disney steals royalties and shreds evidence

January 23: The latest round in a long running court battle over WINNIE THE POOH based merchandise went to Stephen Slesinger, who claims WALT DISNEY Corp. owes him hundreds of millions of dollars in un-paid royalties.

In what the WALL STREET JOURNAL is calling a "setback for Disney on several fronts", the judge has ordered that jurors will have access to documents long sealed in the case. If the case ultimately reaches the trial phase, jurors will be instructed that Disney "misused the pretrial discovery process" by destroying forty boxes of documents of deceased Disney executive, Vincent Jeffords, who oversaw the original deal with Slesinger.

The NEW YORK POST reports that: "A Los Angeles County Superior Court has already levied $90,000 against against Disney for destroying 40 boxes of documents, including one with the tag: "Winnie the Pooh - legal problems," according to court documents that were unsealed yesterday." The judge's order will also result in instructions to any jury to assume Slesinger's claim that Jeffords verbally agreed to cover videocassette sales in the agreement, actually happened.

The lawsuit was filed over alleged unpaid royalties for Pooh-related videos, DVDs, computer software and merchandise sold in Disney theme parks. The POST said that Slesinger's attorney "is also asking the court to terminate the Pooh contract, which would put a halt to the $4 billion in revenue that was generated by the character." FULL STORY: THE NEW YORK POST