9:33am PT by Eriq Gardner
Disney, Fox Settle Billion-Dollar Dispute Over Malaysian Theme Park
Genting Malaysia Berhad will move forward with developing a theme park just outside Kuala Lumpur after coming to a settlement agreement with 21st Century Fox and The Walt Disney Company.
The "Fox World" theme park was the subject of dueling claims in a billion-dollar dispute.
GENM alleged in a lawsuit filed last November that it had spent $750 million on the attraction only to have Fox walk away from the deal with "seller's remorse." As its story was told, the deal provided Fox with an annual license fee and a cut of retail sales, but Fox became less than supportive along the way. GENM attributed this to Fox's attempt in renegotiating the agreement for better economic terms as well as Disney, Fox's then soon-to-be owner, being disinterested in a theme park with close association or proximity to casinos.
Fox struck back with counterclaims, expressing displeasure with how GENM allegedly demonstrated "little thought" to the "integrity of Fox's intellectual property," saying termination of the agreement could be justified.
According to a filing on Thursday by GENM with a local regulatory authority, a settlement has been struck whereby the developer gets continued license to use Fox intellectual property. GENM reports the development and construction of the theme park is being updated to include both Fox and non-Fox IP.
However, it will no longer be called "Fox World."
Both the claims and counterclaims will be dismissed by mutual consent. GENM was represented by Kasowitz Benson partner John Berlinski, while the defendants were handled by attorneys at Gibson Dunn and at Williams & Connolly.