Paramount to Meet California AG and WGA Oct. 14 to Discuss Merger Lawsuits
Paramount, California Attorney General Rob Bonta and the Writers Guild of America will hold a two-day settlement conference starting Oct. 14 to explore resolving lawsuits challenging Paramount's $111 billion bid for Warner Bros. Discovery.
Paramount will meet with California Attorney General Rob Bonta and the Writers Guild of America for two consecutive days beginning Oct. 14 to discuss a possible settlement of lawsuits that contest the studio’s $111 billion offer to acquire Warner Bros. Discovery, a court filing showed.
The conference follows a cancelled meeting last month after Bonta accused Paramount representatives of leaking and misrepresenting negotiation details. Prior to the talks, each party will file brief statements outlining the legal basis of their claims, an assessment of their chances of success, the main disputed issues and any specific points that could ease a settlement.
Lead negotiators for Paramount, the state and the WGA are required to have full authority to settle, and will be expected to address their settlement goals, obstacles and any creative resolution options. U.S. Magistrate Judge Thomas Hixson will supervise the proceedings.
Negotiations have progressed slowly. Bonta has indicated he will only consider structural remedies, such as divestitures, while Paramount has so far offered behavioral concessions, including a commitment to release at least 30 films with 45-day theatrical windows.
The settlement conference is scheduled after the government urged the court to require the states and the WGA to bear costs associated with the litigation that has delayed the merger. If Paramount wins, it may be required to post a $1.88 billion bond to cover potential losses. The filing described the states’ lawsuit as a secondary enforcement mechanism subject to restrictions not applied to the Justice Department or the Federal Trade Commission.