Sumner Redstone, chairman emeritus of Viacom Inc. and CBS Corp., and his family have agreed to settle a long-standing legal dispute with former companion Manuela Herzer, The Wall Street Journal reported, citing people familiar with the matter.
As part of the settlement, Herzer agreed to pay back $3.25 million of the gifts that she received from Redstone, sources said, adding that the agreement will end all litigation between both sides.
The settlement comes less than a week before a trial was set to begin in California.
The dispute started in 2015 when Redstone removed Herzer from his Beverly Hills mansion, replaced her as his healthcare agent and wrote her out of his estate planning.
Redstone, 95, reached a settlement with Herzer in 2016 over claims that he is mentally incompetent.