Twelve states including California filed a lawsuit July 13 to block Paramount's $110 billion acquisition of Warner Bros. Discovery, even though the Justice Department approved the deal last month. The states argue the merger would reduce competition in Hollywood filmmaking and streaming, harming both theatrical distribution and cable news operations. This creates a novel situation where state attorneys general are pursuing antitrust action against a deal the federal government cleared, likely setting up months of litigation that could block or reshape the transaction.