Judge weighs CBS shareholder challenge to ex-chairman's pay
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WILMINGTON, Del. — Attorneys for CBS Corp. and former Executive Chairman Sumner Redstone are asking a Delaware judge to dismiss a shareholder lawsuit challenging payments of more than $10 million to the 94-year-old media mogul while he was allegedly incapacitated and unable to perform his duties.
The lawsuit accuses CBS directors of acting in bad faith and wasting corporate assets in approving the payments to Redstone, including a $9 million bonus for 2014 and $1 million last year to the company's controlling stockholder and chairman emeritus.
The judge heard arguments Friday but did not say when he would rule.
The defendants argue that the payments were approved by an independent compensation committee and that the complaint has failed to demonstrate any reason for the court to second-guess their business judgment.