David Ellison’s Threat to Move Paramount Out of California Is ‘Blackmail,’ State AG Rob Bonta Says
"Paramount has lost the plot as it continues to lose in court," the California attorney general says The post David Ellison’s Threat to Move Paramount Out of California Is ‘Blackmail,’ State AG Rob Bonta Says appeared first on TheWrap .
California Attorney General Rob Bonta dismissed David Ellison's threat to relocate Paramount out of the state as "blackmail." After media leaked that the Paramount Skydance CEO had told his executives about moving the company if Bonta didn't agree to negotiate a settlement for the state's antitrust lawsuit, Bonta responded on social media.
He highlighted how Paramount had taken multiple actions, agreeing to pause the merger until a court decision or until June 2027, requesting a November trial, and now trying to force the state to allow an illegal deal through.
Bonta criticized Paramount for continually losing in court, stating that their latest attempt would not succeed. The illegal merger would result in higher costs for consumers, fewer options, and fewer people working in the movie industry. The state's attorney general remains committed to halting irregular consolidation and preserving a thriving California economy for reputable businesses.
While it was not explicitly stated whether Ellison had ghosted Paramount in settlement negotiations, options discussed by the CEO included moving Paramount Skydance or a consolidated Paramount Warner Bros. Discovery out of California, depending on the outcome of the antitrust lawsuit. This deadline to engage in negotiations is Oct.
1, when a $7 million-per-day penalty begins. If Paramount loses the lawsuit, it will be obligated to pay a $7 billion termination fee to Warner Bros. Discovery in addition to the daily fees.
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