Disney sues Florida Governor Ron DeSantis for 'campaign of government retaliation'

Apr 26, 2023 in "The Walt Disney Company"

Posted: Wednesday April 26, 2023 12:00pm ET by WDWMAGIC Staff

Walt Disney Parks and Resorts has filed a lawsuit against Florida Governor Ron DeSantis following today's board meeting of the Central Florida Tourism Oversight District where it approved the motion to void Disney's agreements with Reedy Creek.

Named in the lawsuit alongside the Governor is the entire DeSantis appointed board of the new governing district. Law firms Wilmer Cutler Pickering Hale and Dorr LLP of New York, O'Melveny & Myers LLP of Los Angeles, and Losey PLLC of Orlando Florida are acting as attorneys for Disney.

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
  • Grant such other relief as this Court may deem just and pro

In a federal court filing with the U.S. District Court for Northern District of Florida, Disney says:

1. For more than half a century, Disney has made an immeasurable impact on Florida and its economy, establishing Central Florida as a top global tourist destination and attracting tens of millions of visitors to the State each year. People and families from every corner of the globe have traveled to Walt Disney World because of the unrivaled guest experience it provides and the deep emotional connection that generations of fans have with Disney's timeless stories and characters.

2. A targeted campaign of government retaliation-orchestrated at every step by Governor DeSantis as punishment for Disney's protected speech-now threatens Disney's business operations, jeopardizes its economic future in the region, and violates its constitutional rights.

3. Today's action is the latest strike: 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. This government action was 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 they did today-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.

4. Disney regrets that it has come to this. But having exhausted efforts to seek a resolution, the Company is left with 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 expressing a political viewpoint unpopular with certain State officials.

You can read the entire 77 pages of the lawsuit here.

Following Disney's lawsuit filing today, the governor's office released a statment. "We are unaware of any legal right that a company has to operate its own government or maintain special privileges not held by other businesses in the state. This lawsuit is yet another unfortunate example of their hope to undermine the will of the Florida voters and operate outside the bounds of the law."

Discuss on the Forums

Get Walt Disney World News Delivered to Your Inbox

View all comments →

JoeCamel15 days ago

Juicy

DCBaker15 days ago

The CFTOD has added a Board of Supervisors meeting next Wednesday, September 11, at 7pm. Here's the published agenda:

V_L_RaptorAug 10, 2024

I'm sensing an opportunity for Super High Intensity Training, here.

flyakiteAug 09, 2024

I am not sure if this is relevant to anyone anymore. So if not, sorry for the bump.

cranbizJul 30, 2024

Don't forget eNPS.

pdude81Jul 30, 2024

Don't taze me, bro

Nubs70Jul 30, 2024

Ack!!!!! That one is the worst..... I see your NPS and taise you a SalesForce

Batman'sParentsJul 30, 2024

https://www.bizjournals.com/orlando/news/2024/07/29/disney-attorney-roy-payne-fishback-dominick.html?cx_testId=40&cx_testVariant=cx_11&cx_artPos=1#cxrecs_s or for those who can't see past the paywall: The Central Florida Tourism Oversight District's supervisor board voted July 24 to bring on attorney Roy Payne as in-house counsel. Until now, the entity that governs Walt Disney World property in Orlando had Fishback Dominick law firm on retainer. Stephanie Kopelousos, district administrator since March, said the district needs someone who can provide consistent, on-site legal guidance, which external counsel cannot always offer. Board members echoed the sentiment that having an in-house counsel like Payne would ensure the district's legal needs are met more effectively. “When I came in, I thought it was important for our team to have someone here day to day,” she said. Before introducing Payne, Kopelousos said she had conducted a search with help from Craig Mateer, the most recent addition to the board. Payne, who until now was chief assistant city attorney for Orlando, got the job in part due to his 33 years as a lawyer for local government. "The district, as you know, is a very unique animal,” Payne said. “It's a special kind of organization ... The learning curve is a little more than I was expecting because things are done quite differently here than in your typical municipal corporation or county, but it's been refreshing to be a part of this." The district’s latest approach to legal counsel is not a reflection on the quality of services provided by Winter Park-based Fishback Dominick, said Vice Chair Charbel Barakat. Crediting attorneys Kurt Ardaman and Daniel Langley of Fishback — who attended the board meeting — for putting the puzzle pieces of the district in place, he said, "You all have helped us build policies and procedures that have made this a best-in-practice, best-in-breed government going forward. We're going to continue to build on that work and the foundation you all have built." The district's board members were appointed last year by Gov. Ron DeSantis to replace the Reedy Creek Improvement District special government as part of a year-long feud between the governor and Disney. Board members said Ardaman and Langley will help transition the Central Florida Tourism Oversight District from outside special counsel to in-house general counsel, particularly concerning ethical and conflict-of-interest issues. Payne said he already has a prior relationship with Fishback Dominick, having worked with the firm on cases during his tenure with Orlando.

JoeCamelJul 30, 2024

Gee I haven't checked my Net Promoter Score lately.......

Nubs70Jul 30, 2024

While a little buzz wordyish.... KPI's are at least measurable.

Nubs70Jul 30, 2024

You either have one or have been victimized by one that does.

mktJul 30, 2024

Unfortunately, I am currently bandwidth-constrained and unable to allocate resources to this task. Let's touch base later to reassess priorities. Understood. We'll ensure our communication is both robust and paradigm-shifting to adhere to best practices and maintain a gold standard. Indeed, they're strategically right-sizing to optimize individual cast member potential, thereby enhancing overall operational efficiency and maximizing ROI.

GCTalesJul 30, 2024

I thought they were just right sizing to maximize individual cast member potential

VacationeerJul 29, 2024

Best practices are to squeeze robust and paradigm in somewhere