Paramount’s Purchase of Warner Bros. Paused By Judge

Paramount’s attempt to acquire Warner Bros. Discovery has hit another snag. After a dozen states sued to block the purchase from happening, a judge in California has given the states a small win in their efforts.

On Monday, U.S. District Judge Araceli Martínez-Olguín of the Northern District of California issued a temporary restraining order on the merger. The restraining order comes as the states argue that this merger between the two media companies would harm competition in the market.

A Two-Week Pause

Martínez-Olguín’s ruling for a restraining order will be in effect for 14 days, preventing any possible closing of the acquisition. A hearing is currently scheduled for August 3 for the States’ request for a preliminary injunction, which could see the purchase be placed on an indefinite hold while court proceedings move forward.

In the lawsuit filed on July 13, California Attorney General Rob Bonta said that this deal would “extinguish competition.”

“History tells the tale of what happens when a few people have great power over markets that are central to Americans’ lives: fewer opportunities for more people, worse products and services for all people,” Bonta said via release. “With our lawsuit, we’re fighting for a free and fair market and a thriving film and television industry that serves creatives and audiences alike. We have a full tank of gas, the law on our side, and look forward to continuing to make our case.”

Paramount is attempting to purchase Warner Bros. Discovery, including Warner Bros. Games, for $111 billion. In June, the United States Department of Justice approved the deal.

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