DouYu Wins Lawsuit Against Leyou Network

DouYu wins lawsuit against Leyou Network. Chinese live streaming corporation DouYu has won a lawsuit against Leyou Network Technology, the parent company of Chinese esports organisation Royal Never Give-Up (RNG), according to a report in 21 Finance, and has been awarded ¥30 million RMB ($4.5 million USD) by a Chinese court.

The lawsuit filed in the Wuhan Intermediate People’s Court in September of 2019 revolved around a breach of contract dispute between the two companies related to streaming and content creation.

In September 2018, Leyou and DouYu sealed a one-year exclusive streaming contract for esports organisation RNG that included ¥20 M ($3 M) in base pay, a ¥11 M ($1.64 M) bonus, and the commercial rights to use the photos and names of RNG players.

However, RNG allowed League of Legends player Liu “Zz1tai” Zhihao to stream on competitor Huya early February of 2019, and also allowed players to attend Huya’s esports talk show “Esports Youth Speak.” In addition, Leyou transferred the operating and commercial rights of RNG to another company called Tiantong Cultural Communications.

[image: Emmanuel]
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