Viacom chief executive Philippe Dauman and George Abrams received welcome news on Thursday from MA probate judge George Phelan, who is allowing the duo to move forward in their lawsuit contesting removal from the seven-member Sumner M. Redstone National Amusements Trust.
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The issue is whether the 93-year-old Redstone knew what he was doing when he removed Dauman and Viacom board member George Abrams in May from the seven-person trust that will control his majority ownership of Viacom and CBS Corp when he dies or is incapacitated. They also want to be reinstated to a trust that was set up to oversee Mr. Redstone’s holdings upon his death or incapacitation.
Redstone spokesman Mike Lawrence says that in the motion to dismiss “the court was required by law to assume all of Mr. Dauman and Mr. Abrams’ allegations as true, including those which we will prove false as this case progresses”.
In his 76-page ruling, Judge George Phelan of the Norfolk County Probate and Family Court said the case should proceed and that a speedy trial could begin in October. But he allowed Dauman and Abrams’ lawyers to see his medical records going back to the beginning of 2015.
In California, a judge has dismissed a suit by Redstone’s ex-girlfriend Manuela Herzer alleging he was incapable of making the decision to kick her out of his house, and requesting that she be reappointed his caretaker. Instead, he only said that Mr. Redstone was convincing in his desire to have Ms. Herzer out of his life.
The Redstones have thus fallen short in arguments that Redstone’s authority is suspended only if he is deemed “mentally incapacitated” – which he has not been by any court – and that any dispute should occur in California where he now resides and administers the National Amusements Trust.
Mr. Redstone’s legal team has said that ultimately neither the mogul’s current health nor his daughter’s alleged influence are relevant to the removal of the two men.
Dauman and Abrams claimed in their lawsuit that Redstone is “suffering from overwhelming physical ailments, including an inability to speak, stand, walk, eat, write or read”.
In a statement through her attorney she said she believes the judge will find that her grandfather “was manipulated by, lied to, and unduly influenced by Shari in her unquenchable thirst to illegally seize control of her father’s media empire”. We use cookies to improve your browsing experience. Viacom’s properties include MTV, Paramount Pictures, Nickelodeon, and Comedy Central.
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In a separate case in DE, a United States judge has temporarily allowed five directors of Viacom to keep their board seats for now, blocking Redstone’s efforts to oust them. A hearing in that case is scheduled for Friday.
