Phil McGraw’s Merit Street Media Files for Bankruptcy, Sues Distribution Partner Trinity Broadcasting

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Dr. Phil McGraw’s company, Merit Street Media, has initiated bankruptcy proceedings, and it’s also taking legal action against its distribution partner, Trinity Broadcasting, claiming a violation of their contractual agreement.

Merit Street is only two years old, having begun operations in early 2024 with a talk show led by McGraw serving as its primary program. In a recent filing, the company has announced bankruptcy due to a tight cash flow situation and an unsuccessful attempt to acquire more funding from external sources. Additionally, it points out ongoing legal disputes with Trinity Broadcasting and the Professional Bull Riders as complicating factors.

In connection with a Chapter 11 bankruptcy filing made at the North Texas Division of the U.S. Bankruptcy Court (Merit Street being located in Fort Worth), Merit Street has initiated a lawsuit against Trinity, alleging that they violated the terms of their business partnership. This well-known broadcaster, recognized for its Christian programming, is accused of not fulfilling the obligations outlined in their joint venture agreement.

As a dedicated supporter, I’m sharing the news that Merit Street Media has decided to take legal action against Trinity Broadcasting Network. The reason being, they claim that TBN failed to deliver on key promises, such as national distribution and other fundamental commitments essential for the network’s ongoing prosperity. This lawsuit is part of a larger restructuring process initiated by Merit Street Media themselves.

In the lawsuit, the Professional Bull Riders organization isn’t directly named, but it is referenced in the bankruptcy filing. Merit Street had purchased the rights to broadcast PBR events on their Merit TV channel, but they stopped showing these events in November 2024, claiming that Merit Street hadn’t made any required payment for those rights yet. At present, both parties are undergoing arbitration to resolve this dispute.

MeritTV has garnered attention for offering glimpses into ICE operations in Chicago and Los Angeles this year, with Dr. Phil stepping into a supporting position to voice the views of President Trump on these raids. In essence, Dr. Phil has been acting as an informal representative for the president’s stance on these immigration enforcement actions.

According to the bankruptcy documents, McGraw’s Peteski Productions company significantly boosted Merit Street’s funds to assist with their expenses. However, Merit Street was unable to finalize an investment round, which ultimately resulted in the Chapter 11 filing.

The lawsuit against Trinity Broadcasting claims that soon after Merit TV started, TBN misused its position as a dominant shareholder. Among other actions, it is alleged that TBN forced Merit Street into costly agreements with external parties for distribution instead of using their own network of local TV stations, entered into self-beneficial deals by renting out TBN studio space to produce McGraw’s shows, and offered poor production services.

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2025-07-02 23:25