Judge Delays Paramount and Warner Bros. Discovery Merger Settlement

District Judge Araceli Martinez-Olguin delayed the sign-off on the antitrust settlement for Paramount Global's $111 billion acquisition of Warner Bros. Discovery until at least September 28. The delay follows an emergency motion and subsequent amicus briefs filed by the Block the Merger coalition and the League of United Latin American Citizens.

Opponents of the deal, including Free Press and the International Documentary Association, argue the settlement reached between Paramount Global and 12 state attorneys general is toothless and fails to protect competition, independent journalism, and workers. The League of United Latin American Citizens specifically claimed the proposed decree leaves the loss of independent decision-making largely intact.

Paramount Global opposed the briefing process, stating that allowing non-parties to delay the closing would inflict massive harm on the company. The company faces a ticking fee of approximately $7 million per day payable to Warner Bros. Discovery shareholders if the transaction does not close by October 1.

The contested settlement requires Paramount Global to release 30 movies annually or divest its stake in Miramax, pay $30 million to a Hollywood union fund, and spend $1.5 billion annually on U.S. production. Judge Martinez-Olguin granted the delay to consider these objections and concerns raised by Senator Cory Booker.