Comcast, Warner Bros. Discovery Settle Lawsuit Over Refusal to Partner on Harry Potter Series

Comcast's Sky and Warner Bros. Discovery have settled a lawsuit over alleged breaches to a 2019 deal for exclusive rights to shows.

Lawyers for both sides on Monday informed the court of an agreement to resolve the case. Terms weren't disclosed.

More from The Hollywood Reporter

• Comcast Nabs Max U.S. Bundling Rights Via Warner Bros. Renewal Deal for Xfinity, Sky UK

• New Aaron Hernandez Doc Set at ID Turns Focus on Connecticut Community

• Outgoing Warner Bros. Boss Kathleen Finch Talks Leveraging 'Harry Potter' IP: "We Know What Our Audiences Want"

The companies "agree to the dismissal" of "all claims in the action," the filing stated. "Every party will bear its own fees and costs."

On Monday, Comcast and WBD also unveiled renewal of a distribution deal across Xfinity and Sky UK that includes the company nabbing rights to bundle ad-supported version of Max and Discovery+ in its streaming packages. Under the agreement, the upcoming Harry Potter series will reach Sky in the U.K.

In a lawsuit filed in September, Sky alleged that WBD is obligated to offer the opportunity to partner on at least four shows per year, including the upcoming Harry Potter series, but "fell far short of that mark" for nearly the entire duration of the deal.

Instead, WBD "largely disregarded the parties' agreement and sought to keep the Harry Potter content for itself so that" it can be used as the "cornerstone of the launch of its Max streaming service in Europe," the complaint stated. Sky sought a court order that would force the David Zaslav-led company to bring it on as a co-producer on the production.

WBD has denied allegations, maintaining that the disputed licensing deals expire at the end of 2025. It said that the lawsuit was a maneuver to gain leverage in negotiations over the distribution deal.

Under the disputed deal, WBD must offer Sky the opportunity to co-produce at least four original shows per year from 2021 to 2025. The lawsuit said that Sky is required to select a minimum of two and has "complete discretion" to pick from the proposed slate.

Sky claimed that WBD failed to live up to its end of the deal from 2021 to 2023. The dispute reached a boiling point when WBD issued a press release announcing that Max had officially greenlit a new Harry Potter series, which is expected to debut in 2026. Sky said that the show meets all of the criteria for a title that it must be offered: one hour in length per episode, plans for multiple seasons and produced by Warner Bros. Television for premiere on Max. When asked about the opportunity to co-fund the series, WBD stated in a 2023 email that it's "impossible" to meet certain provisions of their agreement since "actual circumstances of production preclude HBO Max from ever presenting Sky with four series in one year," according to the complaint.