Sesame Place Future May Hinge On Royalties Lawsuit: Report

MIDDLETOWN TOWNSHIP, PA — Sesame Place's future could be clouded by a lawsuit in which its parent company stopped paying royalties for its standalone parks and themed lands, according to a report.

The lawsuit — filed in the U.S. District Court for the Southern District of New York — seeks to terminate the 45-year licensing partnership that has seen the opening of standalone Sesame Place theme parks and various “Sesame Street” attractions across the country, including the Langhorne-based amusement park, the Philadelphia Inquirer reported.

The lawsuit came after a mediation attempt Thursday failed to reach a resolution.

Last week, Sesame Workshop, the nonprofit organization behind “Sesame Street,” filed a federal lawsuit against SeaWorld Parks and Entertainment that alleges the theme park operator has engaged in a “unilateral retaliation campaign” and refused to pay millions of dollars in royalties, the newspaper reported.

"We are aware of the lawsuit filed by Sesame Workshop and look forward to setting the record straight in court," Sesame Place said.

According to the filing, the relationship began to deteriorate in 2022 when SeaWorld, which is now operating as United Parks and Resorts Inc., allegedly failed to pay millions in royalties for Sesame Place.

Sesame Place just opened for the spring season this past weekend.

The amusement park is celebrating its 45th anniversary this year, along with a new company president, Mike Taylor.

In 2022, a $25 million class action lawsuit alleged a lengthy pattern of racial discrimination against Sesame Place.

Following the lawsuit, Sesame Place announced mandatory diversity training for its employees as well as an assessment of its own equity practices.

The company had national civil rights experts conduct the training and assessment. Training was also incorporated for all new employees.