Paramount has resumed negotiations with California and Los Angeles officials over a proposed settlement, despite earlier saying it was ending discussions and preparing to leave the state.
People directly involved in the talks said the negotiations had returned to a “constructive place”, but remained highly uncertain. One source described the situation as “still in a red zone” and said the next 48 hours would be critical.
The discussions are understood to have become tense, with officials having expected Paramount to announce its departure from California. A settlement, if reached, is expected within the next two days; otherwise, the talks are unlikely to succeed.
Paramount negotiations focus on Warner Bros acquisition
The dispute centres on legal action brought by California’s Attorney General and other states seeking to block Paramount’s acquisition of Warner Bros.
David Ellison has threatened to move the studio out of California unless the Attorney General withdraws his opposition. Those involved in the negotiations have not disclosed details, other than saying the objective is a compromise.
