California Attorney General Halts Settlement Talks with Paramount Over Warner Bros. Discovery Deal
California Attorney General Rob Bonta cancelled scheduled settlement discussions with Paramount, citing the studio's alleged misrepresentation of prior talks, as the state leads a multi-state lawsuit to block a $111 billion Warner Bros. Discovery acquisition.
California Attorney General Rob Bonta called off a planned meeting with Paramount Pictures on Sunday, ending preliminary settlement talks related to a state lawsuit that seeks to block David Ellison’s proposed $111 billion acquisition of Warner Bros. Discovery. Bonta leads a coalition of 12 states arguing that the merger would give the combined company excessive control over cable television and film production.
The meeting, which had been scheduled for Monday, was cancelled after Bonta accused Paramount of leaking and misrepresenting the substance of discussions held the previous Friday. > "Not only did Paramount leak the alleged substance of settlement discussions, but they misrepresented these discussions, demonstrating a lack of good faith," Bonta said in a statement to The New York Times. > "As soon as Paramount stops playing games and engages sincerely, my office is happy to meet again."
Paramount had previously warned it might withdraw from California amid the dispute, and Bonta has indicated that any settlement would need to include structural remedies, such as asset sales, which the studio could oppose. Variety has requested comment from the attorney general’s office.