Disney and DeSantis' tourism board reach settlement. Is the 2-year Florida feud over?

After two years of public battling, insults and back-and-forth lawsuits, the war between the Magic Kingdom and Gov. Ron DeSantis seems to have been called off, at least for now.

On Wednesday members of the Central Florida Tourism Oversight District, the board hand-picked by DeSantis to take control over Disney World's improvement district, voted unanimously to accept a deal with Walt Disney Parks and Resorts to drop most of their legal disputes and move forward, according to The Associated Press.

Why was Disney suing DeSantis?

In 2022, after Florida passed a parental rights law banning instruction of sexual orientation and gender identity in schools (called the "Don't Say Gay" law by critics), Disney's then-president publicly criticized it and said the company would work for its repeal.

DeSantis lashed out against the company in speeches and worked toward stripping Disney's 56-year-old self-governing special district, Reedy Creek Improvement District, and putting control of the park's development and services under a new board appointed by the governor, the Central Florida Tourism Oversight District.

DeSantis continued to rail against Disney as "woke," eventually making it a centerpiece of his 2024 presidential campaign speeches and suggesting the state might put tolls on roads near the parks or build a prison nearby. Recently returned Disney president Bob Iger called his moves "anti-business" and "anti-Florida."

The entertainment giant sued, saying DeSantis led a "targeted campaign of government retaliation" against the company and alleged five different violations of Disney’s constitutional rights by DeSantis, including two free speech violations, a property rights violation, a due process violation and a violation of the contracts clause.

The First Amendment lawsuit was rejected by a federal judge in January of this year, but Disney planned to appeal.

There also was a fight between Disney and the Central Florida Tourism Oversight District. On the day before the Florida House voted to establish the new board, Reedy Creek and Disney approved two contractual agreements that moved a lot of that power under Disney's control for the next 30 years. The new board discovered the end run after the members met for the first time and they challenged both agreements as invalid "backroom deals."

And there was a trial date scheduled for June over a Disney lawsuit over public records relating to the takeover.

Disney vs. DeSantis timeline:What happened when Florida's governor took on the Mouse

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What does the Disney settlement say?

Disney and the CFTOD have agreed:

• That the development agreements made before the board takeover in February are null and void, giving the DeSantis-appointed board full control
• Disney will drop the public records lawsuit and withdraw its requests
• Disney and the CFTOD will dismiss the State lawsuit
• A 2020 comprehensive plan will be in effect, invalidating a newer land plan adopted by the previous board, although the CFTOD agreed to consult with Disney on any changes to it

"We are pleased to put an end to all litigation pending in state court in Florida between Disney and the Central Florida Tourism Oversight District," Walt Disney World President Jeff Vahle said in a statement. "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."

Did Disney drop the First Amendment lawsuit against DeSantis?

Not yet.

However, the company has agreed to defer the next stage of its appeal "pending negotiation among other matters of a new development agreement between Disney and the District."