Newly promoted Italian first division club Napoli FC has decided to disown an existing TV rights contract with Tele+ in favour of a more profitable deal with rival pay-TV operator Stream.

Club president Giorgio Corbelli said that Napoli FC has decided on an immediate and unilateral cancellation of the contract signed in May 1998 with Tele+. According to Corbelli, the existing contract was financially inadequate and signed at a time when Tele+ had practically a monopoly over the Italian pay-TV market.

Stream will pay the club L60 billion (E30.99 million) a year, for a five-year contract, compared to L32 billion (E16.53 million) promised by Tele+. The Canal+-owned pay-TV operator has already taken court action – in Milan against Napoli FC, requesting that the existing contract be honoured and also in Rome against Stream accusing the company of “unfair competition”.

The Milan court has set up a hearing for August 7, but the side that loses will have two weeks to appeal.