The article, which was headlined "Grade's ITV is in a classic lose-lose situation", appeared in The Times on March 7 and is still available online. However, the online version has been marked "This article is the subject of a legal complaint".
It concerns Grade's conduct before he left his role as BBC chairman in 2006 to join ITV.
Grade and ITV have jointly complained to The Times, but the broadcaster has not commented on the letter. Reports claim that Grade has threatened to sue if he does not get an apology.
According to Press Gazette, which spoke to a lawyer from The Times, the newspaper is investigating and a response to Grade is expected by the end of the week.
The lawyer said: "The Times has no wish to be involved in any sort of dispute with Michael Grade. There is no bad feeling, or any history we are aware of.
"We very much wish to resolve this without litigation -- but we will also defend our position, if we feel we should."
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