Media

Al Jazeera needed to hold on to cash: lawsuit

Al Jazeera is refusing to fork over $65 million owed to Al Gore and his former Current TV partners because it needs the cash to settle disputes with AT&T, CBS, DirecTV and Dish Network, the former vice president claims in court papers unsealed Thursday.

The Qatar-owned news cable channel fabricated claims in order to keep the cash, a lawsuit, filed by Gore and Joel Hyatt — Current TV’s other co-founder — claims.

Former U.S. Vice President Al GoreReuters

The suit was filed under seal on Aug. 15, but a redacted version of the action was unsealed on Thursday. Gore and Hyatt sold Current to Al Jazeera in January 2013 for $500 million.

Under the deal, $85 million was to be kept in escrow until last July 2 in case any claim was made against the channel for contract breach.

Al Jazeera filed claims for $65 million and held back that payment. However, certain of those claims are bogus, the suit claims.

In one case, Al Jazeera wrongly filed a claim to indemnify a dispute with CBS, the suit claims, noting the merger agreement “makes clear that Al Jazeera cannot recover for it.”

In addition, Al Jazeera failed to follow merger protocols regarding claims with AT&T, DirecTV and Dish Network, the suit alleges.