Indiantelevision.com Team

(12 September 2007 7:32 pm)

MUMBAI: Sports equipment maker Nike, which is the Indian cricket team's official kit supplier has asked for a compensation of up to $1.228 million. It has cited what it calls 'huge losses' incurred because of the board's inability to live up to the contract between the two parties.

Nike in a letter has accused cricketers like Tendulkar, of continuing to display logos of its rivals Reebok and Adidas on their cricket gear and casual wear. This move, according to Nike, has made them incur huge losses. It claims that this could also affect the royalties it has to pay to the BCCI.

The BCCI however says that it has settled the dispute with Nike on sponsorship issue, adjusting $1.228 million compensation claim put on the Board after making some discounts.

BCCI VP Lalit Modi said that the BCCI had given some series by series discount after making adjustments on their claims. The amount involved was arrived at, four months back.

In the letter to the BCCI, Nike pointed out that under clause 12(c)(3) of the contract, the BCCI was to protect Nike from ambush marketing. The BCCI nike says failed to live up to its promise that "no competitors' logo will be allowed on the bats, pads and gloves of the players".

Nike also notes that in the meanwhile competing firms continue to sign Indian team players for bat logos including new players who have represented the team since the signing of the sponsorship deal - Ramesh Powar, Munaf Patel, Robin Uthappa, RP Singh. It also claims that there were seven players who were displaying competition logo at the World Cup in March.

It further reminded the BCCI that as per 'Exhibit B (sponsorship benefits) Clause 7' of the contract, the board was to make national team players available for shooting commercials. It alleges that in 2006, on two occasions - in August and November it was given confirmed dates and availability of players - only for it to be cancelled at the last minute. The company claims to have incurred expenses $200,000 towards advances paid to film producer, photographer, crew and sets for these aborted shoots.

Nike also claims that after a month after launching a new ODI team jersey this February in India and overseas, the BCCI told it to change the size and colour of the team sponsor logo, Sahara.