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In a dramatic turn of events, Warner Bros. Discovery has filed a lawsuit against the NBA, alleging a breach of contract due to the league's sale of a broadcast rights package to Amazon. The lawsuit marks a significant escalation of tensions between the long-time partners.

Warner, which owns TNT Sports, firmly believes that it has the right to match and potentially take over the deal with Amazon as per their previous rights agreement with the NBA. The company expressed its disappointment with the NBA's rejection of their matching offer, leading them to take legal action to enforce their rights.

However, NBA spokesman Mike Bass swiftly responded to the lawsuit, dismissing Warner Bros. Discovery's claims as baseless. He assured that the NBA's legal team would address the matter accordingly.

Last week, the NBA approved media rights deals with Amazon, Comcast-owned NBC, and Disney-owned ESPN and ABC. These deals, set to take effect from the 2025-26 season, boast a total value of $76 billion over 11 years. Amazon's share of the agreement is estimated to be worth $1.8 billion annually.

The 108-page complaint was filed in a New York state court, stating that the NBA had no grounds to disregard TNT's matching rights. Despite some differences between the deals, such as Amazon being a streaming-only company while Turner operates as a cable network, the lawsuit argues that these distinctions do not invalidate the matching provision.

Warner Bros. Discovery is seeking injunctive relief to prevent the NBA from finalizing the deal with Amazon. The company emphasizes the significance of the NBA to its business, citing the fees it charges cable companies and the promotional benefits of live games, commonly referred to as the "halo effect."

If injunctive relief is not granted, the lawsuit also requests monetary damages for Warner. The outcome of the legal battle may potentially lead to settlement talks, with suggestions ranging from TNT continuing to broadcast a limited number of regular-season games or retaining NBA TV rights and the popular pre- and postgame show, "Inside the NBA," for highlight rights.

Speculation within the industry varies on the possible outcomes of the lawsuit, including the potential for a financial settlement or Warner's attempt to sell the last package of games under their current NBA deal.

For over three decades, TNT Sports has been the broadcast home of the NBA. Charles Barkley, one of the stars of "Inside the NBA," released a statement expressing doubt about TNT's chances of securing the rights. He noted that while TNT matched the monetary offer, the NBA recognized that tech companies like Amazon are the ones willing to invest in future rights deals.

Barkley also mentioned in an interview that he has spoken with the NBA's remaining media partners and is open to considering job offers while continuing to appear on "Inside the NBA" next season.