Oregon Withdraws Motion to Delay $110 Billion Paramount-Warner Bros. Merger

The Oregon attorney general’s office on Friday withdrew its court motion seeking to delay Paramount’s proposed $110 billion acquisition of Warner Bros. The state's Department of Justice accused Paramount of failing to cooperate with its investigative demands, signaling that while this specific legal action is paused, the state's review is not necessarily over.

State Cites Non-Compliance

In a statement to Reuters, the Oregon Department of Justice said it was withdrawing the motion to "consider our next steps." The department claimed that Paramount had made it clear it would not comply with an investigative demand for records related to the merger.

"Paramount made it clear that they weren’t going to comply with the investigative demand, and that they think they’re above the law," the statement said. "We’re not going to let them waste Oregonians’ resources on these games."

Background on the Legal Challenge

Earlier in the week, Attorney General Dan Rayfield’s office had asked a Multnomah County court to compel Paramount to turn over documents and to delay the deal by 60 days to allow for a review. Amid the state's inquiry, Paramount had reportedly agreed not to close the transaction before July 22.

Oregon was seeking specific records, including:

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• Documents related to "Project Warrior," Paramount’s internal code name for its efforts to secure regulatory clearance for the merger.
• Records concerning the company's lobbying of the Trump administration for support of the deal.

A Paramount spokesperson told Reuters the company was "pleased" with the withdrawal of the motion, describing the merger as "lawful" and "pro-competitive."

Broader Scrutiny Remains

The proposed merger, which would combine two of Hollywood's four major studios, continues to face significant opposition. Actors, writers, and other industry professionals have raised concerns about potential job losses and reduced competition.

While Oregon has stepped back from its immediate court action, the deal is not yet in the clear. The transaction faces scrutiny from other U.S. states, which could reportedly file lawsuits to block the acquisition on competition grounds as early as next week, according to Reuters.