The
ruling by Los Angeles Superior Court Judge Charles McCoy Jr., following
a weeklong hearing on Disney's so-called "trash motion"
to dismiss the case brought by Stephen Slesinger Inc., said that that
the Pooh rights-owner had "tampered with the administration
of justice" by unlawfully obtaining Disney documents in the case.
The dispute, ongoing since 1991, centered around allegations that
Disney had avoided paying royalties to the heirs of Stephen Slesinger
by not reporting sales of Pooh merchandise to foreign licensees
for years and not paying on other items allegedly covered by their
licensing agreement as per various media reports.
Stephen Slesinger purchased the rights from Pooh creator
AA Milne in 1929. His widow had licensed the rights to Walt Disney
Jr in 1969. The allegation that it backed out of a royalty agreement
with the Slesingers was denied by Disney and also stated that losing
the case could cost the company hundreds of millions of dollars.
$ 6 million is spawned in revenue by Winnie the Pooh for
Disney every year, which is more than any other character the company
markets.
In February, Disney asked Judge Charles McCoy of the California
Superior Court's Complex Litigation Court to throw out the case
against it, alleging the Slesingers stole and doctored Disney documents.
The Slesingers denied stealing the documents but did say that they
obtained the documents from Disney's "publicly accessible"
trash containers.
Bret Fausett, an attorney for Stephen Slesinger Inc. said that
the family will file an appeal, saying the evidence presented in
the case does not support the judge's decision, according to media
reports.
(Pic courtesy: www.acidlogic.com)
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