Last year, I criticized the lawsuit of Disney against Florida after losing its special status in the former Reedy Creek Improvement District. U.S. District Judge Allen Winsor in Tallahassee appears to view the matter as dimly as I did. He just dismissed the action in a major loss for the House of Mouse.
Disney decided to go public with a campaign against the popular parent rights legislation for Florida schools. Florida responded by removing the special status long enjoyed by the company. There is another lawsuit pending in state court.
Judge Winsor found that Disney lacked standing to sue DeSantis, the secretary of the Florida Department of Economic Opportunity and the new governing district. The separate lawsuit is still pending in state court in Orlando.
The court found that the law was constitutional on its face. As a result, it found no standing to challenge the law under the First Amendment. As I noted earlier, Disney was effectively saying that a state legislature could not remove special status and create greater uniformity with all companies under this law. Even if there were retaliatory purposes, there was clearly a public policy reason for seeking such uniformity. If the courts were to block it, it would invite a major intrusion of the courts into decisions on the priorities of legislatures. As the court noted, Disney is “not the district’s only landowner, and other landowners within the district are affected by the same laws.”
Disney seems to be doubling down and said it would “press forward with our case.” It insisted that “this is an important case with serious implications for the rule of law, and it will not end here.” So once again, what does the company hope to achieve? Is a court truly going to order Florida to maintain special status ad infinitum?
Judge Winsor noted:
“It is true that the laws did not affect all districts, and it is true (at least accepting Disney’s allegations) that Disney faces the brunt of the harm. But Disney offers no support for its argument that the court is to undertake line drawing to determine just how many others a law must cover to avoid ‘singling out’ those they affect most. Here, it is enough to say—as in Hobart—that the law ‘challenged in this case is not pinpointed against a named individual or group; it is general in its wording and impact.””
Disney’s lawyers seem to be pushing a legal claim with the same logic of many of the company’s new movies: waiting for the audience to change its mind rather than changing its strategy.
We have been discussing the shareholder revolt in some companies over social and political agendas that are suppressing profits at companies like Disney and BudLight. Recently, Disney admitted that it was driving away consumers with its controversial positions and Disney CEO Bob Iger has indicated that he wants to return to selling products and not social reforms. With Disney films cratering and the company losing its position as the top grossing film company, shareholders are threatening to take action.
The problem for Iger is turning a massive company around after years of reinforcing this role as a corporate culture warrior, including layers of hires over the years reinforcing this culture. It also needs to address damaging public comments from Disney figures.
Disney recently seemed to acknowledge that it is facing its own Bud Light moment. In its annual SEC report, Disney acknowledges that “we face risks relating to misalignment with public and consumer tastes and preferences for entertainment, travel and consumer products.” In an implied nod to Smith, the company observes that “the success of our businesses depends on our ability to consistently create compelling content,” and that “generally, our revenues and profitability are adversely impacted when our entertainment offerings and products, as well as our methods to make our offerings and products available to consumers, do not achieve sufficient consumer acceptance. Further, consumers’ perceptions of our position on matters of public interest, including our efforts to achieve certain of our environmental and social goals, often differ widely and present risks to our reputation and brands.”
Yet, the company is continuing to litigate against a popular parental rights law to demand a special status denied to other companies. That is unlikely to play any better in court than many of these films have played in theaters. What is not clear is whether shareholders support this ill-conceived legal effort. This week, Disney is hardly the happiest place on Earth but it certainly seems like the most litigious.
Here is the decision: Disney Dismissal-Order
Such a “burden”.. uh, burden. Disney Inc thought that they could abort the baby, cannibalize her profitable parts, sequester her carbon pollutants, and have her, too.
If I were a Portfolio Manager of a large institution, such as a Mutual Fund, an ETF, a State Teachers and Public Employee Retirement Fund, and the like: I no doubt would be unloading the Disney common stock in the portfolio, strategically, and taking bearish positions such as put options, in anticipation of further declines in the stock. To me, as an Analyst, Disney is a $40 stock, selling at $90, which used to be a $190 stock when they had their heads screwed on right —-More managers are thinking of doing the same over the next year or so.
If you were my portfolio manager I would fire you.
What you are recomending is raw gambling.
Some one made the claim teachers retirement funds took as ~30% hit in value. That is way to heavy in a single stock.
Even more news. The Immunity decision from the 5th Cir appellate court is now delayed more than 3 weeks. This decision was supposed to appear almost immediately Pan and her Biden cohort were ready to write the decision on a napkin day of the hearing – yet no decision.
The delay associated with the apeal to SCOTUS can not start until there is a final decision from the 5th appellate pannel.
Maybe tomorow, maybe a month. Maybe 3 months
Tick Tock, Tick Tock.
Who knows maybe it is possible that the panel is having trouble crafting a decision that will protect Biden while leaving Trump exposed.
Or maybe they are trying to hold something that the Supreme court is not going tot throw in their faces.
Regardless, tick tock, tick tock.
It is already highly unlikely the case will proceed before the election.
Which means its over.
I think you mean the D.C. Circuit.
In other news a Whistler blower in Willis’s office has released a recording of a converstation between her and a superior with Willis involved regarding a federal grant.
The WB wrote the grant request that the Fulton County DA was ultimately awarded. The grant specifies narrowly and exactly what the money was to be used for. The recording has the WB’s superior directing her to redicrect the money to MacBooks and vacations and other office perqs.
As a result of this confrontation the WB was FIRED by Willis, and escorted out of the offce by 9 armed security people.
This is very bad news for Willis as it makes the claim that she was getting illegal kickbacks in the form of vacations and entertainment from Wade even more compelling. I beleive there are currently 7 investigations of Willis going on, several by Fulton county democrats – who are pissed.
In a hearing regarding the failure of the DA’s office to provide discovery – with the attorney from the DA’s office hemming and hawing,
Defense attorney’s reserved the right to file selective prosecution lawsuits later and were asking the judge to order discovery consistent with finding even more evidence of that. The DA’s office refered to WH communications as “merely” logistics. There is virtually no possible logistical relationship between the WH and Willis’s office that does not feed to political prosecution, selective prosecution and election interferance claims.
Increasingly attorney’s commenting on the case are saying that everything is flipped, that Willis is not merely on the defense regarding the case against Trump, but not fully on defense against myriads of investigations – increasingly likely criminal charges including federal fraud,
and that it is not only likely the case dies, but that even if no criminal charges are brought that Willis is sued By Trump and other defendants.
I now that those on the left do not understant this but all this lawfare works together.
Bragg jumping the shark made it much easier for Willis and Smith to file their cases.
But this works the other way too. Willis’s case going down the tubes negatively impacts the other cases.
There is wioth certain going to be serious discovery regarding Willis’s coordination with the WH and DOJ.
That is going to put the spotlight on Bragg, and James and Smith – and even Kaplan with regard to their coordination with DOJ or the WH.
Here is the rising and the audio recording.
https://youtu.be/r1OgjyE0f0Q?list=PLOhPOwZEWwMEAzX2QR2M4FS_3xMshkA4h
In a post recently DM defamed Alina Habba over her claim that there was a conflict of interest between Attny Kaplan and Judge Kaplan.
Attny Kaplan has said they never worked together, Habba has withdwarn her letter – for the moment. There is now an unnamed source – a partner int he firm that claims that the Two had a close relationship and specifically described it as a mentor/mentee relationship.
This is still an unnamed source.
However Contra DM – it is not merely Habba’s right – it is her Duty to look into this further.
It ultimately may prove to be false. It appeals that the Two only worked at the same firm for a little over 2 years.
But as is typical of left wing nuts – FM presumes that any fact free claim regarding a republican is true and needs no further investigation and any negative claim regarding someone he supports ius false and no further investigation is necescary.
I do not know the truth.
I do know that if Attny Kaplan who has now denied any relationship and Judge Kaplan who has been silent turn out to have worked together – this is going to pose a very serious problem for both.
Conversely if it proves to be false – there can be no consequences for Habba – because she was doing her job and trying to verify a credible story.
The story was from the NY Post – which has been the most reliable major source of information on Trump/Biden.
They have been right when everyone else was wrong.
Speech has consequences; Disney spoke and is now seeing the consequences of that speech.