A federal judge has temporarily halted the $9.4 billion merger between Nexstar and Tegna after DirecTV challenged the deal in court. The ruling comes after the FCC allowed both companies to exceed federal TV ownership limits, with Nexstar owning 201 stations and Tegna owning 64 before the merger was announced.

Judge Nunley found DirecTV's claim under the Clayton Act likely to succeed, citing concerns about reduced competition in 31 overlapping markets. DirecTV warned that a combined company would wield significantly more power in retransmission consent negotiations, potentially doubling or tripling the threat of broadcast blackouts for major content including Big Four sports and local news.

The judge ordered the companies to maintain separate operations, with Tegna continuing as an independent business unit. The ruling requires separate management for Tegna, prohibits asset integration, and mandates that Tegna stations remain active competitors in retransmission consent negotiations.