Disney changes stance, agrees to Florida trial in wrongful death case after fatal allergy incident: “The situation requires a sensitive approach” – Walt Disney (NYSE:DIS)

As part of a change in strategy Walt Disney Co. DIS has agreed to a jury trial in a wrongful death lawsuit in Florida, abandoning its previous insistence on arbitration.

What happened: Disney has agreed to let a wrongful death lawsuit be decided in court. The lawsuit was filed by Jeffrey Piccolowhose wife succumbed to an allergic reaction after eating at a restaurant at the Disney Springs shopping center in Orlando, Reuters reported on Tuesday.

Disney initially pushed for arbitration, arguing that Piccolo had signed up for a Disney+ test in 2019. Josh D’Amaro, The chairman of Disney Experiences recently announced the company's decision to waive its right to arbitration.

“We believe this situation requires a sensitive approach to expedite a resolution for the family who has suffered such a painful loss,” D'Amaro said.

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The legal battle began when Piccolo, his wife and her mother ate at the Raglan Road Irish Pub and Restaurant in October 2023. Despite assurances that the food was allergen-free, Piccolo's wife suffered a fatal allergic reaction, allegedly due to the high levels of nuts and dairy in her body.

In its initial response, Disney claimed it was not liable because it was only acting as a landlord for Raglan's operations. However, in a later filing, Disney suggested the complaint was subject to arbitration based on Piccolo's Disney+ subscription and use of the company's website in 2023 to purchase theme park tickets.

Why it is important: This lawsuit follows Disney's previous claim that the wrongful death suit should be dismissed due to an arbitration clause in their streaming service contract. Disney claimed that Piccolo's Disney+ subscription prevented him from suing the company. The lawsuit, which seeks more than $50,000, was filed following the death of Piccolo's wife, who allegedly suffered a fatal allergic reaction after dining at an Irish pub in Disney Springs.

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Image via Unsplash

This story was created with Benzinga Neuro and edited by Pooja Rajkumari