🎬 Bonta: 12-state TRO to block Paramount–WBD · July 13🏠 Newsom sues 5 cities over housing elements · July 16⚖️ Maniago · voluntary dismissal forfeits appeal · SC · July 16📋 AB 1776 COMPETE Act · Senate Appropriations next🎓 NextGen bar exam approved · July 2028 · SC · July 15💰 Bonta blocks grant-termination clause · July 17🤖 Del Biaggio · $1,500 AI citation sanction · CA1 · July 10🎬 Bonta: 12-state TRO to block Paramount–WBD · July 13🏠 Newsom sues 5 cities over housing elements · July 16⚖️ Maniago · voluntary dismissal forfeits appeal · SC · July 16📋 AB 1776 COMPETE Act · Senate Appropriations next🎓 NextGen bar exam approved · July 2028 · SC · July 15💰 Bonta blocks grant-termination clause · July 17🤖 Del Biaggio · $1,500 AI citation sanction · CA1 · July 10
Sunday Edition · The closing credits · Week of July 13 – 19, 2026
That's not all, folks
On July 13, Attorney General Rob Bonta stood beneath the Hollywood sign and led a twelve-state coalition suing to block Paramount Skydance's $110 billion acquisition of Warner Bros. Discovery — then filed an emergency motion for a temporary restraining order when the studios refused to pause the deal pending judicial review.
12 states · $110B deal · TRO hearing July 18 · N.D. Cal.
The largest entertainment merger in a century — and twelve attorneys general say it will crush competition
The complaint, filed in the U.S. District Court for the Northern District of California, alleges the tie-up would snuff out competition in film and television production, drive up prices for audiences and distributors, and diminish content quality. DOJ cleared the deal in June; Bonta's coalition argues state antitrust law demands independent scrutiny.
Coalition members: Arizona, Colorado, Connecticut, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, New York, Oregon, and Washington. On July 17, Bonta told CNN that spinning off CNN would not resolve the state's concerns — the lawsuit targets market concentration across the combined studio portfolio.
These titans of industry must not move to merge until a court properly evaluates our claims. I will not let Warner Bros. and Paramount merge without a fight.
Maniago v. Desert Cardiology Consultants' Medical Group, Inc.
Filed July 16, 2026 · authored by Justice Groban · unanimous
Litigants cannot manufacture appellate jurisdiction by voluntarily dismissing an action before the superior court resolves all pleaded claims. Plaintiffs who sustained a partial demurrer with leave to amend — and had punitive damages stricken — filed a voluntary dismissal expressly to expedite appellate review. The Supreme Court held that maneuver terminates the action entirely and forfeits the right to appeal.
Justice Groban's unanimous opinion disapproved three Court of Appeal decisions that had permitted such shortcuts. The proper paths: petition for a writ of mandate, or obtain a judgment on demurred claims and voluntarily dismiss the remainder.
Dismiss before all claims resolved → action terminated → no appealable judgment → appellate court lacks jurisdiction.
Permitted alternatives
Writ or judgment
Petition the Court of Appeal for a writ of mandate on the partial demurrer ruling, or secure a judgment on demurred claims and dismiss remaining claims separately.
Newsom administration sues five cities for defying housing element deadlines
On July 16, Attorney General Bonta and the Department of Housing and Community Development filed enforcement actions against jurisdictions at least two and a half years past compliance deadlines in the sixth housing element cycle — the most ambitious planning effort in state history, targeting 2.5 million new homes statewide.
Bay AreaHalf Moon Bay
Orange CountyCosta Mesa
Imperial CountyCalexico
Central ValleyTurlock · Ridgecrest
The lawsuits seek monetary penalties under the Housing Accountability Act and SB 1037, plus court orders requiring compliant housing plans within 120 days. Over 95% of California jurisdictions have now attained compliance; these five remain "scofflaws," Bonta said at a July 16 news conference.
Orange County Superior CourtGov. Code § 65585July 17–18, 2026
Housing law · follow-up since last edition
Judge signals Huntington Beach penalties should pause during HCD review
At the July 17 hearing flagged in last week's edition, Judge Katherine Bacal issued a tentative ruling that mounting penalties against Huntington Beach should be put on hold while state officials review the city's newly adopted housing element. The city council adopted a plan June 16 to cure violations that triggered $10,000-per-month fines from January 2025 and $50,000 monthly penalties beginning June 2026.
HCD will determine whether the submission achieves "substantial compliance." Without the June adoption, the city faced penalties multiplying up to sixfold and potential appointment of a receiver to strip local zoning control.
COMPETE Act would let Californians sue over single-firm anticompetitive conduct
Assembly Majority Leader Cecilia Aguiar-Curry's bill passed the Senate Judiciary Committee 9–2 on June 30, expanding the Cartwright Act beyond conspiracy claims to cover unilateral conduct that stifles competition. Senate Judiciary Chair Tom Umberg withheld his vote — equivalent to a no — over whether private citizens should have a right of action versus limiting enforcement to prosecutors and the Attorney General.
On July 17, U.S. District Judge Indira Talwani granted summary judgment for a twenty-state coalition including California, permanently barring agencies from invoking a five-word subclause — "no longer effectuates agency priorities" — to terminate billions in congressionally appropriated grants based on priorities identified after awards were issued.
Administration claim: unfettered authority to withhold any grant that no longer matches current prioritiesCourt holding: 2 C.F.R. § 200.340(a)(4) does not permit termination based on goals and priorities identified after the grant was awarded — grantees must be apprised of conditions before the award
Second District · Employment law · deeper follow-up
Decloedt v. Radnet Management, Inc.
No. B343963 · filed July 7, 2026 · Division One published opinion
Last week's edition noted this opinion in passing. The Court of Appeal's full holding is now the week's most consequential employment ruling: harassment based on sexual orientation qualifies as "sexual harassment" under FEHA — and therefore falls within the federal Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act's exception to mandatory arbitration.
RadNet could not compel arbitration of Decloedt's claims. The court reasoned you cannot harass someone for being gay without taking their sex into account — sexual orientation harassment is harassment "because of sex" under both FEHA and the EFAA.
After 19 years, escrow officer misclassification judgment crumbles on appeal
In a 137-page opinion, the Court of Appeal held the trial court committed multiple prejudicial errors in Cortina v. North American Title Co. — including a trial plan that contravened Duran v. U.S. Bank, class-wide rejection of affirmative defenses, representative testimony from only 15% of the cohort, and appointment of a referee for a second trial phase over the employer's objections. The $43 million judgment was largely reversed.
Del Biaggio v. Bansen — AI policy cannot substitute for reading your citations
Division Four raised sanctions sua sponte after counsel's opening brief attributed quotations to PLCM Group v. Drexler that appear in no published case. The lawyer acknowledged the passages came from generative AI and were never verified. The court imposed a $1,500 sanction and forwarded the opinion to the State Bar — holding that checking a citation exists is not the same as reading what it says.
Supreme Court ends the bar exam legislative stalemate — NextGen arrives July 2028
Since last week's edition reported AB 2109 stalling in committee, the Supreme Court acted directly. On July 15, the justices approved the NextGen Uniform Bar Exam starting July 2028 — ending California's brief experiment with a bespoke licensing test — and ordered a California-specific component accompanying the exam from July 2029.
State Bar recommends NextGen
Trustees vote to recommend Supreme Court approval of NCBE's two-day format starting July 2028.
AB 2109 stalls
Legislative mandate for NextGen in 2029 fails to advance — court takes the field instead.
Supreme Court order
NextGen UBE approved July 2028; California-specific section required July 2029 covering state employment and family law. Passing score remains 1390/2000.
Proposal deadline
Committee of Bar Examiners must submit California-centric component proposal to the justices.
In re Marriage of Bowman — can courts reduce contractual attorney fees by ability to pay?
At its July 15 conference, the Supreme Court granted review to decide whether a trial court may reduce a prevailing party's contractual attorney fee award in light of the losing spouse's financial status — despite a marital settlement agreement providing fees to the prevailing party in subsequent litigation.
Under-the-radar published opinions reshape autonomous vehicle and trust litigation
The July 14 publication cycle brought certified opinions practitioners will cite for years — including autonomous vehicle liability in the First District and trust administration disputes in the Second.
First District
Wilkins v. Cruise, LLC
No. A173832 — published July 14, 2026. Autonomous vehicle liability and corporate responsibility in California's largest tech corridor.
Legislature enters summer recess with antitrust and housing bills pending. Paramount–WBD TRO litigation continues, Delete Act enforcement nears, and the Supreme Court's next opinion days arrive.
Supreme Court opinion day
Monday publication cycle — watch for opinions in pending civil procedure and environmental cases, plus grants of review from the July 16 conference.
California's DROP mechanism allowing consumers to direct all registered data brokers to delete personal information takes full effect — expanding CPPA enforcement scope.
Last day for Governor Newsom to sign or veto bills passed this session — including AB 1776 if it clears Appropriations and floor votes during August recess work periods.