Ron DeSantis signs a bill giving his new board the power to void development agreements between Disney and the former administration.
The latest development in the ongoing conflict between Florida Governor Ron DeSantis and Walt Disney Co. is the signing of a new bill. DeSantis recently passed a bill that allowed a new body of representatives to void any agreements the media giant had made with the former body.
The Republican-led legislature passed the new bill. The Central Tourism Oversight District Board consists of DeSantis’ appointed electives. The board can now void any deals between the media conglomerate and the previous governing body three months before its establishment.
According to DeSantis, the legislature passed the bill not because of the administration’s actions but because Disney believed they could act outside of the state’s laws. The company has not made any comments on the matter.
The new development board was formed early this year, in February. The new board took control of the Reedy Creek Improvement District. Reedy Creek was responsible for developing the 25,000 acres surrounding the amusement park. The new law has handed all control to DeSantis.
Disney-DeSantis Feud
The Florida governor and the media powerhouse have locked horns since last year. Last year, the company criticised a new state law that banned discussing sexuality and gender identity in schools.
DeSantis is a possible Republican Presidential candidate in the 2024 elections. He has repeatedly criticised the company for being too “woke” and liberal in their thinking. Such criticisms have been made public as well.
DeSantis states that there is a fundamental difference between what the company and the administration think should be taught in schools. He said he is considering the well-being of all those living in Burbank, California.
Before the new board was assigned, the media company pushed forward to make changes in the special tax district. These changes will restrict the board in the upcoming decades.
Lawsuit against DeSantis
Disney has filed a lawsuit against the Florida governor, stating that he is using the state government to punish them. They continue to state that any comments made by them are protected under free speech rights.
The company has lost nearly all its autonomy in the state due to the new laws. This affects the state negatively since the park attracts millions of tourists to central Florida.
The global media giant filed a suit against DeSantis at a federal courthouse in Tallahassee. They stated that the company aims to protect its employees, guests, and contractors from retaliation. This is due to certain viewpoints that are unfavourable for state officials.
According to a company statement, they are now defending themselves from state officials who are weaponizing the law. Bob Chopek, the former chief executive, had opposed the Parental Rights in Education Act. The law was also known as the “Don’t Say Gay” law.
DeSantis’ Countersuit
The Central Tourism Oversight Board recently appointed by Desantis has filed a countersuit against the media company. The suit talks about voiding any under-the-table deals in favour of the company.
Martin Garcia, chairman of the board, states that the board has no choice but to respond to the company’s suit. The new suit was filed at a state courthouse in Orange County, Florida. It talks about reversing a rushed business agreement that was one-sided.
According to the lawsuit, the media company wishes to protect itself from the newly appointed legislation and its laws. It did so by dubiously working with the former administration. The company wanted to maintain its autonomy for the next few decades.
The lawsuit alleges that the prior business agreements did not follow procedures. The former board did not inform the public, rendering the agreement non-enforceable.
Disney’s stock has seen a 16% rise this year compared to the 8% increase in the S&P 500 Index.