Paramount has asked a US federal judge to hold a three-day evidentiary hearing in mid-to-late August before deciding whether to grant a preliminary injunction blocking its takeover of Warner Bros. Discovery. The request comes after District Judge Araceli Martinez-Olguin issued a temporary restraining order on Monday, pausing the deal for two weeks in response to an antitrust lawsuit filed by California and 11 other states, with a preliminary injunction hearing already scheduled for 3 August.

Paramount's lawyers argue the states are seeking an "extraordinary and drastic remedy" that could delay the merger for at least eight months without a fair hearing, and say a full evidentiary hearing is needed to resolve factual disputes over market definition and competitive effects. The company has offered to extend the TRO until the court rules, but warns that a preliminary injunction could cost it more than $1 billion, partly because it faces a $7 million-a-day penalty to Warner Bros. Discovery if the deal isn't closed by 30 September. The two sides have also proposed differing briefing schedules, with filings due between late July and mid-August, and the California attorney general's office has not yet commented.