Stalemate between Eleague and CSGO teams over payment

Esports was revolutionized in 2016 with the advent of Eleague into CSGO. Eleague has been instrumental in merging esports with Traditional TV audience. It has brought about new fans to the game and helped people understand eSports.

When Eleague was announced there were apprehensions that Eleague would change the working of the industry. Being a TV channel, Eleague has different work ethics than what people in eSports are used to. A commercial company looks out for its own interests most of the time and that does cause problems in creativity and original production of work.

However Eleague were quick to adapt and took help from professional gamers and eminent personalities in the scene such as Thoorin, Moses, Richard Lewis in order to get a better understanding of the entire process and industry.

It has been a resounding success for them so far as they have been able to monetize the timeslot for much cheaper and in a successful manner. Eleague VP admitted, that the returns for their investment for the particular timeslot was unprecedented.

However all does not seem rosy as Eleague has reportedly run into some issues with a group of NA teams. The issues seem to stem from a misunderstanding of certain clauses in the agreement. While the teams claim that the agreement guarantees them a $30,000 appearance fee which is exclusive from the prize money, Eleague claims otherwise. According to Eleague, the $30000 guaranteed money is inclusive of the appearance fee.

This has resulted in a stalemate between Eleague and the teams in discussion. Eleague has not paid the amount invoiced due to it being much higher than what they claim is promised. On the other hand, the teams are not sending the invoices due to missing out on potential revenue.

According to Dekay from Slingshotesports;

According to ELEAGUE’s Season 1 prize pool breakdown, finishing 15-24th earned a team $30,000. The dissenting teams contend, based on the wording of the contract, that the $30,000 appearance fee is in addition to the prize pool.

At the same time an Eleague official has commented.

“All teams have been compensated per our agreements with them. We value our relationships with all teams and will continue to provide a best-in-class experience for them.”

We do hope this gets resolved as soon as possible. With many organisations investing into eSports, it would not be sensible to have such a huge controversy which might leave a bad influence on the investors.