Lawyers for Paramount Communications Inc. asked a Delaware judge Friday to prohibit Time Inc. and Warner Communications Inc. from implementing provisions of their merger agreement that could thwart Paramount's $10.7 billion buyout bid for Time.

Delaware Chancery Court Judge William P. Allen reserved decision on Paramount's request for a temporary restraining order against a stock option agreement that allows Time and Warner to buy each other's shares.The provision - which was included in the agreement to block a possible unwanted bid from a third party - would further dilute the companies' stock and make a takeover of either company more costly.

Paramount sued in Delaware - where Time is incorporated - after announcing its $175-a-share cash bid earlier this week. The company's lawyers said in court Friday they would be satisified if Time and Warner agreed not to amend the stock swap option and gave Paramount five business days notice if they decided to trigger it.

Lawyers for Time and Warner argued that the stock swap would not damage any buyout offer and there was no need for the restraining order or advance notice. Time and Warner shareholders, who earlier filed suit to block the merger of the two communications giants, joined the Paramount action, saying they feared parts of the agreement could have a chilling effect on other bids.

They also asked for postponement of the June 23 meetings at which Time and Warner shareholders are scheduled to vote on the merger.

If Allen grants the restraining order, he would then hold hearings on whether to hand down an injunction against the stock swap.