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A Disney investor alleged in a new lawsuit that the Mouse House created a “significant” financial risk for itself by opposing Florida’s notorious “Don’t Say Gay” bill.
Kenneth Simeone, an investor, filed a 22-page lawsuit late Friday night demanding that Disney disclose its internal papers about its opposition to the bill restricting instruction on sexual orientation and gender identity in elementary schools.
The lawsuit claims that by opposing the statute, Disney lost control over tax and improvement issues at the Orlando amusement park.
Simeone said in court documents that “the financial implications of Disney’s acts and the resulting harm to the corporation and its stockholders have been fast and severe.”
In March, Florida Governor Ron DeSantis signed a contentious bill into law.
Disney did not returns calls for comment.
According to Bloomberg News, the complaint is a so-called “books and records” action, requesting documents that can be used to challenge Disney officials in the future for their choice to reject the Florida law. Bloomberg reports that Delaware justices grant such file requests frequently.
The “Don’t Say Gay” controversy erupted during the tenure of former Disney CEO Bob Chapek, who originally wavered in his response to the measure and chose not to weigh in. Chapek opposed the law and vowed that Disney would cease all political contributions, provoking ire from Disney employees.
After the firm protested the “Don’t Say Gay” law, Disney World lost its special municipal district status.
Late in March, DeSantis swiftly signed the bill into law. Several weeks later, DeSantis signed legislation that would abolish the Reedy Creek special-municipal district that Disney has maintained in the state since the late 1960s.
The breakup of Reedy Creek means that Disney lost control of choices about taxation, infrastructure improvements for the theme park and its neighboring areas, and could be on the line for billions in more debt.
Since CEO Bob Iger’s return to the corporation, relations between Disney and Florida have improved slightly.
Chapek was replaced by longtime CEO Bob Iger in late November amidst mediocre financial performance and a series of public relations missteps. Iger, who stepped down as CEO two years ago, has emphasized Florida’s significance to the corporation. According to rumors, the Sunshine State is relaxing its stance and revising the agreement.
»Investor sues Disney for its response to the ‘Don’t Say Gay’ bill«