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Disney Agrees to $50 Million Streaming Settlement – See if You Qualify

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Credit: Disney

Millions of live TV streaming subscribers may be owed money from The Walt Disney Company after the settlement of a class-action lawsuit. Here’s what you need to know before filing a claim.

The Lawsuit Against Disney

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Credit: Disney

A class-action lawsuit filed in 2023 accused The Walt Disney Company of artificially inflating the cost of live TV streaming services by requiring platforms to bundle ESPN into their subscription packages. YouTube TV and DirecTV Stream subscribers brought the suit, arguing that Disney’s carriage agreements were “anti-competitive” and left consumers paying more than they should for services that came loaded with channels they never asked for.

The proposed settlement addresses more than just money. As part of the agreement, Disney must now consider proposals for slimmer subscription packages that carry fewer Disney-owned networks, including options that exclude ESPN entirely. The plaintiffs alleged that Disney had previously refused outright to negotiate with any streaming service unwilling to carry ESPN.

Disney Fox Warner Sports Teamup

Credit: ESPN

The Walt Disney Company did not admit to any wrongdoing as part of the resolution, reportedly agreeing “to settle to avoid the costs and risks of continued litigation.”

Do You Qualify?

The settlement class includes anyone who subscribed to YouTube TV or DirecTV Stream for live pay-TV service between April 1, 2019, and the date the court grants preliminary approval. If you held either of those subscriptions during that window, you may be eligible to file a claim.

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Credit: ESPN Press Room

FuboTV subscribers were originally included in the class but have since been separated into their own case. If your only subscription was FuboTV — and you don’t also hold a YouTube TV or DirecTV Stream account — you are not covered by this settlement.

Court approval is still pending. Once a judge grants preliminary approval, eligible subscribers will receive the opportunity to submit claim forms. Individual payouts will vary based on subscription length, calculated after attorney fees and administrative costs are deducted from the $50 million pool. Any funds that go unclaimed stay in the settlement as the agreement is non-reversionary, meaning Disney cannot pull back a single dollar once the money is committed.

Are you eligible for this class action lawsuit settlement from The Walt Disney Company? Let Disney Tips know in the comments!

About Jess Colopy

Jess Colopy is a Disney College Program alum and kid-at-heart. When she’s not furiously typing in a coffee shop, you can find her on the hunt for the newest Stitch pin.

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