Viacom CEO Waits For Redstone Ruling

Philippe Dauman

Embattled Viacom CEO Philippe Daumans — who has spent the last few days on the French Riviera at the Cannes advertising festival — should learn this week whether a judge will grant his demand for an “immediate” mental examination of controlling shareholder Sumner Redstone.

The NY Post reports Dauman’s lawyers believe the examination will show the ailing mogul didn’t have the mental capacity to oust him and fellow director George Abrams from the board of Redstone’s National Amusements Inc. and a family trust.

Dauman and Abrams have sued to block their removals, claiming the 93-year-old tycoon is being manipulated by his daughter, Shari. She sits on the NAI board and on the seven-member family trust that will eventually control Redstone’s $40 billion empire.

Redstone’s mental capacity is also taking center stage in a separate lawsuit playing out in Delaware over the mogul’s move to boot Dauman and four other directors from Viacom’s board.

The argument in both cases is that Redstone was not of sound mind in stripping Dauman and others from their corporate responsibilities, but was unduly influenced by Shari.