Kyle Sandilands’ contract torn up by KIIS owner ARN
Updated ,first published
Kyle Sandilands’ contract has been terminated by KIIS owner ARN, prompting the controversial broadcaster to threaten legal retaliation over his $100 million contract with the FM radio company.
During the 14 days he was suspended from the air after berating co-host Jackie “O” Henderson, Sandilands said he did everything the company asked, including telling the station he was willing to work with someone else, but claimed the outcome was predetermined.
ARN and Sandilands made separate announcements on Wednesday morning, ending the broadcaster’s contract to present the record-breaking series. The Kyle and Jackie O Show By 2034, this is now almost certain to be challenged in court.
“ARN has just announced that they have terminated my contract,” said a statement from Sandilands on Wednesday morning. “I don’t accept it.”
“My lawyers told them last week it would be invalid. So guess what? It is.”
Sandilands said he had done everything asked over the last few weeks, but accused them of not wanting to “fix” the matter and using this as a chance to opt out of the remainder of the much-publicised $200 million contract he signed with Henderson in 2023.
“Then it’s up to my lawyers.”
Sandilands representatives circulated the statement in the early hours of Wednesday morning, ahead of ARN’s official ASX announcement, and said shortly after:Kyle and Jackie O’s Show will no longer be offered.”
In his statement, Sandilands stated that he was willing to work with “someone else” in the absence of Henderson, with whom he has worked for more than 25 years.
“I said put me back on the air. I’ll work with Jackie. I’ll work with someone else. Whatever you need. Every time – ‘no’. They weren’t interested. They didn’t want to fix it. They thought they saw a chance to get out of the contract they signed me a year ago, and they took that opportunity.”
The decision comes two weeks after Henderson’s contract was terminated by ARN after the company’s representatives said he had told management he could not continue working with Sandilands. He allegedly breached his contract following an act of “serious misconduct” following an on-air fight in February that left Henderson in tears.
Sandilands said in his statement that he apologized to Henderson and meant it. Henderson has previously said he has not left the ARN and is dealing with the matter through legal channels.
The duo’s contracts, which run until the end of 2034, became onerous for ARN in just a year after the show’s expansion to Melbourne bombed and advertiser sentiment turned against the historically crude sexually explicit content featured in the series.
In response, Sandilands said the company, which had been working with him for a decade, “knew exactly what they were getting into”.
“So, tell me – why would ARN choose to breach a contract and pay the legal consequences rather than honor the contract and pay me to do what I do best? That’s the part that doesn’t make sense.”
Privately, the anticipated contract termination has been the subject of great consternation among rival radio executives for the past two weeks. On Tuesday, an executive speaking on condition of anonymity due to business sensitivities said Sandilands was in a “position of strength”, arguing that his tirade against Henderson last month was nowhere near his worst on-air behaviour.
Another executive said it was likely that both Sandilands and Henderson would appeal the terminations, but ARN had no choice but to take action, with the deal’s funding “only going to work if the show was a success on the east coast”.
Sources at the ARN, speaking anonymously because they were instructed not to contact journalists, confirmed two emails were sent to staff after Sandilands published his bombshell statement.
The first message read: “We currently have a media presence on the ground floor of our Sydney office. If media approaches you, please direct them to approach.” [our head of publicity].”
The second email, sent by ARN managing director Michael Stephenson shortly after 8am, read: “Hello team, this morning ARN announced that it has issued a notice of termination of the contract with Kyle and Quasar Media following the completion of the 14-day make-up period. As a result, ARN will no longer be presenting this case.” Kyle and Jackie O to show.”
An associate producer who does not work at ARN Kyle and Jackie OHe said: “There is a lot of pain and anger here about these two being real. [Sandilands and Henderson] They’re squabbling over millions of dollars while the rest of us are laid off or trying to pay rent on wages that barely cover our living expenses. [daily living expenses].”
Another ARN insider claimed: “What happened is so obvious it’s almost laughable: ARN were desperate to get out of this contract, so they seized the opportunity as soon as it arose. [management] Whether it is successful or not is another question entirely.
Media and entertainment law expert Shaun Miller, principal of Shaun Miller Solicitors, believes Sandilands is on solid legal footing.
“I wouldn’t want to stand between Kyle Sandilands and $88 million; that would be roadkill,” Miller said.
“Kyle is attacking ARN. He’s basically saying, ‘Don’t call us, we’ll sue you.’ And Kyle has a strong legal argument that he was recruited to the ARN as a controversial, provocative and maverick. “So it makes no sense for ARN to terminate Kyle’s contract for the same reasons that ARN actually hired Kyle.”
Miller said ARN’s position was that the company would specifically protect Sandilands. Kyle and Jackie O show – and when Henderson left the show, it ceased to exist. (Henderson emphatically denied resigning or resigning.)
He added that if Sandilands and Henderson were willing to continue their business relationship, the question the relevant legal teams would ask the ARN would be: “What is the problem?”
The show launched in Melbourne two years ago but in that time KIIS has lost more than 220,000 listeners, or 36 per cent of its breakfast audience, under Sandilands and Henderson. The first rating results of 2026 are announced on Thursday.
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