Viacom to Pay for Lawsuit by Dauman

Independent directors agree to cover costs in suit versus Redstone
Author:
Publish date:
Social count:
0
pg1021494.jpg

Viacom has agreed to pay the costs of the lawsuit brought by CEO Philippe Dauman and another director against controlling shareholder Sumner Redstone.

The move, the latest in an epic battle for control of Viacom, was disclosed in papers filed with the SEC.

After Dauman and George Abrams found out Redstone wanted to remove them as directors of National Amusements and trustees of the Redstone Trust that will control the 93-year-old mogul’s media empire when he dies, they sued in Massachusetts charging the action was improper and that Redstone was acting under the undue influence of his daughter Shari Redstone.

Subsequently, National Amusements announced that it was replacing five Viacom directors, including Dauman and Abrams.

Viacom directors, led by lead independent director Fred Salerno filed suit in Delaware charging their dismissal was improper and that Sumner Redstone was under the influence of his daughter.  

Related