Jim Hill - Aug 30, 2001

Jim Hill
Page 3 of 3

Which is why -- on April 17th, 1991 -- Henson Associates filed a lawsuit against the Walt Disney Company, claiming that the Mouse was illegally using trademarked Muppet names and likenesses in TV commercials, books, brochures, t-shirts, merchandise as well as various theme park attractions. Henson's lawyers complained that although the Disney / Muppet merger had been canceled 5 months earlier, Mickey was still acting as if he owned the Muppets.

Disney promptly counter-sued, arguing that all of the projects that Jim Henson had completed for the Walt Disney Company prior to his untimely death meant that the Mouse now had an implied license which allowed the corporation to use the Muppets. Which was why Disney's marketing department felt it was free & clear to make use of any TV commercials or print ad imagery that had been completed under Jim Henson's expressed consent prior to his unfortunate passing in May 1990.

Legal experts felt that Henson Associates had a very good case. But -- just days before the case was to be presented a federal judge -- Disney suddenly folded.

Why did Mickey cave in so quickly? Because -- just about the same time that this matter was originally supposed to go to trial -- the "MuppetVision 3D" attraction was scheduled to open at Disney/MGM. Disney's marketing staff felt that it would really get WDW's $60 million attraction off on the wrong foot if the two companies who had worked so hard to put this ground-breaking show together were standing before a judge -- at each other's throats -- just as the "MuppetVision 3D" press event got underway.

This is why the Walt Disney Company did a very rare thing: It apologized. In public, even. Disney reps stated publicly that they were sorry that the TV commercials, print ads and brochures that WDW's marketing department had used had unintentionally given the public (as well as the private sector) the impression that the Walt Disney Company owned the Muppets. Mouse House reps then went out of their way throughout May of 1991 to make it clear that Mickey did not own the Muppets. Only the folks who currently ran Jim Henson Productions owned Kermit & Co.

As a result, Brian Henson clearly came out on top in this confrontation. Not only did he get a public apology from the Walt Disney Company, but Henson also got thousands of dollars of free advertising for the fact that his company -- not the Mouse -- now owned the Muppets. Which then made it much easier for Henson's marketing staff to license new Muppet merchandise.

Disney? I guess that they made out okay as well. In return for the public apology, Henson agreed to sign a deal that allowed certain Muppet characters to appear in a stage show at Disney / MGM in addition to giving the company the rights to show "MuppetVision 3D" in the park for 18 months (with an option to renew this initial contract for an additional three and a half years).

On May 16th, Brian and the rest of the surviving members of the Henson family stood by as sitcom vet Jerry Van Dyke presided over the grand opening of "Jim Henson's MuppetVision 3D." As Jerry cut the ribbon and hundreds of ping pong balls flew through the air in this backmost corner of Disney/MGM, it was truly a day of mixed emotions for the Henson family.

Clearly, they were happy that the last thing Jim had worked had turned out so splendidly. Then again, the Hensons were sad that their father's other big dream -- Disney/MGM's Audio-Animatronic spectacular, "The Muppet Movie Ride" -- was now never going to make it off the drawing board.

There was also a slight sense of unease, given the family's realization that -- in spite of the fact that they had officially broken off the merger with the Mouse six month earlier and even taken the Walt Disney Company to court less than a month ago -- Jim Henson Productions was still going to be tied at the hip with Mickey for some time yet to come.

But just how long could this tentative, prickly sort of arrangement last?

To date, it's been 12 years ... and counting.

In the final installment of Jim Hill's "When You Wish Upon a ... Frog?!" series, Jim Hill discusses many of the projects Henson & Disney produced together during the 1990s as well as the very real possibility that Mickey & Kermit may become co-workers in the very near future.

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-- Jim Hill

Jim Hill can be reached using the Talkback form below or by emailing him at [email protected].

Jim Hill is this guy who lives 'way out in the woods of New Hampshire. (Hey, it's not like he wants to live there. But the Witness Protection Program has got rules, you know.) He has one beautiful daughter and three obnoxious cats. When he's not looking for real work, Jim writes about the Walt Disney Company and related matters for LaughingPlace.com, AmusementPark.com, "Orlando Weekly" and Digital Media FX.

The opinions expressed by Jim Hill, and all of our columnists, do not necessarily represent the feelings of LaughingPlace.com or any of its employees or advertisers. All speculation and rumors about the past decisions and future plans of the Walt Disney Company are just that - speculation and rumors - and should be treated as such.

-- Posted August 30, 2001

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