Updated

Officials in the northeastern Brazilian city of Recife are scrambling to find private partners to organize the fanfest required by FIFA during the World Cup.

The city made a surprise announcement this month, saying the event could be canceled if FIFA or other sponsors didn't step in financially. That prompted soccer's governing body to threaten to sue for possible breach of contract.

All 12 host cities promised to organize the event, which allows fans without tickets to watch matches for free on large screens in public areas. FIFA says the fanfests are a crucial part of the World Cup.

The city noted in a statement sent to The Associated Press on Thursday that it is currently "studying alternatives" to host the fanfest without additional financial help from FIFA.