Cricket Australia as the dispute over the summer of cricket broadens.

Foxtel CEO Patrick Delany has signalled tough times ahead for all sports

Foxtel chief executive Patrick Delany says cricket is in for a tough summer and while his organisation is willing to work with Cricket Australia it is clear the co-operation will come at a cost.

CA is reeling following a savage attack from Seven West Media boss James Warburton, who has threatened to walk away from the network’s contract if it does not get a rights discount.

Sources close to Foxtel confirmed on Tuesday it would also be seeking a reduction in what it pays for broadcast rights. And in a clear indication that the dispute is escalating, Foxtel delivered a legal letter to Cricket Australia on Monday and Seven has hired a high-profile contract lawyer to fight its corner.

Both broadcasters believe a summer that includes the possibility of a Boxing Day Test at Adelaide not the MCG, a Big Bash without access to the biggest local stars and other likely changes is not what they signed up for.

Fox and Seven contribute about $200m a year as part of a record $1.18bn contract signed in 2018. Both share the frustration of dealing with a body they believe was moving with too much haste under former chief executive Kevin Roberts and is indecisive since his departure.

The impending legal battle will be a test of acting CEO Nick Hockley and the board.

Cricket Australia insists it will deliver a full summer of cricket and is working to attract international stars to enhance the BBL. CA says it has worked to identify savings for broadcasters who are struggling because of the pandemic, but it will not cut a cheaper deal on the broadcast rights.

Speaking at a sports conference on Tuesday, Delany signalled tough times for all sports but conceded tier-one sports such as cricket were in a slightly better position.

“We can see quite clearly the sports that are working, and those sports know who they are,” he said. “We did a great deal with the NRL to renew our relationship. I want more of the NRL. Our relationship with the AFL is really fabulous. I want more AFL. The motorsports are going well for us, and we like cricket.

“I think cricket is going to have a tough season ahead and we will work through it with them.”

The football codes both renegotiated their deals with broadcasters when the pandemic hit, but cricket argues it does not need to as it will be delivering a full schedule where the football season has been truncated. But the broadcasters are adamant that what is being delivered does not meet the letter of the contracts.

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Ironically the fight with the broadcasters has aligned state associations and the players association with head office.

The states and the Australian Cricketers Association had been at loggerheads with then boss Roberts over his demands that they take pre-emptive cuts to grants and player payments ahead of the summer.

Delany’s praise for the AFL and NRL echoes Warburton’s words from last week but excludes the scathing attack on cricket administrators.

“What I’d like to know is what is the season ahead,” Warburton said. “The AFL and I would assume the NRL they displayed leadership in working out what was the best outcome they could deliver.”

Hockley spoke on Tuesday about the game signing a new sponsor but was not keen to answer questions about the broadcast deals. The organisation put out a statement last week defending its negotiations.

“We are confident we will provide them with fantastic content this summer,” Hockley said.

“Scheduling during a pandemic has no doubt been challenging, particularly when factoring in the added complexities associated with international travel, but solid progress is being made.”

Additional reporting: John Stensholt