Sony has encountered a setback as the emergency arbitrator has denied any relief in the Singapore International Arbitration Centre (SIAC), sources familiar with the matter told Storyboard18.
Hearing for an emergency arbitration in the Zee Entertainment-Sony merger case was announced on January 30.
The Singapore International Arbitration Center is the first Asian arbitration institution to offer this process and has received over 130 applications since 2010 for the appointment of an Emergency Arbitrator.
Read More: Zee – Sony Merger collapse: Emergency arbitration in Singapore, hearing tomorrow
Sony had initiated arbitration proceedings for an alleged breach of terms by Zee Entertainment. In response, Zee initiated legal action to contest Culver Max and BEPL’s claims at the Singapore International Arbitration Centre.
Zee Entertainment has called Sony’s demand for $90 million in termination fees legally untenable and has also denied the breach of the merger agreement in response to Sony. Sony had scrapped the proposed $10 billion merger with Zee after the latter failed to meet certain financial terms of the deal and come up with a plan to address them, as per sources and reports.
Read More: Zee-Sony merger: What to expect from today’s Singapore arbitration?
Zee had denied the allegations in a letter to Sony and accused the Japanese company of “bad faith” in calling off the merger.