In a lawsuit, Disney has accused Florida Governor Ron DeSantis of orchestrating a “government retaliation” campaign. The new legal action escalates the conflict between the entertainment titan and the Republican politician significantly.
Since Disney’s criticism of a state law prohibiting the discussion of sexual orientation and gender identity in elementary schools, the two parties have been at odds.
State officials voided a development agreement involving the company’s Florida theme complex, prompting the lawsuit.
Disney asserted that Mr. DeSantis’ efforts to assert control over its operations were a threat to its business and a violation of its constitutional rights.
It asked the court to reverse the actions.
“Disney regrets that it has come to this,” the parks division of the company stated in the lawsuit filed in Florida federal court.
“However, after exhausting all efforts to find a resolution, the company has no choice but to file this lawsuit to protect its cast members, guests, and local development partners from a relentless campaign to weaponize government power against Disney in retaliation for Disney’s expression of a political viewpoint unpopular with certain state officials.”
Mr. DeSantis, who is presently on a world tour, previously characterized the state’s actions as an effort to remove special benefits for a company that was no longer in the public interest.
At one point, he stated that the state would not “bow down to California’s awakened executives.”
In response to the lawsuit, his communications director Taryn Fenske stated,
“We are unaware of any legal right a company has to run its own government or maintain special privileges not enjoyed by other businesses in the state.”
The lawsuit is yet another regrettable illustration of their desire to subvert the will of Florida voters and operate outside the law.
What causes the conflict?
The dispute with Disney, which opened the city-sized Walt Disney World in Florida in 1971 and is one of the state’s largest employers, has raised Mr. DeSantis’ profile as a potential Republican presidential candidate.
He has supported a prohibition on abortions after six weeks and the Parental Rights in Education Act, which critics have dubbed the “Don’t Say Gay” bill because it prohibits the discussion of sexual orientation and gender identity among students under the age of nine.
This month, the state expanded the moratorium to all grade levels. Last year, Disney criticized that law in response to employee pressure.
Subsequently, Florida legislators voted to restructure the special district that had been established more than 50 years ago to supervise the development of the land surrounding Disney World, which includes four theme parks, dozens of hotels, and numerous entertainment venues.
Mr. DeSantis was given the authority to appoint members to the district’s governing council, removing this authority from landowners in the 25,000-acre district, the largest of which is Disney.
Ron DeSantis proclaimed of the action,
“A new sheriff has arrived.”
Before the new board was installed, Disney reached a last-minute agreement outlining the scope of development in the district and granting Disney the right to evaluate any property modifications within its boundaries.
The contract limited the authority of the new board and included conditions that were valid in perpetuity or until “21 years after the death of the last survivor of King Charles III’s descendants”
Ron DeSantis stated that Disney “tried to pull a fast one” and announced government investigations and other possible actions. He openly mentioned new taxes, levies, and even the possibility of constructing a state prison near the parks.
Bob Iger, the CEO of Disney, described Mr. DeSantis’ dispute with the company as “anti-business” and “anti-Florida.”
In the lawsuit, the company stated that it intended to invest $17 billion at Walt Disney World over the next decade, noting that “development and investment of this magnitude cannot occur if they are subject to the whims of new political leadership”
It stated that the latest development deal was approved after appropriate public notice, including publication in a local newspaper.
Michael Allan Wolf, a law professor at the University of Florida who specializes in local government and property law, was astonished that Mr. DeSantis had taken on Disney.
However, he was not stunned by the company’s court response.
“What the governor and the legislature have been doing has had a cumulative effect,” he said. Given how the governor and legislature have targeted Disney, it is not surprising that the company is fighting back.
He stated that the company appeared to have a strong case, and he anticipated that other companies would be observing the dispute’s resolution.
Will other companies make comparable investments to realize ambitious visions in the state of Florida if they no longer have the assurance that the state will not yank the rug out from under them?” he asked.
Some Republicans have criticized Mr. DeSantis for his dispute with Disney, which appears to be at odds with traditional conservative views against government interference in the rights of businesses.
Former US president Donald Trump, who could be challenged by Mr. DeSantis for the Republican presidential nomination, stated that the governor had been “outplayed, outsmarted, and humiliated by Mickey Mouse.”
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