Disney to Pay out $9.5 Million Settlement to Some Disneyland Customers

The Walt Disney Company settled a class-action lawsuit seeking $9.5 million in compensation for “deceptive business practices” surrounding its Disneyland annual pass program, according to a Thursday court filing. Among the allegations in a federal suit filed in California was that some Disneyland annual pass-holders with “Magic Keys” had difficulty making reservations for specific days in 2021, even though they had been told that there would be “no blockout days” that would prevent them from entering the Anaheim parks during that period, CNN reported. As the suit states, “thousands of people” with Magic Key passes were potentially impacted and were entitled to participate in the course of legal action. This settlement likely amounts to a $67.41 check for each member of the lawsuit, according to the filing.

To give final approval to the agreement, a judge will now have to give preliminary approval to the deal, and they will then assess the terms of the settlement before authorizing it, David Marcus, an Associate Professor of Law at the University of California, Los Angeles, told CNN. According to the news outlet, in a statement attributed to Disneyland officials, they “are satisfied that this matter has been resolved.”

Two years ago, Disney announced the Magic Key pass program, special tickets that grant ticket holders access to the theme parks for an entire year, replacing Disney’s legacy Annual Pass Program. Currently, Disneyland offers four different Magic Key passes that are priced differently. The most expensive tier, formerly known as the “Dream” key, promised admission to the parks “every day of the year,” according to a 2021 press release. The new most expensive option, now called the “Inspire” key, only assures access to theme parks “most days of the year,” according to Disneyland’s website. In contrast to the previously most expensive option, the new one is known as the “Inspire” key, which guarantees access to Disneyland’s theme parks only “most days of the year,” according to the park’s website.

As part of the settlement, affected pass holders will need to wait a few months before receiving a check, Marcus told CNN. “This step, where the parties announced that they’ve reached a settlement, is really the first step in a series that will take a minimum of 3 months to complete,” he said. A settlement notice will be sent to pass holders involved in the class action in the next few months, informing them of when they can expect payment. After the judge approves the deal, Marcus said that only after that final approval will people be able to expect a check.