Paramount hires counsel Ellison to handle Jeff Shell’s legal drama

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A legal battle is shaping up between Paramount and the high-stakes gambler that has sparked an internal investigation and a Securities and Exchange Commission investigation into whether company president Jeff Shell prematurely disclosed details of his $7.7 billion UFC media rights deal.

At the heart of the matter: an allegation that the studio and Shell backed out of their agreement to pick up an English-language format for the Roku reality show that the gambler, RJ Cipriani, co-created and executive produces. No lawsuit has been filed, although Paramount is acting as a lawyer.

Blair Connelly, a longtime outside counsel to David Ellison, intervened after Cipriani filed the company with a lawsuit alleging breach of oral contract and allegations of fraudulent misrepresentation, among other things. Hollywood Reporter I’ve learned. Makan Delrahim, Paramount’s chief legal officer, was a former partner at Connelly’s firm, Latham and Watkins.

The threat of litigation has jeopardized Shell’s return to the executive group after ending his previous role as CEO of NBCUniversal in 2023 over allegations of sexual misconduct with a CNBC reporter. Ellison brought it in from a temporary position at studio financing partner RedBird Capital.

Shell is now represented by O’Melveny’s Steve Olson, while Cipriani is represented by Steven Aronoff. The draft complaint has been circulated.

Shell’s recent troubles began when Cipriani alleged that Paramount’s chairman improperly disclosed specific details about the studio’s UFC deal before it was announced in August 2025. An outside law firm is now investigating that allegation, and the SEC is reviewing a related whistleblower complaint.

The situation has already had repercussions. Shell was not involved in the final negotiations between Warner Bros. Discovery and Paramount, and was absent from the conference call announcing the $111 billion deal, which included fellow executives such as Andy Gordon, Paramount’s chief strategy officer.

Cipriani filed a report about the alleged confidential information breach after tense discussions with Shell over the reality show project. The couple engaged a lawyer, prominent Hollywood litigator Patty Glaser, who was trying to resolve the matter.

Shell has been a major face of the new regime at Paramount since its acquisition from Shari Redstone in 2025. He, Cipriani and the studio declined to comment.