UPDATE, AUGUST 20, 2024: Disney has backtracked on its initial argument to settle a wrongful death lawsuit outside of court because of an arbitration agreement the plaintiff allegedly accepted when subscribing to Disney+. "With such unique circumstances as the ones in this case, we believe this situation warrants a sensitive approach to expedite a resolution for the family who have experienced such a painful loss," Josh D’Amaro, the chairman of Disney Experiences, said in a statement to CNN confirming the company’s decision. The original story is below.
In October 2023, New York doctor Kanokporn Tangsuan and her husband Jeffrey Piccolo had dinner at Raglan Road Irish Pub at Disney Springs while vacationing in Orlando, Florida. Tangsuan had severe nut and dairy allergies and reportedly notified staff at the restaurant of her concerns.
Shortly after dining at the restaurant, Tangsuan died of an allergic reaction. As a result of the incident, Piccolo filed a $50,000 wrongful death lawsuit accusing Walt Disney Parks and Resorts of negligence in February 2024.
While Raglan Road Irish Pub is on Disney-owned property, the restaurant is actually owned by Great Irish Pubs Florida, Inc., which is also involved in the lawsuit.
Several viral social media posts claim that Disney has requested the lawsuit be dismissed because Piccolo had registered for a free trial of Disney’s streaming service Disney+ in the past.
THE QUESTION
Did Disney argue that a wrongful death lawsuit be dropped because the plaintiff had a Disney+ account?
THE SOURCES
THE ANSWER
Yes, Disney did argue that a wrongful death lawsuit be dropped because of terms the plaintiff accepted when subscribing to Disney+ and creating an account to buy park tickets.
WHAT WE FOUND
In May 2024, Disney filed a response to Piccolo’s wrongful death lawsuit, asking that it be dropped because Piccolo agreed to arbitrate all disputes related to the company.
Arbitration is a process that allows two parties to resolve a dispute outside of the court system, by using a neutral third party representative. A person who agrees to arbitration can’t file a lawsuit if they have a dispute with the company.
Arbitration is often preferred over lawsuits by corporations because it can be a less expensive option, more private and lead to a quicker resolution. But compared to lawsuits, there is less oversight as the process uses a third party to determine the settlement. Arbitration may also be less desired for some clients due to there being a much lower chance for an appeal, a Pepperdine Law article explains.
Disney argued that when Piccolo signed up for a free trial of Disney Plus in November 2019, he acknowledged and accepted the Disney Plus subscriber agreement.
The official Disney Plus subscriber agreement says “you, on the one hand, and Disney+ and/or ESPN+, on the other hand, agree to resolve, by binding arbitration, all disputes (including any related disputes involving The Walt Disney Company or its affiliates.)” The agreement lists small claims court disputes and disputes related to intellectual property rights as the only exceptions.
Piccolo’s legal team argues that “there is simply no reading of the Disney+ Subscriber Agreement which would support the notion that Mr. Piccolo agreed to arbitrate claims arising from injuries sustained by his wife at a restaurant located on premises owned by a Disney theme park or resort which ultimately led to her death” and “such suggestion borders on the absurd.”
Similar language also appears in Disney’s Terms of Use, which customers must accept before making an account to purchase tickets to a Disney theme park. Disney refers to Piccolo’s September 2023 purchase of tickets to its Epcot theme park in its response to the lawsuit as well.
In the court documents, Disney says Piccolo had to select a checkbox stating he reviewed the terms in order to purchase those tickets.
The arbitration agreement also outlines that Disney will not seek litigation with those who agree to the terms. “Neither you nor Disney will seek to have a dispute heard as a class action or private attorney general action or in any other proceeding in which any party acts or proposes to act in a representative capacity,” the terms of use say.
In a statement shared with the Associated Press, Disney said it is “deeply saddened” by the loss of Tangsuan, adding that Raglan Road Irish Pub is neither owned nor operated by the company.
“We are merely defending ourselves against the plaintiff’s attorney’s attempt to include us in their lawsuit against the restaurant,” Disney added.
A hearing on the case is currently scheduled for October 2.
The Associated Press contributed to this report.
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