Yahoo Lifestyle ‘Wheel of Fortune’ and ‘Jeopardy’ Legal Fight Intensifies as Sony Moves to Take Over Distribution Rights From CBS Amid Lawsuit
UPDATED with CBS statement
Sony Pictures TV aims to take over full distribution of “Wheel of Fortune” and “Jeopardy” as early as next week the studio battles CBS in a lawsuit over their longstanding partnership on the syndicated game show stalwarts.
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Sony Pictures sent CBS a formal letter on the morning of Feb. 3 exerting that it will take over responsibility as early as next week for getting new episodes to the 200-plus TV stations around the country that carry the top-rated game shows. But CBS is fighting the move, creating a tug-of-war around the shows between Sony Pictures Television and CBS’ sales and distribution company.
Sony Pictures has also amended the lawsuit filed in October alleging that CBS’ owes Sony money from past distribution deals, and it claims that CBS has overstepped the boundaries of its distribution contract with licensing deals that it has set up in Australia and other overseas markets. Sony filed suit against CBS in Los Angeles Superior Court in October; CBS countersued in November.
“To facilitate an orderly transition of the distribution functions for the Shows, on January 27, 2025, Sony Pictures delivered to CBS the episodes of the Shows to air the week of February 3 through February 9,” the letter states. “We expect CBS to take all necessary steps to ensure that the episodes are properly delivered to broadcasters. Sony Pictures will begin delivery of episodes of the Shows to broadcasters starting with the episodes scheduled to air the week of February 10.”
CBS responded in the wake of Sony’s move with a letter of its own to station affiliates of both shows, which include Disney and ABC’s three largest O&O stations in New York, Los Angeles and Chicago. CBS flatly asserts to station operators that Sony has “no rights” to assume control of distribution.
“We are aware Sony has informed you that it has purported to assume the distribution functions for Wheel of Fortune and Jeopardy!, and that it has terminated CBS’s distribution arrangement. This communication is false, inappropriate, and ineffective,” CBS said. “Sony has no rights under the distribution agreements to terminate them, and CBS remains the distributor for the Series, notwithstanding any communications from Sony to the contrary. Any contention by Sony that it has reclaimed the distribution rights is subject to ongoing judicial proceedings, and CBS will be seeking immediate relief from the appropriate courts. All business should continue in the usual course.”
Sony’s amended complaint slams CBS for ending its business contract with ratings provider Nielsen, which Sony asserts is hurting the profitability of “Wheel” and “Jeopardy” because the lack of ratings data is handicapping the show’s advertising sales. CBS and Nielsen part ways on Oct. 1 over a dispute about the high cost of Nielsen’s services and the expansion of alternate audience measurement options.
“Following the lapse of the Nielsen agreement, CBS has essentially operated blindly: Effectively fulfilling advertising sales obligations requires evaluation of rigorous, accurate ratings data on a daily or near-daily basis,” the Sony complaint states. “Agencies transacting with CBS are now also operating without ratings data needed to price advertising, heightening the risk that advertising for the Shows will be sold at rates completely divorced from the rates that the Shows could command if dependable ratings data were available. Sony Pictures continues to be harmed by this lack of data every day that passes in the scatter market, and the informational deficit under which CBS and agencies are operating will prove even more harmful come ‘Upfront’ sales, when the majority of advertising for the Shows is sold.”
Sony’s complaints asserts that CBS’ lack of Nielsen data to provide advertisers has cost “Wheel” and “Jeopardy” advertising commitments from Procter & Gamble, the consumer products giant that is historically one of TV’s top-spending marketers.
CBS did not immediately respond to a request for comment.
In late October, after Sony’s initial suit was filed, CBS strongly defended its rights until a more than 40-year-old agreement struck by “Wheel” and “Jeopardy” creator Merv Griffin with King World Productions in 1982 and 1983. Sony acquired Merv Griffin Entertainment in 1994 while King World was scooped by CBS in 2000.
“Our contract is clear that we hold the distribution rights to these series in perpetuity. We strongly refute any claims by Sony that we did not use our best efforts in distributing the programs or otherwise failed to abide by our obligations under the agreements. Sony’s claims are rooted in the fact they simply don’t like the deal the parties agreed to decades ago,” CBS said in a statement in October.
Disney’s ABC-owned stations could wind up caught in the crossfile of the tug-of-war over distribution of the game shows. ABC-owned WABC-TV New York, KABC-TV Los Angeles and WLS-TV Chicago are among the top station affiliates of “Wheel” and “Jeopardy” as the shows are sold in first-run syndication not via a network but to local TV stations on a market-by-market basis. Sony Pictures TV handles production of the episodes while CBS handles all syndication sales, national barter advertising sales, marketing and physical distribution matters.
Sony has asked CBS to provide copies all domestic and international licensing agreements related to the shows as well as all advertising contracts.
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