Overview
- The Justice Department filed a statement of interest on Tuesday supporting a court order that the 12 state attorneys general and the Writers Guild post a “proper bond” under Section 16 of the Clayton Act.
- Paramount has asked the plaintiffs to post $1.88 billion to cover losses it says will accrue while the deal is delayed, with a bond hearing set for Sept. 24 and a roughly $7 million-per-day ticking fee scheduled to begin Oct. 1.
- The states and the WGA oppose a large bond, arguing no formal injunction was issued and any security should be nominal, creating a legal dispute over whether Section 16 applies to private or state enforcement here.
- Magistrate Judge Thomas Hixson ordered two days of in-person settlement talks for Oct. 14–15 and the case remains on track for a merits trial starting March 2, 2027 if talks fail to resolve key issues.
- Beyond the court fight, Paramount has threatened to relocate from California if the deal does not close, a move local studies say could cost up to tens of thousands of jobs and billions in annual economic output.