New Zealand Rugby has launched legal action against INEOS - believing the petrochemical company has breached its sponsorship deal.

London's Telegraph reports INEOS failed to pay the first instalment of 2025 to New Zealand Rugby - at the halfway point of a six year deal to sponsor the Teams in Black, including the All Blacks.

A statement released by NZR says they view the non-payment as INEOS exiting the six-year agreement early and have "no option" but to launch legal proceedings.

The deal is worth eight million dollars a year to NZR - leaving a big financial shortfall to fill at short notice.

LISTEN ABOVE