Paramount has recruited top antitrust litigator Jeffrey Kessler to defend its $110 billion acquisition of Warner Bros. Discovery, despite not expecting challenges from the Justice Department, state prosecutors, or foreign regulators.
Legal Reinforcement with Kessler
Jeffrey Kessler, known for his antitrust litigation success, including a landmark win against Live Nation, joins Paramount's legal team. His addition bolsters an already formidable lineup led by Makan Delrahim, former assistant attorney general for antitrust under President Trump. Also on the team are David Gelfand, ex-deputy assistant attorney general for litigation in the antitrust division under former President Obama, and attorneys from Latham & Watkins and Cravath, Swaine & Moore, who are working on regulatory approval for the deal.
Consumer Lawsuit
On Friday, a federal judge approved Kessler's application to represent Paramount in a lawsuit filed by consumers challenging the merger. This case marks the initial legal battle over the acquisition, which aims to reshape the Hollywood landscape. Kessler has dismissed the complaint as “baseless,” accusing it of “political scaremongering” that is irrelevant to antitrust analysis. “There is no credible antitrust case against the Paramount/Warner Bros. merger,” Kessler stated, highlighting his extensive experience in defending competition and consumer interests.
Kessler's Antitrust Legacy
As co-executive chair of Winston & Strawn, Kessler has a history of high-profile cases. In 2019, he won an antitrust lawsuit against the NCAA, allowing student-athletes to profit from their name, image, and likeness. Last year, Kessler represented a coalition of over 30 states against a settlement between the Justice Department and Live Nation, resulting in a jury finding the company guilty of monopoly practices. In 2023, he successfully defended against an antitrust lawsuit brought by Garth Drabinsky against Actors’ Equity Association.
Paramount's Legal Strategy
The lawsuit from Paramount subscribers argues that the acquisition will significantly reduce competition in streaming, news, and theatrical distribution, violating antitrust laws. On Wednesday, consumer lawyers filed for a preliminary injunction to block the deal. Alongside Kessler, Paramount's defense includes Winston & Strawn partners Jeanifer Parsigian, Conor Reidy, Kevin Goldstein, and Matt Huppert, all experienced in antitrust litigation.
Source: https://www.hollywoodreporter.com/business/business-news/paramount-adds-big-name-antitrust-lawyer-legal-team-1236604752/
