The league office is considering having commissioner Adam Silver and Michel Jordan step in as mediators to try to resolve the problem, the New York Post reported Monday.
When such a meeting of the four men would take place is unclear although the report indicated it could be early this week.
Tension has existed between Dolan and Oakley for some time, but it became a national story when Oakley was forcibly removed from a Knicks game and subsequently arrested.
Oakland denied that he had done anything wrong, but Dolan then banned Oakley from Madison Square Garden.
Jordan, who owns the Charlotte Hornets, and Oakley were teammates with Chicago and Washington and the two apparently are close friends.