North American Major League Soccer (MLS) club San Jose Earthquakes may need to seek sign a new naming rights deal for its Avaya Stadium after current partner Avaya Inc. hit financial difficulties.

The telecommunications company has asked a federal judge to reduce the terms of its deal with the club as part of a bankruptcy case, according to The Mercury News.

Should Avaya win approval, the Earthquakes could lose $12m (€10.1m/£8.9m) that it had been due to receive through the 10-year deal it signed with the firm back in 2014. A decision is expected by December 12.

In a statement released yesterday (Sunday), the club said that it is preparing for the verdict by beginning a search for a new partner, with the hope of having a deal in place for the start if the 2019 season. The club added that it is keen to reach a “mutually beneficial solution” to Avaya’s current situation.

Avaya, which filed for Chapter 11 protection in January this year to restructure its financial situation, also issued a statement on the talks: “As our priorities shift to greater investment in innovation and growth, we have reassessed certain of our contracts, including our sponsorship of Avaya Stadium.

“We are happy that we have reached an agreement to transition out of the contract that works for both sides.”

Opened in January 2015, the Earthquakes’ home stadium has featured the Avaya name its entire life. The venue has a capacity of 18,000 and is mainly used to stage football matches, including a number of US national men’s and women’s team games.

Images: Jbburgess0