YouTube Settles with Disney Over Justin Connolly Poaching Lawsuit
The legal battle began in May after Connolly abruptly left his role.
After accusing YouTube of poaching longtime Disney executive Justin Connolly, the video service has settled with the media giant.
What’s Happening:
- Thanks to The Hollywood Reporter, we have an update on Disney’s lawsuit against former distribution head Justin Connolly and YouTube.
- According to the news source, YouTube settled with Disney after being accused of poaching Connolly from the media giant to serve as their new global head of media and sports.
- Disney notified the court on Tuesday of the settlement, with terms remaining undisclosed from the public.
- However, there are conditions of the settlement that need to be met within 45 days.
- Last May, Connolly abruptly left his position as Disney’s President of Platform Distribution with all signs pointing towards him taking a new position at YouTube, just ahead of the launch of ESPN’s new streaming service.
- In response, Disney filed a breach of contract suit with the LA Superior Court on Wednesday, May 21st to prevent him from taking the position with the Google-owned company.
- In the filing, Disney claimed that Connolly exited the company at an imperative time for Disney and YouTube’s current licensing negotiations, which Connolly was a key player in.
- Disney claimed that, due to Connolly’s knowledge of proprietary financial information, other distribution deals, and negotiation strategies, that his employment with YouTube would compromise those negotiations and put Disney at a disadvantage.
- Disney also filed for a temporary restraining order to prevent Connolly from working for YouTube.
- A Califonia Judge ruled against the injunction, with Disney still taking legal action against the Google-owned video service.
- Starting his career with Disney in 2003 as Director of ESPN Strategy and Operations, Connolly worked through a number of positions at the sports network before moving up to The Walt Disney Company's executive branch.
- Connolly was named President of Platform Distribution for Disney in 2019, where he reported to Co-Chairmen of Entertainment Alan Bergman and Dana Walden and ESPN Chairman Jimmy Pitaro.
- In his role, he oversaw all third-party media sales for distribution and affiliate-related business operations for all of Disney’s direct-to-consumer services and linear media networks.
- He was also in charge of content sales agreements.
Disney’s Recent Legal Win:
- Back in September, a lawsuit filed by stuntman Jimmy Sharp accusing Disney and former 20th Television executive Nissa Diederich of retaliation and blacklisting was tossed out.
- Los Angeles Super Court Judge Alison Mackenzie made the ruling on September 9th.
- Sharp, who is the son of former 20th Television executive Jim Sharp Sr., filed the suit back in December 2022, accusing Diederich of putting him on a career-ending blacklist after she took over as 20th TV’s head of production from Sharp Sr.
- Sharp was let go from his position with the studio, where he worked as a stunt coordinator for shows like Modern Family and American Horror Story.
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