Dr. Phil is facing a lawsuit from longtime publicist Jerry Sharell, who accused the television personality and his media company of discrimination and wrongful termination.
Sharell filed the complaint Thursday in Los Angeles County Superior Court. He alleged that his sexual orientation affected how he was treated after Phil McGraw recruited him to continue working with him following his 2023 departure from CBS. McGraw’s representative denied the allegations.
Former Dr. Phil publicist alleges wrongful termination and discrimination based on sexual orientation
Sharell said McGraw planned to build Merit Street Media in Dallas but left him out of the group of about 20 employees who relocated to Texas. According to the Dr. Phil lawsuit, Sharell believed the decision stemmed from the fact that he is openly gay.
According to the Los Angeles Times, Sharell alleged that McGraw told him, “you’re Hollywood,” when explaining why he would remain in California. Sharell later began traveling monthly to Merit Street’s Dallas headquarters in spring 2024.
Sharell also described several incidents from those visits. He alleged that an IT employee saw his photograph and remarked, “There’s too many of THEM around here. And it’s evil.”
He also accused McGraw of commenting on his sexuality during a private flight. Sharell claimed McGraw said, “Jeez, he’s gayer than a fruit basket and not listening,” while Sharell answered emails.
After Merit Street’s bankruptcy and the creation of Envoy Media, Sharell said the company changed his employment arrangement. According to the complaint, it began treating him as an independent contractor even though his duties remained the same. He alleged that he lost benefits and received a 30% pay cut.
In March 2026, Envoy Media CEO Ken Solomon told Sharell that the company was placing his position on “hiatus” because of “financial considerations.” Sharell alleged that no other employees received the same treatment or salary reduction.
Attorney Chip Babcock disputed the claims on behalf of Envoy Media. “He was not fired for any reason and certainly not because of his sexual orientation,” Babcock said.
He added that the company and McGraw would “vigorously defend these claims.”
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