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Disney and Florida Gov. Ron DeSantis' Allies Reach Settlement in Lawsuit

  • Disney and Florida Gov. Ron DeSantis' Allies Reach Settlement in Lawsuit
    Disney and Florida Gov. Ron DeSantis' Allies Reach Settlement in Lawsuit
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Society
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After nearly two years of legal battles, a settlement agreement has been reached between allies of Florida Governor Ron DeSantis and Walt Disney World. The agreement, approved by the DeSantis-appointed members of the Central Florida Tourism Oversight District board, marks the end of a contentious dispute over the future development of the theme park resort.

The litigation was ignited by Governor DeSantis' assumption of control over the district from Disney supporters, a move triggered by the company's opposition to Florida's controversial "Don't Say Gay" law. This law, enacted in 2022, prohibits classroom discussions on sexual orientation and gender identity in early grades, and was vigorously championed by the Republican governor.

Under the terms of the settlement, covenants and a development agreement previously made between Disney supporters on the board and the company have been dropped. Instead, the new board has agreed to operate under an earlier plan. Jeff Vahle, President of Walt Disney World Resort, expressed satisfaction with the agreement, stating that it opens a new chapter of constructive engagement and serves the interests of all parties involved.

Governor DeSantis, who welcomed the settlement during a news conference in Orlando, asserted that his actions had been vindicated. He emphasized that the disputed covenants and restrictions were deemed invalid from the outset.

The legal dispute originated when DeSantis assumed control of the governing district through legislation passed by the Republican-controlled Florida Legislature. Disney responded by suing DeSantis and his appointees, arguing that their free speech rights were violated when the company spoke out against the "Don't Say Gay" law. A federal judge dismissed Disney's lawsuit in January, but the company appealed the decision.

Prior to the change in control of the district, Disney supporters on the board had entered into agreements with the company, granting Disney greater control over design and construction at Disney World. However, DeSantis' appointees contended that these agreements undermined their authority, leading to the district's lawsuit against Disney in state court.

The settlement agreement acknowledges that the comprehensive plan approved by Disney supporters before DeSantis' takeover is null and void. Additionally, a development agreement and restrictive covenants passed before the takeover are deemed invalid. Moving forward, the comprehensive plan from 2020 will be utilized, with the new board empowered to make amendments as necessary.

As part of the settlement, Disney has agreed to temporarily suspend its appeal of the federal lawsuit and drop a public records lawsuit against the district. Richard Foglesong, a Rollins College professor emeritus and expert on Disney World's governance, characterized the settlement as a mutual acknowledgment of compromise.

The resolution of this legal feud paves the way for renewed cooperation between Disney and the district's new leadership, signaling a potential era of collaboration and economic opportunity in the state.