Sony is ‘aggressively’ suing CBS over ‘Wheel of Fortune’ and ‘Jeopardy!’: ‘It’s a risky strategy’

Sony is ‘aggressively’ suing CBS over ‘Wheel of Fortune’ and ‘Jeopardy!’: ‘It’s a risky strategy’

Wheel of Fortune And Danger! Staff are caught in the crossfire of an ugly lawsuit involving the show’s bosses – causing uncertainty and nervousness that is affecting the workplace, a source exclusively reports Closer.

“Sony Pictures Television’s new bosses aren’t happy that its two highest-rated shows are in syndication Danger! And Wheel of Fortune and they are choosing to be very aggressive with their long-time distribution partners at CBS when it comes to exactly how these shows are monetized,” says a senior insider of the situation.

Sony, the producer of the two shows for the past two years, is reportedly suing CBS, the shows’ distributor, for breach of contract. Sony claims the network entered into licensing deals it didn’t approve of for the two products and then turned around and paid itself a commission on those deals. They also allege that CBS licensed the shows at a price far below what would be expected and failed to maximize advertising revenue.

“The reality is that CBS significantly undermined the value of these programs in favor of its own self-interest and in violation of its contractual obligations,” the complaint states.

CBS currently receives a 35 to 40 percent commission from stations that are authorized to broadcast the programs. However, Sony claims that CBS’s operations in Australia and New Zealand violated the previous agreement and CBS is refusing to pay out the millions in revenue generated from these deals.

Sony Sues CBS Over 'Wheel of Fortune' and 'Jeopardy!' (EXCLUSIVE)

Sony Sues CBS Over ‘Wheel of Fortune’ and ‘Jeopardy!’ (EXCLUSIVE)

The insider argues: “It’s a risky strategy to sue people you do business with on a regular or even daily basis, but at Sony there’s a feeling that these shows are worth a lot more than anyone realizes, and they currently have a lot of influence.” because their creative choice to choose Ryan Seacrest as Pat SayakThe replacement has given the show a ratings boost not seen in years.”

Ryan, 50, recently took over as presenter from screen icon Pat, 78. With the infusion of new blood into the show Wheel of Fortune hit a three-year high in ratings, according to Neilson. The game show’s future looks bright, which may be why Sony has decided to launch a legal battle to get its money’s worth from CBS.

“Sony is out for every penny these shows are worth, and it may seem a little heartless if you’re a long-time crew member on one of these shows, but redefining the distribution relationship is intended to make both shows more profitable and extend their reach.” “ adds the insider.

With a popular host like Ryan at the helm, Insider says there are also other considerations from Sony that directly relate to retaining viewer-friendly talent: “It’s also about signing Ryan for a longer period of time than his current two – Annual contract. This will be the bill Sony will have to pay, and while they may have created short-term uncertainty with this lawsuit, top executives truly believe it will be good for the health of the franchises in the long term.”

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