Disney Faces New District in State Court

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Legal representatives of Disney Parks and its new oversight district finally met in court on Friday, July 14.

While Disney looks to serve as the plaintiff in a federal case, which has yet to secure a court date, it meets the Central Florida Tourism Oversight District (CFTOD) in the 9th Circuit Judicial Court as the defendant.

The issue: whether or not CFTOD had the authority to void a 30-year development agreement Disney Parks and Resorts U.S. Inc., made with its previous governing body, the Reedy Creek Improvement District (RCID).

CFOTD argued that a case to determine whether or not the agreements made by Disney with its now dissolved but hand-picked board of supervisors were valid is necessary.

Disneyโ€™s lawyers argued the case should be thrown out, arguing that their agreements were legitimate and followed the governing law.

The sitting judge made no ruling on the matter and asked each side to prepare and submit a proposed order as if she had ruled in either oneโ€™s favor.

Disneyโ€™s 30-Year Contracts: Void or Valid?

Citing one of Floridaโ€™s laws, SB 1604, Disney argued that every requirement of the law was followed to the letter.

The attorney cited a paragraph that acknowledges that any special district is โ€œprecluded from complying with the terms of any development agreementโ€ that was executed within three months before a law changing the members of the governing body.

It also says that a districtโ€™s new governing body must review any development agreements that did not take effect or were executed until after this law was passed within four months of the membersโ€™ first taking office.

The 30-year Disney development agreement was signed by RCIDโ€™s board of supervisors on February 8.

HB-9B, the legislation that transformed RCID into CFTOD was passed on February 27.

This bill was signed into law by Governor Ron DeSantis and went into effect on May 5.

Mr. DeSantisโ€™ hand-picked CFTOD board of supervisors held its first meeting on May 8.

Byย T.J. Muscaro

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