As the legal battle between Disney and Florida Governor Ron DeSantis continues, a state judge has denied Disney's plea to dismiss a complaint that might eventually result in the corporation losing its own special district.
DeSantis vs. Disney
Since making a deal with state legislators more than 50 years ago, the Walt Disney Company has had virtual autonomy over the Reedy Creek Improvement District in the Orlando region. This jurisdiction offers the full complement of government services, including police, fire, and emergency medical services, and the authority to collect extra taxes, The Western Journal reported.
In 2022, Disney officials fought hard to stop the legalization of Florida's Parental Rights in Education Act, which forbids students in elementary and middle school from expressing their sexual orientation or gender identity. In response, Florida Republicans said they would end Disney's tax breaks and self-governance. They recently implemented the Central Florida Tourism Oversight District in place of the Reedy Creek Improvement District, which removed Disney's control over the board.
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In DeSantis' Favor
According to a Reuters article, the new oversight board has filed a request to nullify any "backroom deals" that Disney may have had with the Reedy Creek board in the past.
On Friday, July 28, a Florida court denied Disney's motion to dismiss the case. The verdict might be a setback for a related Disney complaint against DeSantis that accuses him of "weaponizing" the state government against the corporation.
A Disney spokesperson told Reuters that the Friday judgment "has no bearing" on the federal lawsuit and that Disney is confident the case would clear its constitutional rights. "We are fully confident Disney will prevail in both the federal and state cases."
In a report by the New York Post, a federal lawsuit was launched against DeSantis in April on the grounds that he had turned state government against Disney because of the company's objections to his education legislation. In addition to the Florida state government, the complaint names former acting secretary of the Florida Department of Economic Opportunity, Meredith Ivey.
DeSantis filed a motion with a federal court asking that the case against the governor be dismissed on the grounds that he has legislative immunity. Disney, however, has asked that the trial be postponed until the first day of the Republican National Convention in 2024, which is July 15.
Mark Walker, a federal judge nominated by ex-President Barack Obama, was in charge of the case at first. Still, he had to recuse himself when he found out that "a relative within the third degree of relationship owns thirty shares of stock" in Disney, as reported by CNBC.
Former President Donald Trump has selected Allen Winsor as the presiding judge in this matter.
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