Webinar Video: The Paramount Merger Litigation
The Committee for Justice’s recent webinar, The Paramount Merger Litigation: Can State AGs Stop the Deal?, is now available to watch on YouTube. Learn more about the panelists here.
Moderated by CFJ’s Ashley Baker, the panel featured Asheesh Agarwal, Eric Fruits, and Michael Toth for a timely discussion of the state attorneys general lawsuit challenging Paramount Skydance’s proposed acquisition of Warner Bros. Discovery.
What The Case Is About
The panel began by setting the stage for the litigation. After federal review, the Department of Justice declined to challenge the transaction, and numerous international competition authorities also allowed the deal to proceed. A coalition of twelve state attorneys general, led by California, then sued to block the merger. A trial is currently scheduled for March 2027.
Market Definition And Consumer Harm
The discussion focused heavily on the states’ theory of harm, including their proposed markets for wide-release theatrical films and “anticipated blockbusters.” Panelists questioned whether those categories reflect the realities of today’s entertainment marketplace, especially given the growing role of streaming platforms, technology companies, and new theatrical entrants.
Hollywood’s Changing Economics
Panelists also examined whether the lawsuit properly accounts for an industry already undergoing major structural change. The conversation highlighted declining theatrical attendance, shifting consumer behavior, and the importance of continued investment in film production. The panel discussed Paramount’s commitments to maintain both studios, increase theatrical output, and preserve theatrical windows as potentially important evidence in assessing the deal’s real-world effects.
The Role Of State Attorneys General
A major theme of the webinar was the expanding role of state attorneys general in national merger enforcement. The panel explored whether state challenges can provide an important safeguard when federal enforcers decline to sue, or whether overlapping state litigation risks creating uncertainty, delay, and a de facto state veto over national transactions.
What To Watch Next
The webinar closes with a discussion of what may happen before trial, including possible settlement dynamics, the effect of litigation delay on the parties, and the broader implications for merger review across industries.
