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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    JoeCamel1 day ago

    Saved them a bunch of cash

    Chi841 day ago

    The State was happy with the way things were. For many, many years.

    mikejs781 day ago

    My gut says that beginning in 2027 there will be legislation that slowly picks away at CFTOD and gradually returns control to Disney. It won't happen all at once - but I bet it will happen.

    Chi841 day ago

    There's a battle being lost, but it's not really a PR battle and it only tangentially involves Disney.

    mkt1 day ago

    You’re right that there wasn’t a massive public rally to defend Disney. At least not in the way we often see with political figures or causes. But that doesn’t mean they lost the PR battle. It just means they played it differently. They didn’t need cheering crowds. They let the state’s actions speak for themselves. The Lake Nona cancellation - whether intentional or not - ended up being the loudest statement. Thousands of high-paying jobs. Gone. Local business groups noticed. Real estate noticed. Economists noticed. That stuck. Meanwhile, the “win” Florida claimed was largely symbolic - swapping one board for another - while Disney kept building, kept expanding, and retained the infrastructure and bond authority they needed. The machine never stopped. And let’s not forget: the only only people visibly waving flags on the property line during this entire episode? They were on the state’s side, and those flags bore symbols we all agree have no place in a civilized society. So no - Disney didn’t lose the PR war. They just didn’t fight it with soundbites. They let time and economic impact do the talking.

    flynnibus1 day ago

    Who came to defend Disney? Who lined up to call out DeSantis' action? Who lined up to point out the cabel action in the Legislature? Who used Disney as an example of what can happen? I'm not talking about who wrote stories to cover the news.. I'm talking about who put their name on the line to call out the injustice that was happening? How many people did you hear regurgitating the false propoganda about taxes? How many people did you hear thinking this RCID thing was some long running scam that was time to go? I'm talking about who the gen pop saw as in the wrong... most did not flock to defend Disney... they saw it as some corporate scam that finally was being taken down.. Disney was pretty much the target of the most direct, blatant, outright cheered political driven retribution I can think of in any recent memory... and the gen pop thinks DeSantis was eliminating corporate benefits and DEI non-sense. That's the PR battle Disney lost.

    Prince-11 day ago

    Oh Ronnie didn't need Disney's help to accomplish that. He was never going to be president.

    MR.Dis1 day ago

    Disney won in one respect, this incident totally destroyed a certain Govenors hope of ever being seen as Presidential material.

    mkt1 day ago

    That’s a fair framing if you’re evaluating from a strictly structural standpoint Yes, Disney no longer controls the board, and yes, they negotiated toward a new normal rather than scorched-earth resistance. But to say they “lost the PR battle”? I strongly disagree. Florida came off as punitive, erratic, and willing to jeopardize thousands of high-paying jobs over a political tantrum. The Lake Nona cancellation - whether coincidental or not - felt like fallout, and perception did the heavy lifting. That loss is now linked to the state’s actions. No press release needed. Florida is viewed as having cost the region several thousand high earners, along with their housing demand, business growth, and tax revenue. That’s not just bad optics. That’s third-world-level policy sabotage. Meanwhile, Disney kept building. The board that was supposed to rein them in greenlit a $17B expansion. Bond authority stayed. Infrastructure control stayed. Functionally, nothing stopped. Sure, the expansion brings jobs. But they're mostly tourism and hospitality roles. These aren't six-figure white collar transfers — they're hourly park positions. Florida traded a long-term white-collar boom for a short-term PR win and a few more popcorn carts. That’s not a victory. That’s a downgrade. If anything, Disney let Florida win the headline, then quietly walked away with the outcome. That’s not “dealing with the devil.” That’s knowing when to let the devil shake his fist at a cloud while you pour the foundation for your next park expansion.

    LAKid531 day ago

    Precisely

    UNCgolf1 day ago

    Indeed. And while I wish Disney had fought to the end, that was never likely. Publicly traded corporations just don't really operate that way. For example, I've represented corporate clients who had a good chance of prevailing against the government in regulatory investigations, but they would have spent more on the fight than they spent on the settlement -- so they settled. There's always going to be a cost/benefit analysis (which often involves more than just the potential legal fees) regardless of whether they think they're right. Incidentally, this is one of the reasons Harvard is more likely to fight to the end in their current litigation (although that's certainly not guaranteed). They don't have to worry about shareholders, although they do have some other outside concerns.

    mkt1 day ago

    I’m not saying the federal case was a slam dunk - just that it existed as leverage. Whether or not Disney would’ve won, the filing let them signal "We’re not done here" and gave them a legal foothold to keep the conversation going on their terms. Especially if the next version landed in front of a more sympathetic judge. Did Florida technically get what it wanted? Sure - RCID was dissolved, and they got to appoint their own board. But functionally, Disney’s still operating almost exactly as before. The board isn’t pushing back. Permits are gliding through. That’s billions in infrastructure and expansion moving forward without friction. So if we’re scoring this on optics, Florida "won." But if we’re scoring on actual outcomes? Disney never really stopped. I’d call that a check, not a checkmate.

    Chi841 day ago

    We don’t know what would have happened if Disney hadn’t settled. But government bullying definitely had its day.

    flynnibus1 day ago

    Well because there was a distinct pivot in Disney's approach to the entire story here.. and it coincided with the change in CEO. And some people are painting Disney of 2022 the same as the Disney of 2024 as if there is a continuity there.. when there is a very stark CHANGE that happened.. so being explicit in what was behind that change matters. The comment refers to accepting CFTOD as it is and how it's managed, and the policies that drive it vs what existed prior. We can see even now, how almost overnight the CFTOD can go from "friendly" to combative... and flip again almost as quickly. That's the new world world they have accepted. Disney was the party impacted - it is on Disney to fight that fight if anyone were to file suit to contest it. Others can't do it from the outside...

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