Who knew this sleepy-town family court judge would one day be the center of contention surrounding a multi-million-dollar lawsuit. Well, it appears Los Angeles superior court Judge Yvette Plazuelos has ruled that Judge Judy Sheindlin’s agent, Rebel Entertainment Partners, can go ahead with their lawsuit against CBS television.
Unless there is some sort of pre-trial resolution, the trial is set for October 23, 2017.
Judge Judy’s Salary Case Details and Allegations
CBS Corp Sues Judge Judy over Show Profits, Alleged Fraud | Denver Business Attorney
The following case details and allegations surrounding Judge Judy’s controversial salary case were gather from new reports and court documents:1
Rebel Entertainment Partners filed the lawsuit on March 14 claiming that it is entitled to 5% of the show’s profits, but haven’t received a payment since 2010.
In 2010, reality show star and judge Sheindlin’s salary doubled. The former family court judge now makes an estimated $47 million salary.
Besides not getting paid for six years, Rebel claims it’s owed money from Sheindlin’s spin-off show called "Hot Bench."
Rebel also claims it believes it was snubbed of its share of profits because of Sheindlin’s high salary. Sheindlin is not named in the lawsuit.
The lawsuit alleges that CBS has made gross revenues of $1.7 billion since it first aired in 1996.
CBS fired back on April 15, 2016 with allegations of fraudulent misrepresentation. CBS claims the plaintiffs’ are misrepresenting their role with regard to Sheindlin’s success and that they are not entitled to any profits.2
For her part, Sheindlind says the plaintiffs cannot claim they was behind her success and that they not entitled to any profits either.
Why it is Important to Create Profit-Sharing Agreements
Before you close a big deal between two separate companies or entitles. it’s important that you draft up and make a contractual binding profit agreement, so that there’s no disputes further down the road. Here’s a few things to keep in mind when wanting to make a profit sharing agreement:
Ratios – Profit sharing agreements are typically expressed in terms of ratios. For instance, if there are three partners sharing profits of an agreement one partner could take 50 percent of the profits, another 30 percent and the later 20 percent.
Rules – The rules will spell out individual responsibilities each partner will contribute to the agreement.
Restrictions – The restrictions would also make stipulations on the kind of decision making authority each partner might have. The restrictions would also make allowance in the event a partner died, or decided to buy out or opt out. It would also spell out the terms for dissolution of the agreement.
Does your business agreement or partnership need a profit sharing agreement? If so, contact Denver Business Attorney Thomas E. Downey. Since 1983, Thomas Downey and his faithful legal team at Downey & Associates, PC, have been providing legal representation to business clients for all kinds of business-related matters, including partnership agreements, profit sharing agreements and contract negotiations.
Let us take the hassle out of drafting complicated business agreements, call our Denver business attorney today at (303) 813-1111 or by email him us using the contact form on this page.
We’re based in Englewood, but we serve clients throughout Colorado and the U.S.
1“Judge Judy's $47m salary at the center of lawsuit against CBS” published in the Guardian, July 2016.
2“CBS Sees ‘Judge Judy’ Lawsuit Over $47M Salary & Profits Get Trial Date” published in Deadline, July 2016.
Business succession planning can be pivotal to protecting your investment in an enterprise and ensuring the longevity of that enterprise. While there is no cookie-cutter way to plan for the succession of a business, however, avoiding the following mistakes can be key leaving a business on your terms and minimizing your liabilities in the process.
Don’t Make These Business Succession Planning Mistakes
Assuming a family member will take over the business – Although family members may have helped start or run a business, they may not be willing to assume a leadership role when an owner is ready to retire. And making this assumption without speaking to family members can create extra stresses and complications in the succession process, especially if the selected successor is already committed to pursuing other professional endeavors.
Selecting an unqualified successor – Depending on the nature and size of a business, the right successor to take the helm may need to be someone with managerial, business or other experience. If, however, the business is left to someone who is not qualified to run it, the chances are that the business will not remain successful or profitable for as long as it could had a qualified successor been chosen.
Not sharing the plan with heirs or successors – Although business succession planning may cause some competition and conflict, discussing the plan – especially with those who may be successors – is critical, as this can help identify some extra plans that may need to be made now to avoid additional pitfalls or complications in the future.
Waiting too long to start the planning process – Business succession planning is a process that, in some cases, can take years to finalize. In fact, it’s generally advised that business owners start thinking about succession planning about 5 to 10 years before they plan on retiring. Waiting too long can force owners to compromise their plans. It could also come at an added expense, especially if an accident, illness or some other event forces a quick sale of the enterprise.
Developing a plan without the guidance of an attorney – This may be the single biggest mistake that can be made in business succession planning, as not working with a lawyer can significantly increase the chances of costly oversights, especially when it comes to tax issues, the sale of the business, etc.
For well over three decades, Thomas Downey and the other legal professionals at Downey & Associates, PC, have been providing individuals and businesses with the highest level of legal service for their litigation, business, property tax and real estate legal issues.
To learn more about our various services and how we can assist you, call us at (303) 813-1111 or email us using the contact form on this page. From our law offices in Centennial, we serve clients throughout Colorado and the U.S.
Leaving a business can be one of the biggest financial moves a business owner makes during his lifetime. When this time comes and owners have developed an effective exit plan, they can position themselves to leave on their terms – maximizing the possible payouts they receive while minimizing the associated tax liabilities.
To underscore the importance of good business exit plans, below, we will answer some commonly asked questions about them. When you are ready to put your business exit plan in place – or when you need any assistance resolving a business legal issue, don’t hesitate to contact a Denver business attorney at Downey & Associates, P.C.
Answers about Exiting a Business
Q: I’m not even considering leaving my business yet. When should I start thinking about my exit plan?
A: Generally, it is recommended that business owners start thinking about exit planning now even if they are planning to stay at their business for a while – even for the next 10 years or more. That’s because, ideally, they are going to want to initiate the exit plan they have developed between 3 and 10 years before they want to step away from their business.
It is critical to note here, however, that life circumstances (like, for instance, an illness or accident) can sometimes force business owners to have to leave their businesses before they intended. This is another important reason to have a business exit in place so that you – and your business – are prepared for (and won’t suffer losses in the event of) this contingency.
Q: What happens when owners don’t develop business exit plans?
A: Without a business exit plan, business owners may be forced to compromise some of their goals and objectives for leaving the business. In more constrained situations, such compromises can be as costly as they may be stressful and frustrating. And this is all avoidable.
Q: What types of issues are involved in business exit planning?
A: Generally, the issues to consider when you are developing your business exit and succession plan include (but are by no means limited to):
Tax planning
Business due diligence and evaluation
Sale versus succession
Other exit strategy issues.
Q: What’s the biggest benefit of exit planning?
A: The biggest advantage to having a business exit plan in place is that owners get to walk away from their business on their terms with the least possible losses/liability and the greatest possible returns.
The bottom line is that business owners have likely worked hard to build their businesses And business exit plans can help them protect their interests, investments and hard work.
Contact a Denver Business Attorney at Downey & Associates, PC
For experienced help resolving any business legal issue, contact Denver Business Attorney Thomas E. Downey. Since 1983, Thomas Downey and the other legal professionals at Downey & Associates, PC, have been providing individuals and businesses in the Denver Metro Area and throughout the U.S. with the highest level of legal service for their business, litigation, & property tax legal issues.
To learn more about your rights and options, as well as our various services, call us at (303) 813-1111 or email us using the contact form on this page. From our law offices in Centennial, we serve clients throughout Colorado and the U.S.
Downey & Associates PC represents clients in Denver and in the surrounding Colorado communities including Englewood, Littleton, Aurora, Greenwood Village, Broomfield, Boulder, Westminster, Fort Collins, Colorado Springs, Adams County, Denver County, Arapahoe County, Douglas County, Jefferson County, Boulder County, Larimer County and El Paso County.
