CBS Sued Over Failure To Pay Profits And Judge Judy's $47 Million Paycheck

Judy Sheindlin, host of CBS' Judge Judy and long-time layer-down of the televised law, has been earning $47 million annually for the last few years according to FORBES estimates. But despite her hefty paycheck, which helped Sheindlin become one of America's Richest Self-Made Women, one of the show's original packaging companies Rebel Entertainment Partners says CBS has failed to pay it millions in profits in a complaint filed today.

Rebel Entertainment, the tiny talent agency which originally helped package the series according to Deadline, says it has been denied contractually obligated payments since 2010 from money earned through syndication of the 19-season CBS Television-distributed Judge Judy, Deadline reports. In what seems to be a stellar example of wacky Hollywood accounting, back in 2013 the show appeared to be losing money on paper, while paying Judge Judy herself around $45 million a year.

“In the six-month accounting period prior to Sheindlin [2013] pay raise, the Show reported net profits of $3,572,195, of which 5% ($178,609) was paid to Rebel,” alleges the the talent agency. “In the six-month accounting period after Sheindlin's pay raise, however, Defendants reported net profits of negative $3,195,217, of which 5% (negative $159,761) was allocated to Rebel.”

Rebel claims Judge Judy has grossed over $1.7 billion since hitting the air in 1996, but it seems the defendants are upset at not getting a larger slice of a huge pie. Rebel have received regular payments over the years since 2010, but accuse CBS of purposefully licensing the show to CBS corporate affiliates for below-market fees.

The talent agency also takes issue with Hot Bench, another court show helmed by Sheindlin. Rebel Entertainment asserts it was supposed to pocket a packaging fee for any subsequent shows, but that Judge Judy's producers did not consult with Rebel Entertainment over the new show or pay it anything, despite  the show having "the same producers and directors as Judge Judy, and the original name of Judge Judy was, in fact, ‘Hot Bench.’"

“The fact that [Rebel Entertainment's] Richard Lawrence is complaining about my salary is actually hilarious," says Judge Judy Sheindlin in a written statement in response to the lawsuit. "I met Mr. Lawrence for 2 hours some twenty-one years ago. Neither I nor anyone involved in the day-to-day production of my program has heard from him in 20 years. Not a card, not a gift, not a flower, not a congratulations."

"Yet he has somehow received over $17,000,000 from my program," continues Sheindlin, who at 73 continues to rule her corner of daytime TV. "My rudimentary math translates that into $8,500,000 an hour for Mr. Lawrence. Not a bad payday. Now complaining about not getting enough money, that's real chutzpah! Since I have not spoken with Mr. Lawrence in over 20 years to suggest that he had any involvement in my creating Hot Bench is equally laughable.”

The most suspect part of the filing: its assertion that Sheindlin's paychecks are far higher than other non-scripted TV hosts. It suggests that in paying Sheindlin as much as $47 million, the show is taking money away from other partners (namely, Rebel). 

But it's worth noting that Sheindlin is not the highest-paid TV host--not by a long shot. That honor goes to Ellen DeGeneres, who banked an estimated $75 million pretax between June 2015 through June 2014 (the most recent scoring period). Next up is Dr. Phil McGraw, who tallied $70 million in that time frame, and Ryan Seacrest, who made an estimated $60 million. Those earnings pale in comparison to radio host and American Idol panelist Howard Stern, who banked an astronomical $95 million. Grossly out of order with other stars? Perhaps not.

Sheindlin, who is worth an estimated $250 million, need not worry about this ruling. The L.A. Superior Court will pass judgment.