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.
Jon has been business editor of Broadcasting+Cable since 2010. He focuses on revenue-generating activities, including advertising and distribution, as well as executive intrigue and merger and acquisition activity. Just about any story is fair game, if a dollar sign can make its way into the article. Before B+C, Jon covered the industry for TVWeek, Cable World, Electronic Media, Advertising Age and The New York Post. A native New Yorker, Jon is hiding in plain sight in the suburbs of Chicago.
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