Disney sued Ron DeSantis over "government retaliation" for their 'Don't say gay' war
Disney sued Florida Governor Ron DeSantis immediately after the Republican board took over their special district. According to the AP, the legal document argues that the company is a victim of a "targeted campaign of government retaliation" for opposing an Education bill restricting schools from teaching about sexual orientation.
The lawsuit came immediately after the special board DeSantis created to oversee Disney's operations in Florida voted to void a deal that gave the company authority over design and construction decisions in its theme parks.
The legal dispute is the latest hit in a battle that has lasted around a year. Disney is the biggest private employer in Florida, and Ron DeSantis is the most popular politician it has had in years. But after a dispute over the Parental Rights in Education Act, the governor declared war on the company.
The bill prohibits schools from teaching about gender identity and sexuality to pre-K to third-grade students. But it also amplifies the ban to only the "appropriate age," leaving schools vulnerable to lawsuits from parents if they address these topics at any moment.
At first, Disney did not respond to DeSantis' intentions to approve what critics call the "Don't say gay" law. The company sent an email showing its support for LGBTQ+ workers. It claimed that a corporate statement would not change anything and could be weaponized.
After the first statement, workers struck against former CEO Bob Chapek's slow response to the bill and his lack of public support for the LGBTQ+ community.
After the internal backlash, Chapek spoke against the law and donated five billion dollars to organizations fighting for the rights of the LGBTQ+ community. When DeSantis signed the bill, the company said it would help repeal it.
DeSantis answered immediately, lashing out against what he called a "woke corporation" in front of his supporters. He later threatened to remove their "special privileges" in the state. "Disney has alienated many people now," the governor said at a press conference. "Why would you want special legal privileges?" he continued.
DeSantis was referring to Disney's system of self-governance. Walt Disney and his brother arranged with state officials more than 50 years ago after they presented their plans to build a futuristic city.
Their special district, then called Reedy Creek Improvement District, allowed them to build and manage their theme parks, resorts, and hotels as a local government with their own regulations.
The company manages health and emergency services, its private police, and a fire department. It also handles all the power and water services in the area.
DeSantis' original plan was to eliminate the special district and strip Disney of all its self-governing privileges. However, according to The Financial Times, it could have transferred a $1 billion debt load to the state, shifting the costs of essential services to taxpayers.
The final legislation that DeSantis signed only took a few privileges away, despite him saying that he "ended" Disney's "corporate kingdom." Disney just lost the possibility of building an airport or a nuclear plant. It also changed the name of the particular area to Central Florida Tourism Oversight District.
The governor's most significant achievement was creating the oversight board to handle the company's new construction projects. The new organism has little say in how the company operates the parks but enough to prevent them from future developments in what used to be their district.
According to The Financial Times, DeSantis, who is still expected to announce his candidacy for the 2024 elections, packed the board with political allies. One was the founder of Moms for Liberty, an association that championed the 'Don't say gay' bill.
According to several experts cited by The Financial Times and The LA Times, the board was designed to give DeSantis leverage over the company for approval of new construction projects. Richard Foglesong, a historian and author of a book about the company, told the outlet that "the composition of the board poses a threat to Disney's business interests."
"That's a combustible mix, it seems to me, to have people who are censors who are working as supervisors for an arm of the Walt Disney Company," Fogleson told The LA Times.
Foglesong compared the strategy to DeSantis' takeover of the New College of Florida in Sarasota, a progressive school. He changed six of the board members and appointed allies. It voted to abolish diversity, equity, and inclusion programs.
The battle will not stop any time soon. "We are unaware of a company's legal right to operate its own government or maintain special privileges. 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," said DeSantis spokeswoman Taryn Fenske in a statement collected by the Associated Press. Florida's government will fight back.