Multi Screen Media (Sony Entertainment Television) has suffered a setback after the Bombay High Court ruled that the Indian Premier League can renegotiate its TV deal.

The verdict, which was delivered this afternoon, will come as major blow to MSM if IPL organisers go on and re-sell the rights to another broadcaster.

A report on CricInfo suggests that IPL has signed a fresh broadcast rights deal worth a reported US$1.2 billion with World Sports Group (WSG), which in turn has been engaged in discussions with various broadcasters for a new IPL deal.

MSM has been readying the telecast of the upcoming IPL for the past few months with teasers running on MAX.

According to sources though, MSM and IPL have reached an out of court settlement. How much of this is true, remains to be seen. An official statement is awaited.