The happiest place on Earth is anything but when it comes to Sling TV. The Walt Disney Company has filed a lawsuit against Dish Network’s digital streaming arm, accusing the service of violating its licensing agreement by rolling out new pay-per-view-style bundles without the studio’s consent. The case was filed Tuesday evening in U.S. District Court for the Southern District of New York, and at its core is Sling’s new “passes” system. These mini-packages — launched just in time for the kickoff of college football and the NFL season — allowed customers to buy a day, weekend, or week-long subscription for as little as $4.99, which is a far cry from Sling’s regular $45.99-per-month base package.
Disney, which controls ESPN, ABC, FX, and other major networks, was not amused. A Disney spokesperson told Deadline:
“Sling TV’s new offerings, which they made available without our knowledge or consent, violate the terms of our existing license agreement. We have asked the court to require Dish to comply with our deal when it distributes our programming.”
The “passes” may sound like a harmless consumer-friendly innovation, but to Disney and other programmers, they represent a direct challenge to decades of precedent in the pay-TV world. For years, carriage deals required operators to sell monthly (or longer) subscriptions, ensuring stability and reducing churn. Sling’s quick-on, quick-off passes could encourage customers to dip in only for marquee events like football games or the Oscars, then cancel immediately after.
Disney says Sling’s move was never discussed, much less approved. Sling, on the other hand, insists its partners were briefed and that the initiative reflects the modern streaming era.
What Did Sling Say About Disney’s Lawsuit?
In a statement, Sling called the lawsuit “meritless” and doubled down on its pitch to consumers.
“We are proud of launching our new passes, which were designed to redefine streaming and give viewers more flexibility, more choice and more control over how they watch live TV,” the company said. “We will vigorously defend our right to bring customers a viewing experience that fits their lives, on their schedule and on their terms.”
The clash isn’t surprising. Dish and Sling’s history is filled with bruising fights against media companies. A decade ago, Dish’s infamous “Hopper” DVR automatically skipped commercials, sparking lawsuits from virtually every major broadcaster before a settlement in 2016. The company, led by combative co-founder Charlie Ergen, has also had lengthy blackouts with CBS, HBO, and Univision due to its hardline negotiating tactics. Stay tuned for more.
