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Thursday, 25 July, 2002, 00:50 GMT 01:50 UK
Football court battle over ITV Digital
David Burns, chief executive of the Football League
The Football League will have its day in court
The row between the Football League and the owners of the collapsed ITV Digital over millions of pounds is due to be heard in the High Court.

The League claims it is owed �131.9m for television broadcasting rights fees from when ITV Digital collapsed.

The company had agreed a �315m deal to screen football league matches over three years but when it collapsed it had paid just over a third of that amount.

Its owners, Carlton and Granada, have refused to pay up, saying they are not liable.

The two sides are due to argue their case in the High Court in London on Thursday.

Lawyers for the League have applied for "a speedy trial" because, they say, the financial security of 72 football clubs is at risk.

The broadcasting rights have since been resold to BSkyB for a much smaller sum.

But Carlton and Granada say the necessary contract with the Football League was never signed.

Boycott calls

The �131.9m figure takes into account the income generated from the first two years of the replacement �95m-for-four-years package agreed with Sky.

Many football clubs have asked their fans to boycott the ITV network.

The case is expected to last four days with a verdict to come later.

The loser is expected to appeal.

On 1 August, ITV Digital was due to pay �89.25m of the money owed to the league and its clubs.

If the Football League wins it will get the cash it was owed under the terms of the ITV Digital contract from Carlton and Granada.

The two media companies say there was only one legally-binding short-term contract which was signed by ITV Digital, and did not contain any guarantees from Carlton or Granada.

The Football League turned down a �75m settlement offered by ITV Digital in April.

But even on the eve of the case a League spokesman said their "doors remained open" to discussions. "However, we remain fully-prepared to see this through in court," he said.


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07 Jun 02 | Business
08 May 02 | TV and Radio
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