# Justice Department backs Paramount's $1.88 billion bond demand

> The DOJ wants California and 11 other states to pay for delaying the Paramount and Warner Bros. Discovery deal if they lose.
- Title: Justice Department backs Paramount's $1.88 billion bond demand
- Summary: The DOJ wants California and 11 other states to pay for delaying the Paramount and Warner Bros. Discovery deal if they lose. If the judge orders the bond…
- Keywords: mergers, paramount, warner bros. discovery, antitrust, media, Justice, Department, backs, Paramount's, billion, bond, demand
- Source: The Hollywood Reporter — https://hollywoodreporter.com/business/business-news/justice-department-sides-paramount-demand-states-post-1-88-billion-bond-1236702613
- Author: Winston Cho
- Published: 2026-09-15T20:46:43+00:00
- Read time: 1 min
- Topics: mergers, paramount, warner bros. discovery, antitrust, media
## Washington picks a side
On Tuesday the Justice Department asked a federal judge to make a dozen states, led by California, pay for the delay their lawsuits caused to the $111 billion Paramount and Warner Bros. Discovery merger.
## A bond with real teeth
The DOJ says the states must post a proper bond that reflects the damages the delay could cause. Its view is that anyone who halts a deal should carry the risk.

> The bond requirement forces parties to have skin in the game.
## Paramount names its price
Last week Paramount kept pressing California Attorney General Rob Bonta for a $1.88 billion bond. It would cover Paramount's losses if it wins the cases over the paused deal.
## Trial pushed to March
The deal is on hold, and trial isn't until March. That is months after CEO David Ellison's goal of closing by late September.
## Every day costs millions
If the merger hasn't closed by Oct. 1, Warner shareholders are owed about $650 million a quarter, or $6.9 million a day. The bond equals that maximum payout plus legal fees.
## States push back
The states and the WGA say Paramount offered that fee to win over shareholders who were weighing a rival bid from Netflix. Now, they argue, it wants someone else to pay it.

> now wishes to offload that responsibility
## Key takeaway

If the judge orders the bond, the states suing over the $111 billion merger could owe up to $1.88 billion if Paramount wins.