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WBD sues NBA over league’s rejection of broadcast matching rights

Warner Bros. Discovery has filed a lawsuit against the NBA over the league’s rejection of its offer to match a bid from Amazon to broadcast the games for the next decade.

The Cleveland Cavaliers face off against the Los Angeles Lakers on April 6, 2024
The Cleveland Cavaliers face off against the Los Angeles Lakers on April 6, 2024

WBD sues NBA over league’s rejection of broadcast matching rights

“Given the NBA’s unjustified rejection of our matching of a third-party offer, we have taken legal action to enforce our rights,” a WBD spokesperson said in a statement. “We strongly believe this is not just our contractual right, but also in the best interest of fans who want to keep watching our industry-leading NBA content with the choice and flexibility we offer them through our widely distributed WBD video-first distribution platforms - including TNT and Max.”

The suit, which was filed Thursday under seal in New York County Supreme Court, comes less than 48 hours after the NBA officially rejected WBD’s matching offer, instead entering into new 11-year contracts with NBCUniversal, Disney and Amazon, starting with the 2025-26 season.

“Our new global media agreements with Disney, NBCUniversal and Amazon will maximize the reach and accessibility of NBA games for fans in the United States and around the world,” Adam Silver, the NBA commissioner, said in a statement Wednesday. “These partners will distribute our content across a wide range of platforms and help transform the fan experience over the next decade.”

The widely expected lawsuit from WBD, the parent company of TNT and CNN, comes after the media conglomerate’s executives suggested in recent weeks that it would likely move to sue the NBA should the league decline its matching offer.

In a statement Wednesday, WBD criticized the NBA’s decision, saying it had “grossly misinterpreted” its contractual rights and vowed to take “appropriate action.”

“We have matched the Amazon offer, as we have a contractual right to do, and do not believe the NBA can reject it,” a TNT spokesperson said in a statement. “In doing so, they are rejecting the many fans who continue to show their unwavering support for our best-in-class coverage, delivered through the full combined reach of WBD’s video-first distribution platforms — including TNT, home to our four-decade partnership with the league, and Max, our leading streaming service. We think they have grossly misinterpreted our contractual rights with respect to the 2025-26 season and beyond, and we will take appropriate action.”

The lawsuit filed by WBD highlights their concern that the NBA's decision to partner with NBCUniversal, Disney, and Amazon for media rights could potentially limit the availability of NBA content on their platforms, such as TNT and Max, impacting the business of media distribution.

In the light of the ongoing legal dispute, the future of WBD's business relationship with the NBA remains uncertain, and how the resolution of this matter affects the media landscape in terms of sports rights and consumer choices remains to be seen.

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