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CBS Corp Sues Judge Judy over Show Profits, Alleged Fraud

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

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.

Contact a Denver Business Attorney at Downey & Associates, PC

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.






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