Flamengo’s Blockage to Impact Up to R$ 230 Million; Libra Sees Strangulation

Libra was caught off guard by the court injunction in Rio, in favor of Flamengo, which blocks payments of a portion of the TV rights for the Brasileirão that would be distributed among the clubs in the block. If the blockade persists until the end of the year, for example, it means that around R$ 230 million will be blocked and under legal dispute. The amount currently blocked is R$ 77 million. Executives believe that Flamengo’s move is an attempt to suffocate members of the block to change the criteria for dividing the funds related to viewer ratings (30% of the total contract with Globo). Flamengo, on the other hand, believes that the court dispute was the viable way to resolve a debate that has been ongoing for about ten months. Libra is trying to reverse the decision in court. Meanwhile, clubs like Palmeiras and São Paulo, consulted by UOL, avoid making public statements.