Main Street Sports sues Comcast, Charter for underpaid licensing fees

Main Street Sports Sues Comcast and Charter Over Licensing Fees

Main Street Sports, the defunct proprietor of a group of regional sports networks, has filed lawsuits against cable companies Comcast and Charter Communications. The company contends that it was underpaid licensing fees.

According to the lawsuits, which were reviewed by CNBC, Main Street alleges that Comcast and Charter, the United States' top two pay-TV providers, breached their agreements. The company claims these cable providers underpaid during the early part of 2026, when its networks were still broadcasting NBA and NHL games to local markets across the nation.

The legal actions were initiated in Delaware Superior Court on Monday. Representatives for Comcast and Charter had not yet responded to requests for comment.

Main Street, which evolved from the former Fox Sports networks, has experienced multiple ownership changes and name modifications since 2019. The company re-emerged from bankruptcy protection in early 2025, with its channels subsequently adopting the name FanDuel Sports Network. At one point, it managed about 15 channels and, after its bankruptcy exit, broadcast games for approximately 30 teams from Major League Baseball, the National Hockey League, and the National Basketball Association.

However, despite reporting subscriber increases as recently as the spring, Main Street continued to face liquidity challenges, particularly when MLB rights payments were due, as CNBC previously reported. The company had long been burdened by substantial debt.

These financial pressures ultimately led to its planned winddown. While its final local MLB games aired in 2025, the company broadcast the entire NBA regular season, as well as the NHL regular season and the first round of the playoffs this year.

Regional sports networks have been encountering mounting difficulties as the pay-TV bundle continues to lose subscribers. These networks were once a highly profitable business model for teams and leagues, commanding significant fees for airing local games, which in turn supported team payrolls. However, the increasing prevalence of cord-cutting has compelled many pay-TV distributors to revise their arrangements with these channels.

Even the direct-to-consumer streaming services offered by these networks have undergone transformations. Last month, two of New York's independently owned regional sports networks departed their own streaming apps for a new distribution arrangement with the streaming platform DAZN.