Today : Apr 27, 2025
11 April 2025

Sony Wins Court Battle Over Jeopardy! And Wheel Of Fortune Distribution

A Los Angeles judge rules in favor of Sony, allowing it to take over distribution of the iconic game shows from CBS amid ongoing legal disputes.

The thorny legal issue over who gets to distribute long-running game shows Jeopardy! and Wheel of Fortune has taken a significant turn. On April 10, 2025, a Los Angeles Superior Court judge granted a preliminary injunction to Sony Pictures Television, effectively denying CBS's bid to block Sony from distributing these high-profile shows. This ruling marks a crucial moment in a dispute that has been brewing for some time.

Judge Kevin C. Brazile stated that the court believes Sony had the right to terminate the distribution deals, noting that licensing agreements should typically be limited to a two-year period. However, some deals, particularly in Australia and New Zealand, were found to extend beyond that timeframe. Earlier in 2025, Sony informed CBS and its parent company, Paramount Global, that it was taking over global distribution of the shows, which have been entertaining audiences for over 40 years.

The heart of the issue lies in financial disagreements. Sony accused CBS of licensing the shows at "below market" rates, failing to maximize advertising revenue, and undercutting the shows through practices described as "self-preferencing." For instance, in January 2025, Procter & Gamble halted its advertising, suggesting that CBS's inability to renew its deal with ratings data provider Nielsen played a role in this decision.

CBS has responded strongly to the ruling, announcing plans to appeal. The company contends that the court did not adequately engage with the standard for termination due to material breach in New York. A CBS Media Ventures spokeswoman stated, "We plan to appeal the decision immediately. This is only a preliminary ruling based on partial evidence, not the outcome of the full case. We’re confident once all the evidence is heard at trial, we will prevail on the merits. In today’s ruling, the court itself recognized the balance of harm tips in CBS’s favor, so we will ask the appellate court for a stay pending our appeal."

On the other hand, Sony Pictures Television expressed satisfaction with the court's decision. A spokeswoman remarked, "We are gratified by the Court’s ruling today and we look forward to distributing our shows, Jeopardy! and Wheel of Fortune, to the 200+ stations that license and count on this programming in the U.S. and around the world, and the millions of fans who tune in to these beloved game shows every week." This statement underscores Sony's eagerness to move forward with distribution.

The ruling is significant not just for the two game shows, but also for the broader landscape of television distribution. CBS has long managed the distribution of Jeopardy! and Wheel of Fortune, taking over that role when it acquired syndication company King World Productions in 1999. King World originally struck deals with Merv Griffin Enterprises in the early 1980s to distribute these iconic shows, and those agreements have remained in effect even after Sony acquired Griffin's company.

As viewing habits shift due to the rise of streaming platforms, Jeopardy! and Wheel of Fortune have continued to thrive, remaining among the most-watched syndicated programs on traditional television. The ongoing legal battle highlights the complexities of media rights and distribution, particularly as the industry grapples with changing viewer preferences.

CBS's practice of bundling its shows for licensing and advertising purposes has also come under scrutiny. The court's ruling pointed out that while bundling may be mostly permissible, it could present a conflict of interest by including both CBS and Sony programming. This bundling practice, which CBS has defended, has been criticized for potentially undermining the profitability of Jeopardy! and Wheel of Fortune.

Dale Woods, an affiliate station manager, testified that negotiations with CBS for the Sony shows often included discussions about other CBS programming, stating, "We felt like we had to take the other CBS programming given the importance of Wheel of Fortune and Jeopardy!. Having the rights to broadcast these shows can quite literally make or break you." CBS denied these assertions, claiming that its bundling practices have never harmed Sony's interests.

Furthermore, the absence of an open bidding process for the shows has raised concerns. Unlike the treatment of The Oprah Winfrey Show, the continuous airing of Jeopardy! and Wheel of Fortune by the same stations has limited opportunities for new stations to generate higher bids. The court noted that the 2019 merger between CBS and Viacom had ripple effects, suggesting that CBS did not sufficiently attempt to maximize profits for the shows.

Roxanne Pompa, a former CBS vice president, testified that she was told by network executive Lisa Kramer that Wheel of Fortune and Jeopardy! were "not shows the international formats team should primarily focus on 'because we don’t take in 100 percent of the revenue.'" This statement reflects the challenges CBS has faced in prioritizing these shows amidst its broader programming strategy.

As this legal battle continues to unfold, it remains to be seen how the distribution landscape for these beloved game shows will change. CBS's appeal will be closely watched, as both companies navigate the intricacies of their agreements and the evolving media environment.