ORLANDO, Fla. \u2013 This lawsuit is brought to you by the letter \u201cS\u201d \u2014 as in SeaWorld and Sesame Workshop. <\/p>\n
The parent company of the \u201cSesame Street\u201d franchise is suing SeaWorld Parks and Entertainment, accusing them of \u201crepeated, intentional breaches\u201d of its current contract agreement, and \u201crogue retaliatory actions.\u201d<\/p>\n
Sesame Workshop doesn\u2019t just want money, though; it wants to end its nearly 50-year deal with SeaWorld altogether.<\/p>\n
In the lawsuit filed in federal court, Sesame Workshop claims SeaWorld failed to pay millions of dollars in royalties in 2022 for the Sesame Place theme park in the Philadelphia area, which is run by SeaWorld. <\/p>\n
Sesame Workshop says even though it was awarded the royalties during arbitration, and in a court ruling in 2024, SeaWorld has refused to pay.<\/p>\n
[WATCH: Sesame Street opens at SeaWorld (from 2019)]<\/p>\n
Moreover, the lawsuit accuses SeaWorld of reneging on aspects of the 2017 agreement the two companies signed, including a promise to open a third Sesame Place theme park, and SeaWorld\u2019s decision to shut down the Sesame Street Bay of Play at SeaWorld San Antonio. <\/p>\n
In both cases, SeaWorld refused to pay fees owed to Sesame Workshop for those decisions as part of the agreement, the lawsuit says.<\/p>\n
Then, in September 2025, the court issued writs of garnishment against SeaWorld to obtain the arbitration money SeaWorld had still not paid. <\/p>\n
The lawsuit says SeaWorld, that same day, announced it was closing Sesame Place San Diego without letting Sesame Workshop know. SeaWorld decided to transition to a \u201cseasonal schedule.\u201d<\/p>\n
Sesame Workshop claims all of these actions amount to retaliation by SeaWorld for the royalties dispute.<\/p>\n
The lawsuit also claims that while SeaWorld did pay the royalties required by the courts in October 2025, from then on SeaWorld \u201cunilaterally stopped paying royalties to Sesame Workshop and, until recently, even ignored Sesame Workshop\u2019s requests for royalty reports needed to calculate new invoices.\u201d<\/p>\n
[WATCH: SeaWorld Orlando unveils first-of-its-kind indoor suspended dark ride]<\/p>\n
The lawsuit also says Sesame Workshop has been locked out of the companies\u2019 shared social media approval documents, and SeaWorld has also sent out marketing materials using the Sesame Workshop IP without approval.<\/p>\n
Sesame Place says it wants the court to find SeaWorld in breach of contract, it wants the right to terminate its agreement, and it is seeking monetary damages.<\/p>\n
\u201cSeaWorld has wholly ignored its obligations under the Agreement, and has gone rogue with Sesame Workshop\u2019s valuable IP. Its actions have not only wrongfully denied Sesame Workshop, a nonprofit children\u2019s organization, royalties and termination fees, but also, more importantly, undermined Sesame Workshop\u2019s brand,\u201d the lawsuit reads. \u201cSesame Workshop did not want to terminate its Agreement with its exclusive U.S. theme park licensee of over forty-five years, but it has no choice.\u201d<\/p>\n
SeaWorld also has Sesame Street areas at SeaWorld Orlando and Busch Gardens Tampa Bay.<\/p>\n
SeaWorld issued the following statement to News 6 Friday:<\/p>\n
\u201cWe are aware of the lawsuit filed by Sesame Workshop and look forward to setting the record straight in court.<\/p>\n
\u201cIn the meantime, we are preparing to welcome guests to the grand openings of our Sesame Place park in Langhorne, Pennsylvania this Saturday, March 14, and Sesame Place San Diego in Chula Vista, California, on Friday, March 27. <\/p>\n
\u201cSeason passes are on sale now and offer the best value for guests with free parking and unlimited visits all year to experience the exciting shows, events and rides. We are looking forward to a great year at our Sesame Place parks.\u201d<\/p>\n
[READ the full lawsuit below]<\/p>\n
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