Sumner Redstone

CBS chooses 'nuclear option' against Shari Redstone: It sues to thwart Viacom merger

CBS chooses 'nuclear option' against Shari Redstone: It sues to thwart Viacom merger

CBS Corp. has essentially declared war on its controlling shareholder, Shari Redstone, setting the stage for an epic battle for control of one of America’s oldest and most popular broadcasting companies.

CBS’ board on Monday filed a lawsuit intended to thwart Redstone’s effort to push through a merger of CBS and Viacom Inc., the New York-based media company controlled by the Redstone family.

The legal gambit escalates a high-stakes feud that has been playing out behind the scenes between Redstone and CBS Chairman and Chief Executive Leslie Moonves for much of this year.

“CBS draws first blood,” John Janedis, media analyst with the investment firm Jefferies, wrote in a...

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