Warner Bros. Discovery files lawsuit against NBA over TV deal dispute

Warner Bros. Discovery has taken legal action against the NBA after the league rejected its matching rights in the new TV deal, sparking a courtroom battle between the two longtime partners.

The NBA recently announced lucrative TV deals with Disney, Comcast, and Amazon totaling $77 billion, but Warner Bros. Discovery’s attempt to match Amazon’s deal was turned down. This led to Warner Bros. Discovery filing a lawsuit in the New York State Supreme Court, claiming that the NBA breached its rights to match any third-party offer.

According to Warner Bros. Discovery, losing the NBA rights would result in “irreparable harm,” and they are determined to enforce their rights in the best interest of fans. On the other hand, the NBA has dismissed Warner Bros. Discovery’s claims as without merit.

The crux of the issue lies in the distribution mechanism of the deals. While Amazon’s deal is for streaming-only, Warner Bros. Discovery’s matching proposal included both its Max streaming service and cable network TNT. The league argues that the matching rights only apply if the distribution mechanism is the same, meaning Warner Bros. Discovery would have to agree to put all games on Max, which has a smaller subscriber base than Amazon.

Warner Bros. Discovery and CEO David Zaslav believe that their matching rights extend to any new deal involving games from their existing agreement, regardless of the platform. This disagreement has now escalated into a legal battle that will determine the future of the partnership between Warner Bros. Discovery and the NBA.

As the case unfolds in court, the outcome will have significant implications for both parties and the landscape of sports broadcasting. Fans will be watching closely to see how this dispute is resolved and what it means for the future of NBA coverage on TNT and other platforms.