Though Disneyland is in sunny Southern California, Walt Disney's original theme park has prominent ties to New Orleans. The park has an entire land called New Orleans Square, inspired by Walt's travels to the city in the years leading up to Disneyland's opening in 1955. The mayor of New Orleans was even on hand to make Walt an honorary citizen of the city when the land was added to Disneyland in 1966.
Disney Magic Key Lawsuit Settlement Puts Program Under Spotlight
25.08.2023 - 13:08 / skift.com / Bob Iger / Selene Brophy / Robert Niles
Disney has reached a preliminary settlement in a lawsuit over alleged deceptive practices tied to its Magic Key program.
Dream Key pass holder Jenale Nielsen filed the lawsuit in 2021, accusing Disney of misleading pass holders into thinking they had unlimited access to its parks by advertising “no block-out dates.” Nielsen claimed certain dates were effectively inaccessible due to the advanced reservation system introduced during the pandemic for all visitors and other Dream Key pass holders booking available slots.
The details of the preliminary settlement reached between Nielsen and Disney weren’t disclosed. Disney responded to Skift’s requests for further details to the settlement with a statement, “We are satisfied that this matter has been resolved.”
The Magic Key lawsuit puts Disney’s theme parks in the spotlight, just weeks after CEO Bob Iger pushed back on reports claiming attendance was down.
Disney’s Magic Key program replaced the company’s old Annual Passholder program in August 2021 during the pandemic. As a reservation-based ticket system, the Magic Key program offers four different levels of access to one or both Disneyland Park and Disney California Adventure Park, with block-out dates, parking, and discount privileges varying across the pass types:
Assessing Disney’s Magic Key program on price makes it seem “fairly reasonable,” according to Jonathan de Araujo, owner of The Vacationeer travel agency. De Araujo outlined the current price as being cheaper than the old passport program in 2019, with its then top-tier Premiere Passport priced at $1,949.
De Araujo said that the most significant complaint from his clients regarding Disney passes had been the obligation to use Disney’s advanced reservation system. This system is, however, set to be phased out in 2024.
De Araujo called Disney’s approach to controlling crowds and pricing “a tough balancing act.”
“Disney is always trying to balance profit with improving the guest experience,” said De Araujo, calling it a double-edged sword to raise prices to reduce crowds at the risk of decreased demand that could leave parks less full, with attendance already under scrutiny.
“The question in the suit was the promotion of the Dream Key as having no block-out dates, which was technically true,” said Robert Niles of Theme Park Insider.com. “However, certain dates became functionally inaccessible to some Magic Key holders after other Magic Key holders claimed all available reservations on those dates.”
Despite the controversy, Niles said Disney’s reservation system helped manage park capacity and prevent overcrowding, a common issue with the previous annual pass system.
Len Testa, the founder of Touring Plans agency, believed Disney’s
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