Disney Sued Over Winnie the Pooh

MickeyMousePal · Post by **MickeyMousePal** » Mon Jan 26, 2004 9:28 pm

DISNEY - POOH LAWSUIT DEFINED

Disney, for the past fifteen years have been caught up in a lawsuit claiming that the corporation had not payed for the commercial uses and the royalties associated with the honey loving forest creature. The Slesinger family, whom has owned the rights to the "Winnie the Pooh" franchise since the 1930's is suing Disney asserting that even after assigning the rights to the Disney company in 1961, not all of the profits were shared as contractually agreed.

Considering that the "Winnie the Pooh" franchise is said to generate roughly $4.5 billion dollars yearly, this is not a case that either side is willing to lose. An elderly widow, Shirley Slesinger Lasswell believes the claims that Disney has cheated her and her family out roalties for more than two complete decades. The lawsuit includes revenues from computer software, DVDs and videotapes, merchandise that mostly comes in formats that came into being after the agreement was signed... The price tag Slesinger has put on the lawsuit would supposedly take anywhere inbetween $200 and $700 million out of the Micky Mouse corporations pocket immidiately. Not only would an all out victory in this suit take a large fixed amount from Disney's pocket, but the lawsuit also stipulates that Disney should/would no longer have the right to market the "Winnie the Pooh" franchsie under any circumstance, ever again. Pulling out all of the stops, Slesinger has even hired well-known lawyer Johnnie Cochran to aid in her ongoing battle, which is soon to reach new heights.

If forced to be dealt another enormous financial blow, Disney may be in some very serious trouble. After closing its animtion studio in Orlando, Florida earlier this year, with the assumed reasons being that all uneeded costs needed to be cut, and soon. So, in leaving nothing much for the 250+ employees based in Florida, Disney is only looking ahead towards an "all-3D pipeline" as some critics have stated. If forced to expell nearly 2% of fiscal revenue acquired by the Pooh franchise, Disney may in fact, be held back in their lofty animation expectations.

Claire Milne, granddaughter of Pooh creator A. A. Milne (1882-1956) had reportedly "initiated complex copyright-law maneuvers in an effort to reclaim the rights to Pooh. In May [2002], a Federal District court ruled in favor of the Slesingers, leading to Milne's appeal, which Disney joined..." This further complicated things, with the Slesinger's trying to stop Disney, and the Milne's trying to take property back from Slesinger; along with the up and coming court date (February 2004) which concerns key documents. The Disney documents of which are related to this case, are now mysteriously in possession of the Slesinger family.

Recently, Disney was denied a general appeal to the whole lawduit. However, the company does not see this as a bad thing considering that within a year they are scheduled to have another, more official, chance. Hopefully, on January 10, 2005 this whole thing would have blown over. Because that is the date a judge has set to tackle the copyrights dispute between Patricia Slesinger and Disney. The date, set merely days ago, is still only part of the situation; as social loyalties will be tried, economic investments may be withdrawn, while yellow teddy bears will continue to be sold.

Loomis · Post by **Loomis** » Mon Jan 26, 2004 10:18 pm

Thanks for that, MMP.

We've been discussing (as you know) the recent developments in the Pooh case (sounds wacky) here.

http://www.ultimatedisney.com/forum/vie ... php?t=2389

But it is really cool to have a nice summary of it like that.

Often court cases are reported, and you don't hear the whole story (and we probably aren't here either), and the facts get jumbled up. I made a mistake as to the nature of the current trial in the link above.

Thanks for finding something that clears it up, MMP.

englishboy · Post by **englishboy** » Tue Jan 27, 2004 10:00 am

Hmm, I wonder what the retroactive impact of this suit would be, assuming Disney lost.

goofystitch · Post by **goofystitch** » Tue Jan 27, 2004 7:36 pm

Thanks for breaking it down for me. I was clueless as to what was really going on with the case. I better start taping "The New Adventures of Winnie the Pooh" of Disney Channel before it is to late. I hope Disney wins the case. By the way, how did this Slesinger family get the rights from the Milnes in the first place?

Post by **Luke** » Tue Mar 30, 2004 8:33 am

Judge Dismisses Pooh Suit Against Disney

By ALEX VEIGA, AP Business Writer

LOS ANGELES - A judge has ended a legal fight against the Walt Disney Co. that has stretched more than a decade over Winnie the Pooh merchandise royalties.

Superior Court Judge Charles W. McCoy Jr. ruled Monday that the owner of those rights unlawfully obtained confidential documents from Disney offices and trash.

McCoy dismissed the suit with prejudice, meaning Pooh rights owner Stephen Slesinger Inc. cannot sue again on the claim.

"SSI's misconduct is so egregious that no remedy short of terminating sanctions can effectively remove the threat and adequately protect both the institution of justice and (Disney) ... from further SSI abuse," McCoy wrote in the 28-page ruling.

The decision, if it survives appeal, brings to a close a 13-year legal bid by SSI, which sought to recover millions of dollars it claims Disney owes it for Pooh-related merchandise and royalties on the sale of video tapes, DVDs and computer software. Disney has claimed those items were not covered in its 1983 licensing agreement with SSI.

"After 13 years in the courts, the Winnie the Pooh case is finally over," said Disney attorney Daniel Petrocelli. "Disney's position has been vindicated in its entirety. We're obviously extremely pleased with the outcome and we think it was the only appropriate one."

SSI said it would appeal.

"What is in the garbage documents is that Disney committed fraud and the judge has thrown out the baby with the bath water," the company said in a statement. "This has not removed Disney's ongoing obligation to pay royalties to Slesinger family or remedy its unauthorized uses of Pooh."

McCoy's ruling came in response to a motion to dismiss by Disney, which alleged SSI used a private investigator to steal more than 6,000 pages of documents from trash bins and company offices over a period of years and then refused to provide them to Disney's lawyers.

The judge concluded SSI could not properly explain how it acquired many Disney documents and said it likely made sure to conceal any evidence of how its investigator came upon them.

"This absence of records is not, in the court's view, accidental," McCoy wrote. "SSI had no right to break laws to obtain evidence. ... And, SSI had no right to covertly or overtly use unlawfully obtained evidence for its own tactical purposes."

SSI attorneys had argued that there was nothing improper about retrieving documents from a trash bin because Disney had thrown them away. The added that the documents ultimately didn't reveal anything significant.

McCoy said he saw no way to handle the situation other than to throw the case out because there would be no way to keep SSI's attorneys and executives from using the privileged Disney information if the case went ahead.

Source: Associated Press
http://news.yahoo.com/news?tmpl=story&u ... _dispute_9

MickeyMouseboy · Post by **MickeyMouseboy** » Tue Mar 30, 2004 8:54 am

This good news! I dislike the Slesingers, I'm glad their illegal acts and their greedy attitude closed this dumb case! I bet they're mad and steamy fumes out of their ears. I guess Mrs. Slesinger is going to have to sell that huge pooh plush to afford her stuff now!

2099net · Post by **2099net** » Tue Mar 30, 2004 9:09 am

SSI said it would appeal.

It's not over yet MMB - in fact [evil laugh] It will never be over! Never! [evil laugh]

This case still has a good 2-3 years left!

MickeyMouseboy · Post by **MickeyMouseboy** » Tue Mar 30, 2004 9:12 am

2099net wrote:
SSI said it would appeal.
It's not over yet MMB - in fact [evil laugh] It will never be over! Never! [evil laugh]

This case still has a good 2-3 years left!

They can say whatever they want. No judge is going to let them use those stolen documents as proof. They were illegally obtained.

Mushu2083 · Post by **Mushu2083** » Tue Mar 30, 2004 5:30 pm

Yeah MMB is right, the case is pretty much over and done with. Even if Slesingers did appeal (which I don't doubt they'll do) they wouldn't be able to use the documents they have or the documents that the private investigator has because they were stolen. You can't just bring in illegally obtained documents into a court case and use them as proof. They'd be out of their right minds to try and use those documents in court.

Rebel · Post by **Rebel** » Tue Mar 30, 2004 10:48 pm

Is it just me, or are these two quotes contradictory ?

"What is in the garbage documents is that Disney committed fraud and the judge has thrown out the baby with the bath water," the company said in a statement. "This has not removed Disney's ongoing obligation to pay royalties to Slesinger family or remedy its unauthorized uses of Pooh."

SSI attorneys had argued that there was nothing improper about retrieving documents from a trash bin because Disney had thrown them away. The added that the documents ultimately didn't reveal anything significant.

Anyway, I am glad to see the lawsuit coming to an end, but I am kind of disappointed that the decision came down as the result of what is basically a legal technicality. The judge's decision does not really say that Disney has been vindicated; it is a decision against the Slesinger family rather than a pro Disney decision.[/quote]

Loomis · Post by **Loomis** » Tue Mar 30, 2004 11:30 pm

MickeyMouseboy wrote:

They can say whatever they want. No judge is going to let them use those stolen documents as proof. They were illegally obtained.

They still have a right of appeal, which they intend to exercise, so 2099 may be right - this could go on for a while...

Still, it is nice to know we have a few years left of Disney Pooh.

That's what - 743 DTVs?

goofystitch · Post by **goofystitch** » Wed Mar 31, 2004 4:15 pm

I hope Disney wins in the end of all of this. I think the Pooh franchise is very profitable and I like most of the things they do with it that relate to me. For instance, the attraction at Walt Disney World, which is much better than the one at Disneyland.

AwallaceUNC · Post by **AwallaceUNC** » Thu Apr 01, 2004 1:38 pm

Yeah, I don't think it's a question of will legal proceedings continue (they will), but rather, will they matter? I don't think they will, the case isn't credible and has already been denounced as such and it's not likely that they are going to convince another court to overule this judge.

-Aaron

2099net · Post by **2099net** » Sat May 08, 2004 6:04 am

Here's the response!

http://www.chron.com/cs/CDA/ssistory.mp ... ss/2554732

"Family seeks judge disqualification in Pooh royalty fight with Disney

LOS ANGELES -- The judge who dismissed a civil suit against The Walt Disney Co. in a Winnie the Pooh royalty dispute was biased and should have been disqualified, lawyers for the plaintiffs in the case said today.

Attorneys for Stephen Slesinger Inc. have asked that Superior Court Judge Charles W. McCoy Jr. recuse himself or be disqualified from the case. They also want his March ruling vacated and a new hearing before a different judge.

McCoy has disqualified himself in the past in cases where one party was represented by the judge's old law firm and one of Disney's legal consultants on the case in 2003 joined the judge's old law firm.

McCoy also praised Disney and its founder, Walt Disney, in a 2002 book, "Why Didn't I Think of That? Think the Unthinkable and Achieve Creative Greatness," court papers said."

For more follow the link.

AwallaceUNC · Post by **AwallaceUNC** » Mon May 10, 2004 5:06 pm

Wow- didn't see that coming! Well, I saw SOMETHING coming (I think we all did), but just not the claim of bias due to prior publications and links to former law firms. I'll be very interested to see where this goes. Thanks for posting, Netty- keep us updated if you find anything new!

-Aaron

Big Disney Fan · Post by **Big Disney Fan** » Mon Apr 09, 2007 11:56 pm

Latest news story on this at: http://www.msnbc.msn.com/id/18028469/.

It said, "We will be proceeding in the federal court asking for money damages and asking that all the rights licensed to Disney by our clients be terminated," Slesinger attorney Barry Slotnick said Monday.

What will happen to Pooh's existence at Disney?

ichabod · Post by **ichabod** » Tue Apr 10, 2007 1:00 am

Not this crap again. The judge already ruled in Disney's favour saying, the Sslesingers deserved nothing of the profits. It's obvious they're just out for whatever they can get there clammy hands on.

And also they actually expect the licensing agreement with Disney to be terminated just because they're not happy? What a pile of bollocks.

Although on the other hand, maybe it's about time Disney had the Pooh rights taken off them. Myabe it'll stop them making pure crap.

PixarFan2006 · Post by **PixarFan2006** » Tue Apr 10, 2007 6:03 am

I doubt Disney will give up the rights to Pooh anytime soon. People sure can sue over the stupidest things sometimes.

Mr. Toad · Post by **Mr. Toad** » Tue Apr 10, 2007 8:31 am

Very old news. Disney is not going to lose the rights to Pooh in this.

This happens all the time. People sell something and then have seller's remorse because they either sell it for too little or someone else does a better job with the property and the value goes up. I can think of Tim Hortons off hand.

Big Disney Fan · Post by **Big Disney Fan** » Tue Apr 10, 2007 9:59 am

ichabod wrote:Not this crap again. The judge already ruled in Disney's favour saying, the Sslesingers deserved nothing of the profits. It's obvious they're just out for whatever they can get there clammy hands on.

And also they actually expect the licensing agreement with Disney to be terminated just because they're not happy? What a pile of bollocks.

Well, then, why haven't they seen the light? When will they give up? This seems pretty legitimate to me.

Although on the other hand, maybe it's about time Disney had the Pooh rights taken off them. Myabe it'll stop them making pure crap.

And what do you mean by that? The Pooh franchise creates some $3 billion for the company alone. As much as I don't care for Pooh, the Pooh characters being gone would really be a blow to the studio.

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