By Mike Scarcella
WASHINGTON, July 13 (Reuters) - California said on Monday it has hired law firm Milbank to help with its lawsuit seeking to block Paramount’s merger with Warner Bros, gaining access to top antitrust lawyers who can go toe to toe with Paramount's legal team.
The move also sets up a potential clash between President Donald Trump's administration, which backed the merger, and a firm that decided to settle with Trump when he targeted law firms over their past clients, hiring practices
and ties to Trump's perceived enemies.
California Attorney General Rob Bonta said the state hired Milbank, a major corporate firm, because "we need the firepower." He said California expected to face "an army of high-powered private attorneys" from Paramount.
California’s team from Milbank includes Richard Parker and James Weingarten, a former U.S. government antitrust lawyer on the team that unsuccessfully tried to stop Microsoft’s $69 billion bid for Activision Blizzard.
Jeffrey Kessler of law firm Winston Taylor said he will be lead trial counsel defending the merger for Paramount, which has also hired former U.S. Solicitor General Paul Clement.
The Paramount case sets up a high-profile battle over one of the largest media deals in recent years. It pits California, New York and other Democratic-led states against big and influential corporations whose merger was approved in June by the Republican Trump administration.
Milbank is among the firms that reached agreements last year with Trump to avoid punishing executive orders he issued against prominent law firms over a wide range of issues. Milbank agreed to provide $100 million in free legal services to mutually agreed initiatives.
California and other states criticized the law firms' settlements, saying they yielded to political pressure.
Milbank, the White House and the Justice Department did not immediately respond to requests for comment.
In Monday's lawsuit, California and 11 other states said the merger would give the combined company greater power to raise prices in film and television markets, with the effects ultimately falling on consumers and workers.
The Justice Department in June cleared the transaction after an eight-month review, finding it likely would have a positive effect on competition.
Milbank's attorneys have gone against the administration in other cases since settling with Trump last year.
The firm represented small businesses that sued over Trump's use of emergency powers to impose sweeping tariffs and won a Supreme Court ruling in February striking down the measures.
Milbank and other lawyers also won a ruling in June defeating the administration's lawsuit over the immigration policies of cities in New Jersey.
(Reporting by Mike Scarcella; Editing by David Bario and David Gregorio)
