Kyle Sandilands is reportedly considering legal action against the Australian Radio Network (ARN) after being accused of serious misconduct, with lawyers claiming the network has no substantial grounds to terminate his employment.

The potential legal battle comes amid the shock divorce announcement from radio titans Kyle and Jackie O, adding another layer of drama to the unfolding situation.

According to reports, Sandilands’ legal team has identified a crucial detail in his historic $100 million contract signed in 2023 that could work in his favour.

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When the radio host signed the landmark deal, ARN allegedly took on all liability for the words that came out of Sandilands’ mouth, potentially undermining their ability to sack him for misconduct.

Despite ARN’s public accusations of serious misconduct, the fine print of the contract may prove to be the network’s undoing in any legal dispute.

Sandilands is reportedly willing to walk away from his $100 million contract in exchange for being paid out the remaining balance he’s owed, which could still amount to tens of millions of dollars.

However, as with most high-stakes legal battles, it’s the lawyers who are likely to be the real winners if the matter proceeds to court.

The situation continues to develop as both parties consider their next moves in what could become one of Australian radio’s most expensive legal disputes.

Kyle and Jackie O’s decades-long partnership crumbles

Sandilands and Henderson’s 20-year radio partnership came crashing down after an on-air argument on February 20.

The confrontation began after Henderson read through Andrew Mountbatten-Windsor’s astrology chart in response to news of his arrest. Sandilands criticised her “fixation” on astrology, saying it was affecting other parts of the show and claiming colleagues had raised concerns.

The discussion turned personal, with Sandilands accusing Henderson of being “off with the fairies” and “almost unworkable”, while Henderson defended herself and said his comments were “unfair”.

KIIS FM terminated Henderson’s contract after she told executives she “cannot continue to work with Kyle Sandilands” following the spat.

“Ms Henderson will cease to present the Kyle and Jackie O show,“ KIIS’s parent company ARN announced late Tuesday.

Sandilands has been suspended and given 14 days to address workplace behaviour issues or face contract termination.

Henderson has reportedly been offered her own show in a different time slot within the network.