Judge orders new medical examination of Sumner Redstone
A California judge ordered Friday that Sumner Redstone undergo a mental examination by a geriatric psychiatrist working as a medical expert for his former companion, Manuela Herzer, in her lawsuit challenging his mental capacity.
Allan Mayer, a spokesman for lawyers representing ex-girlfriend Manuela Herzer, said the ruling came in a court hearing in Los Angeles.
“We are gratified that Judge Cowan struck an equitable balance that assures our client has a fair opportunity to prove that her beloved Sumner was not competent when the attorneys had him remove her as his health caregiver”, Herzer’s attorney, Pierce O’Donnell, said in a statement cited by the LA Times.
It’s the latest twist in two parallel courtroom battles over Redstone’s personal care and whether company executives and board members were upfront with shareholders about his ability to lead the multibillion-dollar companies he controls, Viacom and CBS Corp.
Herzer, who was ordered out of Redstone’s house in October, was replaced as the agent on his advance health-care directive by longtime friend and Viacom Chief Executive Officer Philippe Dauman.
The judge rejected a request by Herzer’s lawyers to depose Redstone, according to Gabrielle Vidal, an attorney for Redstone.
A Superior Court judge in Los Angeles agreed to have a mental example performed on Sumner Redstone, who controls Viacom and CBS and whose competence to make decisions about health care and business is being questioned in lawsuits.
The judge said Dr. Read should conduct his one-hour interview with Redstone without Herzer or any attorneys present. “Today’s victory is a major milestone in honoring her commitment”.
Herzer was kicked out of Redstone’s mansion on October 12 and claims the shakeup was initiated without the ailing billionaire’s full understanding and against his best interests. The suit contends that company directors breached their fiduciary duties to shareholders by allowing millions of dollars to be paid to Redstone while he was physically and mentally incapacitated and unable to carry out his duties as chairman.
The details in Viacom’s annual proxy filing covered a period in which its shares fell sharply amid criticism of its generous executive compensation and its corporate governance practices.
Viacom said, the total compensation of Dauman was $54.2 million for fiscal 2015 that ended on September 30. The company’s share price fell about 44% during fiscal 2015 as investors grew concerned about ratings declines at its networks, which include MTV, Comedy Central and Nickelodeon.