CBS reaches payout agreement over Stephen Colbert’s final risky Late Show move

CBS has reportedly reached a payout agreement after Stephen Colbert’s final Late Show stunt left the broadcaster facing a very awkward bill.

The long-running talk-show host bid farewell to The Late Show back in May, months after CBS confirmed the programme would be coming to an end.

Whilst his last episode was packed with famous faces, emotional moments and several swipes at the network, one particular joke appears to have had a real financial consequence.

For those unaware, Colbert used part of his finale to discuss a copyright crackdown involving the music from the Peanuts TV specials.

During the segment, the show’s band, Louis Cato and the Great Big Joy Machine, began playing Vince Guaraldi’s instantly recognisable song ‘Linus and Lucy’.

According to Variety, CBS has now struck a deal to pay Lee Mendelson Film Productions, Inc. an undisclosed amount after the composition was used on the late-night show without permission.

CBS has not publicly confirmed how much the agreement cost (Scott Kowalchyk/CBS via Getty Images)

The company is the owner and steward of Guaraldi’s music, including the much-loved tracks associated with Peanuts and A Charlie Brown Christmas.

As part of the agreement, the licensing fee will be donated to World Central Kitchen, the food relief organisation created by chef José Andrés. The charity had already received a $2.5 million donation from The Late Show during the show’s penultimate episode.

Colbert, 62, appeared to know exactly what he was doing during the finale, telling viewers that the owners of the Peanuts catalogue had been cracking down on unauthorised use of the music.

As recalled by The Independent, he said: “Anyone illegally using that music is gonna have to pay through the nose.”

As the band continued playing the song, he then joked: “Oh no! I hope this doesn’t cost CBS any money!” Well, it now has.

In a statement, Lee Mendelson Film Productions chairman Jason Mendelson said: “LMFP found the music’s use on The Late Show funny and entertaining, and is proud to support World Central Kitchen’s mission. A principal goal of our enforcement actions is to educate individuals, businesses, and government entities about the need to obtain written license agreements to use music in a commercial setting.”

The company has recently filed several lawsuits over alleged unauthorised use of Guaraldi’s music, including legal action involving the US Department of the Interior, a video game producer, a collectibles auction house and an apparel accessories manufacturer.

The fee for the stunt will be donated to José Andrés’ World Central Kitchen (CBS Photo Archive/Contributor/Getty Images)

Speaking more widely about its legal action, the company said: “The lawsuits are intended to halt a pattern of infringement that threatens to diminish the integrity of these protected works, the Guaraldi music legacy, and other cherished creative content vulnerable to misuse in the modern media landscape.”

The payout agreement comes after months of controversy surrounding the end of Colbert’s run on CBS.

The network announced last year that The Late Show would end in May 2026, shortly after Colbert criticised Paramount’s $16 million settlement with Donald Trump, describing it as a ‘big fat bribe’.

At the time, Paramount and CBS bosses insisted the decision to axe the show was financial.

They said: “This is purely a financial decision against a challenging backdrop in late night. It is not related in any way to the show's performance, content or other matters happening at Paramount.”

CBS has not publicly confirmed the amount it will pay over the Peanuts music gag.