The NBA has taken legal measures to dismiss a lawsuit brought by Warner Bros. Discovery, alleging the league breached its contract by rejecting a matching offer for a new media rights deal. The dispute comes in the wake of the NBA’s 11-year media rights agreement worth nearly $76 billion, which features partnerships with Disney, NBC, and Amazon Prime Video, covering the 2025-26 season through the 2035-36 season.
An End to a Long-Standing Relationship
For nearly 40 years, the NBA and Turner have enjoyed a robust partnership. However, this new deal marks the end of that era, with Warner Bros. Discovery’s Turner Broadcasting System (TBS) unable to secure the rights moving forward. This change sets the stage for new broadcast dynamics, specifically the inclusion of Amazon Prime Video, which is set to deliver NBA games on Friday nights, select Saturday afternoons, and Thursday night doubleheaders following "Thursday Night Football."
The Legal Wrangle
The NBA's decision to terminate its association with Turner has led to legal confrontations. The league’s 28-page motion meticulously outlines the grounds for dismissal, emphasizing discrepancies in Warner Bros. Discovery’s efforts to match Amazon’s offer. The documents reveal that Warner Bros. Discovery made significant amendments to Amazon's proposition, revising eight out of 27 sections, re-defining 11 terms, striking nearly 300 words, and adding over 270 new words.
Amazon’s offer included an upfront payment of approximately $5.4 billion to be held in an escrow account. Instead, Warner Bros. Discovery suggested syndicated letters of credit, a key deviation from the original proposal. The NBA alleges that these modifications constitute a counteroffer, thus giving the league the prerogative to reject it.
"Far from accepting each term of Amazon's offer, TBS's revisions constituted a counteroffer that the NBA was free to reject," stated the league. According to the NBA, if TBS sought linear TV distribution rights, they could have matched NBCUniversal’s separate, more expensive offer. Instead, TBS opted for the less expensive Amazon offer but only after tweaking it significantly. "If TBS wanted linear TV distribution rights, it could have matched a separate more expensive third-party offer from NBC, but TBS elected not to do so, attempting instead to save billions of dollars by combining Amazon's lower price with the linear television rights granted to NBC," elaborated the NBA.
Turner's Response
In response, Turner has defended its actions, focusing on providing value and choice for NBA fans.
"Not only is it our contractual right, but it is in the best interest of the fans who want to continue to enjoy our industry-leading NBA content with the choice and flexibility we offer them through our widely distributed platforms including TNT and Max," stated a spokesperson from TNT Sports.
Looking Ahead
While the NBA seeks a dismissal with prejudice, meaning Warner Bros. Discovery would be unable to file another lawsuit on the same grounds, the latter has until September 20 to file its response. As the battle unfolds off the court, it's evident that the NBA is positioning itself in a rapidly evolving media landscape that now includes powerhouse players like Amazon, signaling a new era for the league’s broadcast strategy.
The NBA’s decision to reject the modified offer by Warner Bros. Discovery underscores the league's commitment to adhering strictly to the terms of the media rights agreement, reinforcing that any deviations, however minor, will not be tolerated. The ongoing legal dispute will surely be one to watch as it progresses, potentially setting precedents for future media rights negotiations in professional sports.