David Ellison's Paramount would owe more than $1 billion to WBD shareholders based on the March trial date a judge set

• Paramount Skydance's financial backers may soon owe billions to WBD shareholders.
• The trial for Paramount's proposed merger with WBD will start on March 2, a federal judge ruled.
• Paramount agreed to pay WBD investors about $7 million per day that its deal isn't closed, starting September 30.

David Ellison and his billionaire father may need to get their checkbooks ready.

Paramount Skydance is expected to need to pay Warner Bros. Discovery shareholders more than $1 billion in so-called ticking fees after a federal judge set the date for the trial about its merger: It's March 2.

The Ellisons' and Paramount's other financial backers agreed to pay WBD investors $650 million per quarter, which is about $7 million per day, that its merger isn't finalized, starting after September 30.

There are 169 days between October 1 and March 19, which is when Paramount's trial is scheduled to end.

That implies Paramount would owe WBD shareholders about $1.18 billion, unless the company reaches a settlement with the 12 states suing to block its deal.

If Paramount doesn't complete its merger with WBD, it would owe WBD a $7 billion termination fee under the agreement.