A legal notice was recently issued to Sony TV Pvt. Ltd. by Fit & Flex, a company that participated in the reality TV show Shark Tank season 3, on account of deactivation of its social media accounts.
The company alleges that Sony's actions led to the suspension of social media accounts of Fit & Flex.
This begs the question as to who is responsible for suspension of social media accounts. The suspension of social media accounts is a right which is reserved with the social media intermediary, i.e. Facebook and/or Instagram. As per their policy, not adhering to the terms of service and community guidelines can lead to suspension of accounts. An account can be reported in case of an allegedly problematic post or highlight an account which breaches terms of service or community guidelines of the particular social media intermediary. The final right to take down an account or post is with the social media entity. Except in the case of an order by a Court of law.
The legal notice by Fit & Flex claims that Sony Pvt Ltd. (Culver Max Entertainment Pvt Ltd.) breached the agreed-upon terms of their partnership with Fit & Flex, resulting in significant operational disruptions. The notice further alleges that despite Fit & Flex's diligent adherence to all contractual obligations, Sony's failure to uphold their end of the agreement had led to substantial setbacks for the startup.
Founder, Fit & Flex, Pathik Patel adds “Despite numerous attempts to resolve these issues, we have faced complete radio silence from Sony, augmenting our challenges and highlighting the lack of accountability. We are not alone; many brands report similar breaches and setbacks. We urge media and industry stakeholders to investigate Sony's practices for greater transparency and fairness. It is crucial for the public and industry stakeholders to be aware of these issues, which have far-reaching implications for the business community. We believe that bringing this matter to light will hopefully prevent further harm to other brands that plan to participate in Shark Tank in the future.”
Responding to the allegations of Fit & Flex, Sony Pictures Networks India (SPNI) said that, "Shark Tank India has emerged as a pivotal platform, igniting the dreams of aspiring entrepreneurs nationwide. However, because of its growing popularity, some participants are using the show’s content and branding without permission for their own commercial ventures, clearly violating SPNI’s intellectual property rights (IPR) and copyright laws. In response, we have taken decisive action to curb such infringements, implementing rigorous checks to safeguard the IPR while also recognising and respecting the contestants' achievements."
Speaking with BW Legal World, Russell A. Stamets, Partner at Circle of Counsels said that, “Large companies need to balance their legitimate IP enforcement efforts with pragmatic business thinking. While Sony may have legitimate reasons for seeking shutdown of social media accounts in some cases, their actions here probably damage the Shark Tank brand and its relationship with the startup community.”
Germaine Pereira, Partner, Solomon & Co. said, “Sony being the proprietor and Intellectual Property Rights owner of its social media account and online platforms has a legitimate right to decide and deactivate social media accounts of participants if their content violates its Intellectual Property Rights or Sony believes the third party content does not comply with the terms on which Sony agreed to host such content. If the Shark Tank participant believes that its content has been wrongly removed, it maybe able to seek financial compensation from Sony, but would not be able to force Sony to host its content.”