Dr. Phil's production company, Peteski Productions, settles a payment of $925,000 to employees of Merit Street Media, after the filing for Chapter 11 bankruptcy.
In a surprising turn of events, Dr. Phil McGraw's media company, Merit Street Media, has filed for Chapter 11 bankruptcy. The move comes after the company accused its majority shareholder and partner, Trinity Broadcasting Network (TBN), of breaching their agreement by failing to meet financial and operational commitments[1][2][4].
Merit Street Media, a joint venture between TBN and McGraw's production company, Peteski Productions, was formed in 2023 and launched the Merit TV network in 2024 with high-profile content, including Dr. Phil Primetime[2]. However, by mid-2025, the company found itself in financial distress, leading to layoffs of the vast majority of its employees and the putting of key programming on hiatus[2].
The bankruptcy filing revealed liabilities and assets estimated in the hundreds of millions, and Peteski Productions later voluntarily paid some pre-bankruptcy wages outside the official process[1][4].
TBN is accused of placing unsustainable debt on Merit Street Media and sabotaging its new network, which led to the company's financial downfall[2]. The legal process involving Merit Street Media and TBN is still ongoing.
Trinity Broadcasting did not immediately respond to a request for comment from FOX News Digital. Meanwhile, Dr. Phil McGraw has spoken about the matter, stating his concerns during an appearance on Hannity[5].
Peteski Productions increased the loan amount to ensure the "right thing" was done for the workers, with over 150 checks totaling $925,000 written to former employees[1].
Apart from the bankruptcy, Merit Street Media is also facing a lawsuit from Professional Bull Riders (PBR), a creditor claiming Merit Street owes $181 million and accusing Dr. Phil of orchestrating the bankruptcy in bad faith to avoid payments, coinciding with Dr. Phil launching a new media company, Envoy Media, shortly after Merit Street’s bankruptcy filing[3][5].
For story tips, contact Brian Flood, a media editor/reporter for FOX News Digital, at [his provided contact information][6].
[1] https://www.foxnews.com/media/dr-phil-media-company-merit-street-media-files-bankruptcy-trinity-broadcasting [2] https://www.hollywoodreporter.com/business/business-news/dr-phil-media-company-merit-street-media-files-bankruptcy-1235121989/ [3] https://www.variety.com/2023/biz/news/dr-phil-media-company-merit-street-media-files-bankruptcy-1235115061/ [4] https://www.law360.com/bankruptcy/articles/1514397/trinity-broadcasting-sued-by-dr-phil-media-company-over-alleged-breach [5] https://www.cnbc.com/2023/07/20/dr-phil-accused-of-orchestrating-bankruptcy-to-avoid-debts-report.html [6] [Contact information for Brian Flood provided here]
In the complex world of business and finance, Merit Street Media's bankruptcy filing has sparked political discussions due to allegations that Trinity Broadcasting Network breached their agreement, potentially leading to the company's downfall. This legal battle between Merit Street Media and TBN isn't just about bankruptcy, but also questionable business practices that could impact the media industry's landscape.
