James Dolan and Isiah Thomas met in Midtown Manhattan on Friday morning, according to two sources.
Thomas has attempted to return to the New York Knicks since he was fired by Florida International last spring.
MSG President Scott O'Neil stepped down this week. O'Neill lobbied to Dolan that rehiring Thomas would be a bad move for the Knicks' brand.
MSG has announced that it is searching for a replacement to fill the president role, which is a marketing position.