Settlement conference regarding Paramount-WBD merger lawsuit set for next month

(KYMA) - Paramount Skydance, 12 state attorneys general, and the Writers Guild of America (WGA) have been ordered to schedule an in-person settlement conference regarding Paramount's proposed merger with Warner Bros. Discovery (WBD).

U.S. Magistrate Judge Thomas Hixson issued the order Friday, instructing Paramount, the attorneys general and the WGA to meet for "two consecutive days in the end of October."

"A court-ordered settlement conference means the judge required both sides to meet, but it does not indicate a settlement is in progress. This is standard course in a case of this magnitude," said a spokesperson for the California Department of Justice.

As a result of the order, a Paramount spokesperson released a statement saying, "We appreciate today's conference before the magistrate judge and the court's attention to this. We continue to remain open to working constructively with plaintiffs on a speedy resolution so that we can close the transaction and deliver its pro-competitive benefits to creators and consumers alike."

The order comes nearly a month after California Attorney General Rob Bonta canceled a meeting with Paramount, accusing them of leaking information from an earlier meeting.

A Paramount spokesperson, at the time, responded saying the company was not the source of the leaks, and said they hope the talks can get back on track.

Back in July, 12 state attorneys general, including Arizona and California, and the Writers Guild of America sued to block the merger between Paramount and WBD.

As a result of the lawsuits, Paramount announced they were delaying the merger, with Judge Araceli Martinez-Olguin setting a trial date for March of next year.

Meanwhile, the U.S. Department of Justice, the United Kingdom, Mexico, and other countries approved the merger.

Last month, Paramount requested a $1.88 billion bond from the 12 states to cover their losses over the merger's delay, with Judge Martinez-Olguin setting a hearing on the request for September 24.

Also last month, Iowa Attorney General Brenna Bird and Montana Attorney Austin Knudsen asked the U.S. Supreme Court (SCOTUS) to stop the antitrust lawsuit, claiming it's a "politicized enforcement action," resulting in SCOTUS issuing an order for the state attorneys general to respond to the objection by September 25.

In addition, L.A. Mayor Karen Bass called on California Attorney General Rob Bonta and Paramount "to come to the table" and reach a settlement.

Last week, the Block the Merger Coalition held a protest outside Paramount Studios in Los Angeles to thank the state attorneys general for "holding firm in their lawsuit" to block the proposed merger.

Earlier this week, Paramount reiterated their request for a $1.88 billion bond after the attorneys general filed a court document rejecting the bond request.