Lawyers for Paramount and President Trump have agreed to appoint a mediator in his $ 20 billion lawsuit against CBS, according to two people with knowledge of the decision.
The step to bring in a mediator is another indicator that the two parties try to resolve the case, while editing an interview with “60 minutes” with vice -president Kamala Harris, outside the court. A mediator can help them reach a settlement, but whether he will do this remains far from certain.
Paramount refused to comment. Ed Paltzik, a lawyer for Mr Trump, said in a statement: “President Trump will pursue this essential issue for the just and legitimate conclusion.”
Mr. Trump sued CBS days before the 2024 elections and accused the company of cheating the interview with his democratic opponent. He later changed the suit to record Paramount as a separate defendant.
Paramount, the parent company of CBS, started this year with Mr Trump with Mr. Trump. Discord created those conversations at Paramount, with employees at CBS News who were strong against every scheme. Bill Owens, the executive producer of '60 minutes', this month told the staff of the show that he would not apologize as part of a potential regulation after the New York Times reported that the settlement with Mr. Trump was underway.
The lawsuit complicated the merger of Paramount with Skydance, a deal that would unite an emerging media start-up, supported by the Tech-Mogul Larry Ellison with the gilt Hollywood studio behind “The Godfather” and “Rosemary's baby”. The deal of millions of dollars, which was closed last year, would put an end to the decades of Redstone family on top of Paramount and ointment Mr Ellison and his son, David, in their place.
The settlement discussions cause fears among media lawyers that a deal would encourage Mr Trump and his allies to submit more lawsuits or to threaten against news broadcasts.
Many Paramount leaders believe that settlement of the court case would increase the chance that the Trump administration would not block or delay the merger with Skydance. An opportunity to settle can also lead to lawsuits of shareholders, especially if Mr Trump has the upper hand in court and wins a big judgment.
Nevertheless, Paramount managers are concerned that a scheme with Mr. Trump could lead to legal obligations that are not covered under conventional business insurance, according to a person who is familiar with their concerns.
The Wall Street Journal previously reported on the potential legal obligations.
A submission of last week in the federal court in Texas explained a route map for the legal battle between Paramount and Mr. Trump. According to the submission, both parties must try mediation before December 20. If they cannot agree with a mediator, they must ask the court to appoint one at least 14 days before the mediation theadline.
CBS gave a transcript of the Harris interview to the Federal Communications Commission, which later released it to the public. In a statement on the CBS news website, the company said that the Transcript has shown that the broadcast of the “60 minutes” “was not preached or decorative.”
David Enrich contributed reporting.
