Disney cites recent Ron DeSantis gloating as more evidence of a targeted campaign of government retaliation against Disney's free speech

May 08, 2023 in "The Walt Disney Company"

Posted: Monday May 8, 2023 12:49pm ET by WDWMAGIC Staff

The Walt Disney Company has updated its lawsuit against Florida Governor Ron DeSantis and the Central Florida Tourism Oversight District to include the most recent strikes against the theme park giant.

Disney opens the revised complaint with a quote from DeSantis made on May 5, "[T]his all started, of course, with our parents' rights bill." This statement refers to Disney's claim that it is being unfairly punished for speaking out against the DeSantis bill, known by opponents as "Don't Say Gay."

Disney says, "There is no room for disagreement about what happened here: Disney expressed its opinion on state legislation and was then punished by the State for doing so."

The lawsuit then moves on to mention some of the recent DeSantis and Oversight District moves to nullify existing Reedy Creek agreements through the Florida legislature.

The State's actions over the last two weeks are the latest strikes.

At the Governor's bidding, the State's oversight board has purported to "void" publicly noticed and duly agreed development contracts, which had laid the foundation for billions of Disney's investment dollars and thousands of jobs. Days later, the State Legislature enacted and Governor DeSantis signed legislation rendering these contracts immediately void and unenforceable. These government actions were patently retaliatory, patently anti-business, and patently unconstitutional. But the Governor and his allies have made clear they do not care and will not stop. The Governor recently declared that his team would not only "void the development agreement"—just as the State has now done, twice—but also planned "to look at things like taxes on the hotels," "tolls on the roads," "developing some of the property that the district owns" with "more amusement parks," and even putting a "state prison" next to Walt Disney World. "Who knows? I just think the possibilities are endless," he said.

Quoting a recent boast by DeSantis, Disney continues:

"Indeed, just days ago, reaffirming the unequivocal intent of his retribution campaign and trumpeting its perceived success, Governor DeSantis openly celebrated: "Since our skirmish last year, Disney has not been involved in any of those issues. They have not made a peep." This is as clear a case of retaliation as this Court is ever likely to see. At the Governor's behest, the State Legislature first voted to dissolve the long-standing RCID, then ultimately voted to give near-complete control of RCID to the Governor himself. As the Florida representative who introduced the Reedy Creek dissolution bill declared to the Florida House State Affairs Committee: "You kick the hornet's nest, things come up. And I will say this: You got me on one thing, this bill does target one company. It targets The Walt Disney Company."

You can read the complete text of the updated complaint here.

In the lawsuit, Disney asks the Court to:

  • Declare that the Legislative Declaration is unlawful and unenforceable because it abrogates Disney’s rights in violation of the Contracts Clause;
  • Declare that the Legislative Declaration is an unlawful taking of Disney’s property rights without payment of just compensation in violation of the Takings Clause;
  • Declare that the Legislative Declaration is unlawful and unenforceable because it was an arbitrary and irrational voiding of the Development Agreement and Restrictive Covenants in violation of the Due Process Clause;
  • Declare that the Legislative Declaration is unlawful and unenforceable because it was enacted in retaliation for Disney’s speech in violation of the First Amendment;
  • Declare that the Contracts remain in effect and enforceable;
  • Declare that Senate Bill 4C and House Bill 9B are unlawful and unenforceable because they were enacted in retaliation for Disney’s political speech in violation of the First Amendment;
  • Issue an order enjoining Defendants from enforcing the Legislative Declaration;
  • Issue an order enjoining Defendants from enforcing Senate Bill 4C and House Bill 9B;
  • Award Plaintiff its attorney’s fees and costs; and

The next board meeting of the Central Florida Tourism Oversight District is on May 10 2023.

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    josiah mazelin25 days ago

    I said basically. You just listed two rides at each park. My point is proven

    Goofyernmost26 days ago

    With the kind of promotion that they once were famous for were to be used, they can get all the hype they need and spend a hell of a lot less to do it. They have to make what they have be exciting and not worry about what others might be doing. They stayed on top for about 60 years doing that and then, I assume to give bigger bonuses to the executives, they stopped producing those things and even if they don't admit it, they are running scared at the moment, in spite of increased profits. They have to make that dominance last, but I don't see them doing that unless they fill up those empty buildings and put something good in them and promote, promote, promote. That is second only to location, location, location.

    Sirwalterraleigh26 days ago

    Galactic spirit Halloween was sorta in that ballpark

    Sirwalterraleigh26 days ago

    Nah…they’ve crossed the Rubicon on “attracting middle class families”. They’re well past that price point to make any such endeavor turn out to be anything but a “loss” to the stock wonks. That strategy was their philosophy for many years…expansion to create more traffic and sell more product across all business was Eisner 101 - essentially, but they dumped that 15-20 year ago. Limiting investment and all but eliminating expansion to cap overhead and then attempting to make more revenue/profit off what was already paid for. That strategy is incompatible with “expanding/pricing to make it more accessible”

    JoeCamel26 days ago

    It's non-sensical too, increase your costs to get less money per guest and do huge capital outlays? Bob sez nyet

    Tha Realest26 days ago

    There’s no evidence 1) this is happening, or 2) they intend to do this.

    ChrisFL26 days ago

    They had a 5th gate and they closed it..................DisneyQuest :p

    Advisable Joseph26 days ago

    Disney needs land to expand. Pulling guests from the Magic Kingdom and Epcot (or otherwise unceasing attraction supply for the guests), then lowering prices to increase volume (and income) and accessing middle-class families, while building out the other parks, is the idea. Would you consider a Magic Kingdom Colony across the Lagoon or part of the current parking lot, which guests could access with Magic Kingdom tickets, a "5th gate"? How about parking, so the park can expand into the old parking lot?

    gwhb7527 days ago

    Agree with this. The only unfortunate thing is that "expanding existing parks" doesn't get the same hype as "a whole new park". Now if we could only have a true expansion of existing parks (i.e. just add new things (like villains land) and not take things away first (like tropical americas in AK)).

    JoeCamel27 days ago

    I think a lot of the salivating over a new park is fatigue with the same offerings year after year or a dribble of something new. Stale has a stench. Fans have "done" everything in the parks time after time so they want new and "damn the cost it's what I want". Does not have to be logical or make sense it is a want and I need my wants fulfilled ipso facto TDO is going to build me a new park. Seems to point to someone who has never run a business nor cares if that business thrives to feed the stockholders

    monothingie27 days ago

    Forget the tremendous capital expense to build a new park. The most important thing to Disney is YOY growth. The quarterly earnings mean EVERYTHING to Bob and Wall Street. Key amongst that is that Disney cares tremendously about operational costs and maximizing LL revenue streams. While a new park may be tremendously popular, it also increases operational expenses significantly. It is also very likely that it will cannibalize a large portion of the existing guest base. LL brings in a tremendous amount of revenue for Disney. It works best for Disney with full parks, adding a new park will dilute LL revenue at the existing parks. If a new park was going to justify the build cost and not affect the OI for WDW, then shovels would have been in the ground already. They've done the analysis, and a new park is not financially viable at this point.

    lazyboy97o27 days ago

    Planning permission and building permission are two separate things. You need planning approval first. Comprehensive Plans (along with Master Plans, Future Land Use Plans and Zoning Plans) are also not set in stone and quite malleable.

    Dranth27 days ago

    I disagree with him on a number of things, but he isn't wrong on this one. They have underbuilt parks that can absorb a LOT more people if they expand them. Those parks have existing infrastructure which makes it easier and cheaper to develop and build out vs. an entire new park. They understand their main audience has limited vacation time and already know people are unlikely to extend their vacations but instead sacrifice one thing they would have done for something else. They have a strained employee pool that has never recovered from 2020 and staffing new builds in existing parks is WORLDS easier than trying to staff an entire new park. Even an entire parks worth of attractions built over the four current parks would require less staffing than the same number of attractions in a brand-new park once you factor in employees for back of house, support, utilities, security, transportation, etc. Sure, nothing is impossible, and I'll gladly admit to being wrong on this if it does happen, but it would be business malpractice to do so in Florida anytime soon. I would expect most of the other locations around the world with room to get a new gate before Florida.

    Centauri Space Station27 days ago

    Navi river, safari, Toy story mania, alien saucers?