In Orlando, Florida, an appellate court has granted Disney’s request for a two-month pause in a federal lawsuit against Governor Ron DeSantis and his appointees to Walt Disney World’s governing district. This pause comes after the two sides reached a settlement on separate litigation in state court. The settlement deal involves two Florida lawsuits between Disney and the DeSantis-appointed Central Florida Tourism Oversight District, which provides municipal services to the area. The district was taken over by DeSantis appointees last year, leading to litigation over how Disney World will be developed in the future.
As part of the settlement, Disney agreed to pause the separate federal lawsuit, which is being appealed, pending negotiations on a new development agreement with the DeSantis appointees. The settlement deal halted almost two years of litigation that began when DeSantis took over the district from Disney supporters following the company’s opposition to Florida’s Don’t Say Gay law. This law prohibited classroom lessons on sexual orientation and gender identity in early grades and was supported by the governor. In response to Disney’s opposition to the law, DeSantis appointed a new board of supervisors and took over the governing district through legislation passed by the Florida Legislature.
Before the DeSantis appointees took over the district, the board, comprised of Disney supporters, had agreed to give Disney control of Disney World’s design and construction. The new appointees claimed that these agreements limited their powers and filed a lawsuit in state court to have them voided. Disney, in turn, filed counterclaims and asked the court to declare the agreements valid and enforceable. Under the settlement agreement, the development agreement and covenants giving Disney design and construction control will be considered null and void, and the new board has agreed to operate under a master plan that was in effect before DeSantis took over the district.
Disney had a deadline approaching to file an opening brief in its appeal to the federal Eleventh Circuit Court of Appeals, but that deadline has now been extended to mid-June. The settlement has put a pause on the federal lawsuit, allowing for negotiations to take place regarding a new development agreement with the DeSantis appointees. This resolution comes after almost two years of litigation between Disney and the district, which was sparked by the takeover of the district by DeSantis appointees following Disney’s opposition to the Don’t Say Gay law. The settlement marks a step towards resolving the legal disputes between Disney and the state of Florida.
