Dolan Family Suing Altice Over Allegedly Violating Cablevision Sale Terms
The Dolan family is suing Altice USA for allegedly reneging on terms of Altice's buy of Cablevision, via ongoing layoffs at News 12 Networks. In a complaint filed Wednesday in Delaware Chancery Court, Cablevision founder Charles Dolan and other family…
Sign up for a free preview to unlock the rest of this article
Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.
members allege Altice agreed in the 2016 takeover to maintain News 12 employment level for at least five years and incur up to $60 million in losses doing so. Plaintiffs allege it cut 70 positions in 2017 and notified them last week of plans to lay off dozens more this week and to cut 10 percent of News 12 staff each successive year. Those downsizings have "no basis in economic reality" given News 12 profitability, according to the suit. Also suing is News 12 anchor Colleen McVey, who is to be laid off this week. The suit asks for a permanent injunction and a court order that Altice operate News 12 in compliance with its business plan at least through 2020. The plaintiffs also filed an accompanying motion for a temporary restraining order. Altice emailed that the suit is meritless and it plans to defend itself "vigorously." It said "our News 12 team is comprised of the most talented journalists and staff in the news business and Altice USA remains committed to offering meaningful news coverage, enhancing our news product for our local communities, and growing our audience."