In an ongoing dispute between Disney and Florida Gov. Ron DeSantis over the area’s governance surrounding Disney World, Disney suffered a setback on Friday.
The state court rejected Disney’s attempt to throw out a lawsuit seeking state control over the future development of its Orlando theme parks.
This conflict arose when DeSantis and the state Legislature dissolved the Reedy Creek Improvement District, which Disney had controlled for 55 years, and established a new entity called the Central Florida Tourism Oversight District. This new district’s board, handpicked by DeSantis, filed a lawsuit in May, aiming to nullify two development agreements that granted Disney extensive control over the future development of its parks.
Disney retaliated by filing a separate lawsuit in federal court, alleging that DeSantis illegally seized control of the Reedy Creek Improvement District in response to Disney’s support for gay rights.
Disney argued that the state court lawsuit became irrelevant after the state passed a law to dissolve the development agreements. However, Judge Margaret H. Schreiber disagreed, stating that a genuine dispute remains over the validity of the contracts before the state’s intervention.
Additionally, the judge expressed concerns about the development agreements approved by the Reedy Creek board just before its dissolution. She noted that these agreements contradict the Legislature’s policies and could allow Disney to control all development rights and land use regulations in a heavily visited area of Central Florida.
Despite the setback, Disney remains confident about its position in state and federal lawsuits, seeking to protect its constitutional rights. A Disney spokesperson emphasized that Friday’s ruling has no bearing on their case in federal court.
The origins of this conflict trace back to 2022 when Disney opposed the controversial Parental Rights in Education bill, also known as “Don’t Say, Gay,” which regulates classroom instruction on sexual orientation and gender identity. Displeased with Disney’s opposition, DeSantis called a special session of the Legislature to dissolve the district, stating that the state would not bow to a “woke” corporation.
Disney now has 20 days to respond to the state lawsuit, and the legal battle between Disney and the Florida government continues to unfold.
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