He said the merger of the two entertainment companies is likely to violate antitrust laws.
Northern District of California Judge Araceli Martinez-Olguin granted a temporary restraining order to a coalition of 12 states to pause a $111 billion merger between the companies Paramount and Warner Bros. The order halts the merger for at least 14 days.
Judge Martinez-Olguin’s ruling stated that the state attorneys general “presented compelling evidence that the combined firm resulting from the transaction will possess substantial market share in the wide-release theatrical distribution market.”
“On this combined firm market share alone, the Court is persuaded that it can presume the proposed merger is likely to violate antitrust laws,” the judge’s ruling read. “Paramount and Warner Bros. will continue to operate as separate, viable companies competing in the marketplace while they wait for the Court to adjudicate this case.”
In the meantime, Paramount and Warner Bros. will continue to function as separate, viable companies as the lawsuit proceeds. The next hearing in this case will take place on August 3.
As the Lord Leads, Pray with Us…
- For federal judges as they hear cases regarding industry monopolies and potential violations of federal laws.
- For state attorneys general as they collaborate to ensure compliance with antitrust laws.
Sources: UPI News, NPR
