Three major media companies will ask the U.S. Court of Appeals on Monday to reverse a ruling that blocked the launch of their Venu Sports streaming service, arguing that a district court judge was wrong to halt its planned debut on antitrust grounds.

Quite literally, while I was on the courthouse steps, literally, we’ve reached a deal,” said Cravath, Swaine & Moore partner J. Wesley Earnhardt, who represented Disney.

Disney’s Hulu + Live TV and sports streaming service Fubo are combining in a deal that will also see the settlement of a lawsuit against the creation of Venu Sports.

As part of the transaction, Disney will fold its Hulu + Live TV business into Fubo, creating a new venture that will be 70% owned by Disney and the rest by Fubo, Disney said in a statement on Monday, confirming an earlier Bloomberg report. With a combined 6.2 million subscribers in North America, the new venture will trail only YouTube TV.

Disney’s Hulu + Live TV service and Fubo will merge, creating one of the country’s largest pay TV providers, the companies announced Monday in a surprise deal that will potentially allow the Venu Sports streaming service to move forward.