Hathway and Star Sports agree to sign RIO agreement

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MUMBAI: After months of wrangling, multi-system operator (MSO) Hathway Cable & Datacom and sports broadcaster Star Sports have finally agreed to enter into an agreement based on reference interconnect offer (RIO).

The two parties informed this to the broadcast sector tribunal Telecom Disputes Settlement and Appellate Tribunal (TDSAT). However, the agreement will be subject to Hathway’s reservations regarding some clauses in the RIO which they have challenged before the Telecom Regulatory Authority of India (TRAI).

The TDSAT pointed out that the date of the RIO-based agreement coming into force remains unresolved. While Hathway believes that the RIO agreement for sports channels should come into effect from 1 November 2013, which immediately follows the expiry of the earlier fixed-fee-based agreement on 31 October 2013, Star Sports contends that the fresh agreement based on RIO may take effect only from 1 February 2014.

On this, the tribunal stated that in case the parties are unable to resolve the dispute through mediation, it can always be decided through adjudication by the tribunal. Star Sports contented that in the absence of any agreement executed between the two sides, it has not received payments of monthly subscription fees from the petitioner after February 2014 in DAS-I (digital addressable system) area and from April 2014 in DAS-II area.

In response to this, the tribunal stated that since the parties have already agreed on the rates prescribed by the RIO, there should be no difficulty in computing the monthly subscription fee. Hathway counsel Jayant Mehta said that the MSO will supply the subscriber reports for the months of February, March, April, May and June 2014 for DAS-I area and for April, May and June 2014 for DAS-II area to the sportscaster within one week from 16 July.

Mehta also told the TDSAT that it will make payments to Star Sports within 10 days from the date of receipt of the invoices. The tribunal stated that Star Sports may raise invoices applying the RIO rates to the subscriber base furnished by the petitioner.

The tribunal also asked Hathway to continue to furnish the subscriber base for the subsequent months in the same manner and make payments of invoices raised on that basis in accordance with law until the proceedings are over before the mediator and the tribunal.

The two parties informed the tribunal that the mediation process is proceeding satisfactorily and the two sides have been able to resolve a number of their commercial disputes.

The tribunal had on 17 April directed Hathway and Star Sports to resolve their disputes comprehensively through the process of mediation before senior advocate Sriram Panchu. The tribunal has put it up under the same heading on 20 August. Hathway and Star Sports have been at loggerheads with each other over the issue of DAS deals.

While Star Sports, which has made heavy investments in acquiring properties, is asking for a substantial increase in subscription, Hathway, on the other hand, is resisting the sportscasters’ overtures contending that it has still not been able to collect subscription money from the ground.


Read more at: Hathway and Star Sports agree to sign RIO agreement | TelevisionPost.com | TelevisionPost.com
 
So finally Hathway finishes the attitude of STAR SPORTS ;) big victory for operator :)
 
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