Dr. Phil's TV network files for bankruptcy and sues distribution partner

Merit Street Media, the TV web launched past twelvemonth by speech amusement big Phil McGraw, has filed for bankruptcy extortion from creditors and is suing its organisation partner, Trinity Broadcasting Network.

McGraw’s institution filed the suit Thursday successful U.S. Bankruptcy Court claiming Fort Worth-based Christian media steadfast Trinity, oregon TBN, failed to conscionable its obligations to supply workplace abstraction and unafraid TV stations and wage TV distributors to transportation Merit.

McGraw, who hosted the palmy syndicated speech amusement “Dr. Phil” for 21 years, entered a associated task successful 2023 with Trinity, which agreed to transportation Merit connected its TV stations crossed the state and supply accumulation services.

But according to the suit, McGraw is backing the struggling task retired of his pouch — shelling retired $25 cardinal implicit six months. The institution laid disconnected 40 employees successful June and had to terminate its TV woody with Professional Bull Riders aft failing to wage its rights fee.

Merit Street’s Chapter 11 bankruptcy filing lists the company’s liabilities astatine $100 cardinal to $500 million. The document, filed successful Texas, gives the aforesaid scope for the worth of Merit Street’s assets. Like TBN, Merit Street is based successful Fort Worth.

TBN did not respond to a petition for remark connected the suit.

Merit Street carries “Dr. Phil Primetime,” successful which the big delivers right-of-center governmental commentary arsenic good arsenic impermanent interviews. The programme was enactment connected summertime hiatus erstwhile the June layoffs were announced.

McGraw precocious attracted attraction erstwhile the amusement had a camera embedded with Immigration and Customs Enforcement during migration raids successful Los Angeles.

McGraw, erstwhile a practicing psychologist, became a self-help guru propelled to fame by Oprah Winfrey, who hired him to assistance hole her for a libel lawsuit brought by the Texas Beef Group successful 1996. Since leaving his regular speech show, helium has emerged arsenic a governmental commentator who is supportive of President Trump.

Merit besides has a nightly newscast and a existent transgression programme featuring seasoned ineligible commentator Nancy Grace.

The suit claims Merit’s operations were hampered by TBN’s contracted method services, which it described arsenic “comically dysfunctional.” Teleprompters and monitors allegedly blacked retired during unrecorded programs with a workplace audience.

TBN was utilizing “amateur” video editing bundle and Merit unit were incapable to usage phones successful the workplace owed to mediocre cellphone coverage, the suit added.

McGraw’s company, Peteski Productions, launched Merit successful a associated task with TBN, which offers spiritual programming to its TV stations and affiliates crossed the country.

As the bulk owner, TBN was required to supply each backmost bureau and accumulation services for Merit. TBN was besides obligated to screen the outgo of distributing Merit’s programs connected its outlets and wage TV providers, the suit said.

The suit claims TBN failed to supply that service, forcing Merit Street to participate its ain agreements to get the web carried connected TV stations and cablegram and outer providers astatine a outgo of $96 million. TBN’s nonaccomplishment to wage led to a fig of TV stations to driblet Merit Street programming.

The suit besides claims TBN failed to present promised selling and promotional services, lone providing minimal societal media advertising.

TBN missed a $5-million outgo to Merit successful July 2024, which led the partners to alteration the presumption of their arrangement, the ailment said. Merit became the 70% owner, with TBN taking a 30% stake. But the suit claims TBN inactive failed to conscionable its contractual obligations.

The suit said that TBN’s nonaccomplishment to money Merit forced McGraw and Peteski to supply $25.4 cardinal to concern the network’s operations from December 2024 to May 2025.