Miami Marlins return to Diamond Sports as MLB tears up network's FanDuel naming rights process

It has now been confirmed that two Major League Baseball teams are included in Diamond Sports Group's 2025 broadcast plans assuming the company successfully emerges from bankruptcy: the Atlanta Braves and, as recently revealed in court on Friday morning, the Miami Marlins.

More clubs could be added to the list, but for now, six teams that were televised by Diamond last season remain in limbo: the Cincinnati Reds, Detroit Tigers, Kansas City Royals, Los Angeles Angels, St. Louis Cardinals and Tampa Bay Rays.

“There are two teams,” Joe Graham, an attorney for Diamond Sports Group, said in federal bankruptcy court. “Obviously we are in negotiations with other teams … about staying on the roster.”

James Bromley, an attorney for Major League Baseball, said there would be “at least two,” but added that the league would try to combat Diamond's continued relationship with the Braves.

Diamond's “plan of reorganization currently includes taking over the executory contract from the Atlanta Braves, which we will reject, as well as continuing the relationship with the Miami Marlins,” Bromley said.

The question of MLB's future with Diamond was raised in a last-minute hearing Friday morning as Diamond sought approval for its new multi-year naming rights deal with FanDuel, which begins Oct. 21 and replaces the Bally branding that symbolizes the Diamond channels currently have.

Bromley sharply criticized the lack of information provided by Diamond about the sealed deal. In court, Graham said the contract calls for two terms: one for this NBA and NHL season and another that automatically begins May 1, 2025.

“FanDuel pays Diamond a fixed naming rights fee and commits to a minimum annual media spend,” Graham said. “There will obviously be a smaller amount paid for the upcoming season and then there will be a larger compensation agreement for the future multi-year extension.”

Graham said FanDuel also has access to equity as part of the deal, with “an option to purchase up to 5 percent of the reorganized company's equity and performance guarantees for up to an additional 5 percent.”

MLB argued that Diamond had months to provide the league with information about the naming rights plan and never did so, pointing to its concerns specifically about FanDuel, a sports betting company, as a naming rights operator.

“This should not be happening and it is not consistent with the way the debtors should conduct this case. “These are applications submitted in ambush,” Bromley said. “It is critical for Major League Baseball and its clubs to participate in any conversation regarding integrating online sports betting into their sports content.”

Judge Chris Lopez and Bromley had a briefly heated exchange.

“I thought MLB wanted out,” Lopez said. “Why is –”

“We want out, your honor,” Bromley replied. “But you know what-”

“Then what’s the problem? If you’re outside, why do you want to know?”

They briefly tried to talk over each other.

“Wait a minute, Mr. Bromley, I'm just trying to reconcile the two statements… I don't want to argue with you,” Lopez said.

In the end, Bromley seemed to convince Lopez that MLB needed more information.

“The reorganized entities will have access to and televise Major League Baseball content, if the plan is confirmed,” Bromley said. “So that’s not out. … If it was one baseball club it would be enough, but actually there are two and maybe there will be more. But at the moment it looks like at least two, and that’s why we are a party of interest.”

Lopez instructed Diamond to show MLB more about the deal and ultimately approved it.

“Mr. Graham, why can't the MLB at least see the part that they need to see to give them peace of mind that no one is extending anything in terms of the rights to the MLB?” Lopez said. “He has to be able to “It’s about understanding the language and getting used to it.”

Some decision on Diamond's future is expected to come in mid-November. Nov. 14 marks the start of a possible two-day confirmation hearing, during which the judge will consider whether Diamond has a viable plan or restructuring.

Bromley announced Friday that MLB plans to file formal objections to confirming the plan.

“We have objections and will address them in the context of the confirmation hearing,” Bromley said.

Bromley said in an earlier hearing that MLB and Diamond are in negotiations to resolve Diamond's relationships with MLB teams before the big court date in mid-November.

Diamond Sports Group carried 12 MLB teams last season. Four teams have announced they will not be returning: the Cleveland Guardians, Milwaukee Brewers, Minnesota Twins and Texas Rangers.

With the new naming agreement, Diamond's 16 owned and operated RSNs include: FanDuel Sports Network Detroit, FanDuel Sports Network Florida, FanDuel Sports Network Great Lakes, FanDuel Sports Network Kansas City, FanDuel Sports Network Indiana, FanDuel Sports Network Midwest and FanDuel Sports Network North, FanDuel Sports Network Ohio, FanDuel Sports Network Oklahoma, FanDuel Sports Network SoCal, FanDuel Sports Network South, FanDuel Sports Network Southeast, FanDuel Sports Network Southwest, FanDuel Sports Network Sun, FanDuel Sports Network West and FanDuel Sports Network Wisconsin.

“Partnering with Diamond provides us with the opportunity to place the FanDuel brand at the intersection of the nation's largest group of regional sports networks,” Mike Raffensperger, president of sports at FanDuel, said in a media release. “A large cohort of FanDuel customers are loyal RSN viewers and this agreement allows us to further solidify the FanDuel brand among sports fans and provides a unique means of rewarding our users.”

Diamond CEO David Preschlack said in the same press release, “Working with FanDuel provides Diamond with a tremendous opportunity to enhance the fan experience and deepen the value we provide to our team, our league and our distribution partners.”

(Photo: Matt Thomas / San Diego Padres / Getty Images)