Disney, Fla. settle suit sparked by ‘gay’ flap

The legal battle between Florida and Disney over how the company’s properties are developed in the future appears to have been resolved, with both parties agreeing to a settlement over control of the special district that includes Orlando’s Walt Disney Resort.

Members of the board of the Central Florida Tourism Oversight District voted unanimously Wednesday to accept a deal proposed by the House of Mouse to end the lengthy and often bitter dispute sparked by the company’s opposition to the “Don’t Say Gay” bill, a law championed by Gov. Ron DeSantis.

The controversial legislation, which prohibits classroom instruction on sexual orientation and gender identity in early grades, was signed into law in early 2022 and became one of the hallmarks of DeSantis’ then-upcoming, and now-failed, run for the White House.

After Disney expressed opposition to the bill, DeSantis retaliated against the company by signing a bill barring Disney from self-governing the areas around its theme parks in central Florida.

Disney’s self-governing sector, the Reedy Creek Improvement District, was dissolved through a bill passed by the state’s Republican-controlled Legislature, after which DeSantis appointed a new board of supervisors.

Since then, legal actions between both parties have grabbed national headlines, with Disney arguing the Republican governor was leading a “targeted campaign of government retaliation” against the company because of its position against the law.

That lawsuit was rejected by a federal judge earlier this year, but the company said it had plans to appeal.

On Wednesday, both sides reached an agreement over how Disney’s properties in Florida are governed in the future, following the takeover of the district.

Under the agreement, Disney conceded that a set of agreements involving the design and construction of the resort — which had just been signed days before DeSantis’ allies took control — is null and void.

“This agreement opens a new chapter of constructive engagement with the new leadership of the district and serves the interests of all parties by enabling significant continued investment and the creation of thousands of direct and indirect jobs and economic opportunity in the state,” Jeff Vahle, president of Walt Disney World Resort, said.