Genting Malaysia Berhad was planning a luxurious Fox World theme park on the outskirts of Kuala Lumpur, but Disney and Fox shut it down with the crazy demand that it open in 30 days or cease to continue moving forward. Now Genting Malaysia Berhad are upset and suing the two studios for $1.75 billion and counting.
The Disney•Fox deal is looming large on the horizon, with China recently giving the go ahead on their end. As Disney begins to incorporate Fox into their overall existence as a studio, a new lawsuit has come about by a competitor to the Disney Parks in Malaysia.
The $1.75 billion lawsuit was filed in federal court on Monday, in California. The suit accuses The Walt Disney Company and 21st Century Fox of improperly shutting down the long-gestating plans for the world class Fox World theme park. GENM's jury seeking breach of contract states as such.
"Defendant Disney benefited from FEG, TCFFC, and/or FoxNext's improper termination of the Agreement by suppressing competition against Disney's existing theme parks."
Fox apparently killed the whole deal when they demanded that the park open in 30 days. This deadline was impossible to even fathom. The suit cites the recent multi-billion-dollar purchase of Fox by Disney. The paperwork was filed by the LA office of Kasowitz Benson Torres LLP, President Donald Trump's own long time personal lawyers. Genting Malaysia Berhad claim that they were cut off at the knees after doing everything asked of them since licensing the deal in 2013. The suit goes onto allege this in the official paperwork.
"On information and belief, Fox's soon-to-be owner Disney was now calling the shots, and its objective was no longer renegotiation of the MOA (Memorandum of Agreement), but termination. Permitting the 'Fox' brand to attach to a theme park over which FOX would have no control for what could amount to decades would have created business complications that Disney and 21CF preferred to avoid. Thus, on information and belief, Disney and 21CF, with knowledge of the Agreement, improperly directed FEG to terminate the Agreement."
This would have been the first-ever Fox theme park, and the company was planning rides based on Ice Age and Planet of the Apes. Disney now sees the theme park as a direct threat to its own parks, and attempted to shut it down without further complications. Disney Parks brings in approximately $20.3 billion in combined revenue annually, and they didn't want to see that threatened by a competitor. The 29-page legal action goes onto state this.
"Unlike Fox, which was perfectly happy to have the Park situated a stone's throw from the casinos of Resorts World Genting so long as it could continue to extract financial concessions from GENM, Disney wanted no association with a gaming company like GENM due to Disney's 'family-friendly' brand strategy, as evidenced by its well-documented history of lobbying against the opening of gaming facilities near its parks. Accordingly, FEG issued a 'notice of default' purporting to start the process of terminating the parties' Agreement. If the plan were successful, not only would this termination give Fox, and therefore Disney, a windfall in accelerated payments, it would also protect Disney's existing parks from increased competition and 'protect' its 'family-friendly' brand."
At this time, neither Disney nor Fox have responded to the lawsuit. Updates on the entire case are pending. This news was reported by Deadline.