DStv owner MultiChoice Group and e.tv parent eMedia have brought their legal battles to an apparent end by opting for a private settlement agreement.
According to notes included in eMedia’s interim results for the six months to 30 September 2024, published on Monday, the two commercial broadcasters have come to an agreement regarding a fight over MultiChoice’s removal of four eMedia channels from DStv in May 2022 and another regarding DStv’s sidelining of eMedia’s Openview platform in a sublicensing agreement with the SABC regarding Rugby World Cup matches broadcast last year.
“The Competition Commission’s complaint against MultiChoice South Africa by eMedia for removing eMedia’s four entertainment channels from the DStv bouquet as well as DStv’s preclusion of the Rugby World Cup matches from the Openview platform has resulted in significant legal fees for the group. The matter has, however, been satisfactorily settled by both parties in September,” eMedia said in its results.
In the first matter, MultiChoice removed four eMedia channels – eExtra, eMovies Extra, eMovies and eToonz – from its DStv satellite bouquets in 2022. eMedia responded by obtaining an interdict from the competition appeal court, which ordered the channels to be reinstated pending an investigation by the Competition Commission.
In July this year, eMedia CEO Khalik Sherrif said it was unfortunate that the Competition Commission found that eMedia had suffered no harm when the channels were removed and that MultiChoice’s actions were not anticompetitive. eMedia vowed, however, to challenge these findings using “all available legal avenues”.
All four channels are currently available on DStv.
Sports sublicensing
The second matter that’s been settled involved a filing brought by eMedia to the Competition Commission and the Competition Tribunal in October 2023 following MultiChoice’s refusal to allow rugby and cricket games sublicensed to the SABC to be carried on the SABC channels via Openview.
In April this year, the tribunal handed down interim relief in favour of eMedia. “MultiChoice, including its subsidiary SuperSport, and the SABC are interdicted from including restrictions which prohibit the SABC from transmitting or making available sublicensed broadcasts on platforms owned or operated by eMedia (through Openview) in sublicensing agreements concluded between them relating to the broadcasting of sporting events,” the tribunal said at the time.
Read: Fight over MultiChoice, SABC ‘notifiable merger’ heads to tribunal
Despite this ruling, SuperSport and the SABC in July entered into a sublicensing agreement for the broadcasting of the T20 Cricket World Cup final, as well as two rugby test matches between the Springboks and Ireland on 6 and 13 July. Once again, eMedia’s Openview platform was excluded from the broadcast feed, leading to eMedia filing an urgent application with the competition appeal court, alleging a breach of the April ruling. eMedia at the time described the agreement as “contemptuous”.
eMedia said the SABC and MultiChoice were “deliberate” in disobeying the interim relief order and asked the competition appeal court to grant it relief by either nullifying the contract between the two contravening parties – meaning that the SABC would be stopped from broadcasting rugby test matches between the Springboks and Ireland – or by enforcing the April interim relief order and extending the sublicensing rights so that the matches are broadcast on Openview as well.
Following their appointment to cabinet as part of the newly formed government of national unity, sports minister Gayton Mckenzie and communications minister Solly Malatsi met with broadcasters to try and negotiate a solution over the sublicensing impasse. MultiChoice did not attend these discussions.
Read: eMedia accuses MultiChoice of breach of tribunal order
“The terms of the settlement are confidential but we can confirm that the litigation between MultiChoice and eMedia has been settled amicably between the parties,” MultiChoice said in response to a query by TechCentral on Tuesday.
eMedia said the issues between the two parties have been “satisfactorily resolved by agreement”, bringing an end to the legal proceedings between them. “We have entered into a confidential settlement agreement on the matter. We are very pleased with the outcome,” eMedia told TechCentral. – © 2024 NewsCentral Media
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