Sony Pictures says it removes CBS as game shows' distributor, CBS denies this

Reuters
02-03
UPDATE 2-Sony Pictures says it removes CBS as game shows' distributor, CBS denies this

Adds comment from CBS, saying it will seek a temporary restraining order to maintain business relationships while the dispute plays out

Feb 3 (Reuters) - Sony Pictures Television 6758.T, which produces syndicated TV game shows "Wheel of Fortune" and "Jeopardy!", told distributor CBS Studios on Monday that it is taking back global distribution of the programs because of alleged contract violations by CBS.

A CBS spokesperson said the company will seek a temporary restraining order to keep current arrangements in place while its dispute with Sony plays out in court.

In its letter, Sony said it terminated CBS's distribution rights in August. CBS is a unit of Paramount Global PARA.O.

CBS sent a letter to client TV stations and networks on Monday saying that Sony does not have the right to terminate the distribution agreement and that it remains the distributor of the TV shows.

"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," CBS said in a letter to clients and seen by Reuters.

Sony filed a lawsuit against CBS in October, alleging the distributor had undercut the value of the long-running shows in favor of its own interests.

The studio claimed CBS licensed the shows at below-market rates, both domestically and abroad, failed to maximize ad revenue and bundled the popular game shows with its own less-popular series.

The case is pending in state Superior Court in Los Angeles.

(Reporting by Deborah Sophia in Bengaluru and Dawn Chmielewski in Los Angeles; Editing by Tasim Zahid, Rod Nickel and Cynthia Osterman)

((DeborahMary.Sophia@thomsonreuters.com;))

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