MEXICO CITY
Ethe Mexican football club Santos Laguna is suing Walt Disney Company alleging millions of dollars in damages due to alleged breaches of contract arising from the acquisition of Twenty-First Century Fox last year by the American world entertainment giant.
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The club filed a lawsuit in a California court this week, alleging that Disney violated the terms of a five-year agreement signed in 2017 which established lucrative rights to broadcast their matches at home, in addition to other promotional services.
The team, based in the northern city of Torrassa, argues that the alleged violations could leave him without a viable partner to televise his matches.
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Santos Laguna claims the original agreement they signed with what was then known as FSLA Holdings, Previously a Fox unit, was valued at about $ 106 million, covering match broadcast rights in Mexico and abroad from the 2019/2020 season.
But after the acquisition of Fox, for $ 71 billion, Disney agreed to divest the FSLA, now known as TFCF Holdings.
We believe the demands are totally unfounded and we will vigorously defend ourselves against them, ”a Disney spokesman said.
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The lawsuit says Disney agreed with Mexican regulators that sports broadcaster ESPN, which it mostly owns, would not try to buy from its competitor to facilitate approval of the operation in the Latin American country.
ESPN and Fox Sports are the two main broadcasters of professional football matches in Mexico.
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