Disney and Starz Reach Settlement Over Star Plus Brand Name Use in Latin America

Starz has dropped its injunction against Disney in Brazil, which blocked Disney from using the Star Plus brand name for its upcoming streaming service in Latin America, and a settlement has been reached between the companies.

The Brazil settlement paves the way for Star Plus to stick to its original end of August launch date in the region. Both Disney and Lionsgate declined to comment on the settlement details.

Disney confirmed to Variety that “a resolution was reached between us [Disney and Lionsgate] and we’re able to use the Star+ name for our general entertainment streaming service across Latin America when it launches on Aug. 31.”

Disney also confirmed its Star Plus pricing structure in the region, with monthly prices ranging from $6.30 in Brazil to $10 in Mexico.

The Mouse House revealed in May that it would launch the new service in most of Latin America, with programming to include a full slate of ESPN content along with movies and TV shows from Disney’s various content studios, alongside original shows from the region.

In the Starz complaint that was filed in Latin America’s three largest markets, Brazil, Mexico and Argentina, Starz argued that the “Star Plus” name infringed on its similar brand name and would confuse viewers. An Argentinian court had rejected Starz’s request for an injunction, and Mexico had not ruled on the matter.

A Sao Paulo court document on the settlement, seen by Variety, states that “each of the parties will bear the court costs already expended and the counsel fees of their respective patrons, and any remaining court costs should be evenly split between the parties.”

In late July, Disney offered a bond of 50 million reales (around $9.5 million) to compensate Starz for the possible loss of business because of their similar brand names, but the court rejected it.

The Sao Paulo court hearing slated for Aug. 24 has been canceled as a result of the agreement.

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