In a significant development, edtech giant Byju's has informed the National Company Law Tribunal (NCLT) that it has referred its ongoing dispute with the Board of Control for Cricket in India (BCCI) over sponsorship rights to arbitration. The announcement came during the proceedings of the NCLT, where Byju's, represented by its counsel, disclosed that negotiations are currently underway with the BCCI to amicably resolve the matter.

BCCI's Insolvency Petition and Byju's Objections

The dispute between Byju's and the BCCI stems from a petition filed by the cricket board on September 8, 2023. In its petition, the BCCI claimed dues of Rs 158 crore from Byju's, categorizing the edtech firm as an operational creditor under Section 9 of the Insolvency & Bankruptcy Code (IBC) 2016. Byju's, however, has filed objections to the BCCI's insolvency plea, asserting its position in the matter.

NCLT Postpones Hearing to February 7

During the recent NCLT proceedings, Byju's counsel informed the tribunal about the ongoing negotiations with the BCCI and the filing of objections to the insolvency petition. BCCI's counsel, in turn, requested time to respond to Byju's objections and the arbitration application. Consequently, the NCLT has adjourned the matter to February 7, 2024, for further hearings.

Background of the Byju's-BCCI Sponsorship Deal

The sponsorship dispute between Byju's and the BCCI dates back to 2019 when mobile manufacturer Oppo transferred its sponsorship rights to the edtech firm. Byju's association with the BCCI involved significant branding and visibility during cricket matches and events.

The ongoing dispute between Byju's and the BCCI highlights the complexities of commercial partnerships and the potential for disagreements over contractual obligations. As the matter proceeds through arbitration, the outcome will be closely watched by both parties and the wider sports and business communities in India.

(Only the headline and picture of this report may have been reworked by the LatestLaws staff; the rest of the content is auto-generated from a syndicated feed.)

Source Link

Picture Source :