By Thom Weidlich and Eric Rose

Actor Scarlett Johansson’s lawsuit against the Walt Disney Company is turning out to be a blockbuster. Yet, the company’s response is eliciting mostly thumbs-down reviews and providing an example of bad litigation communication. To its credit, Disney responded promptly and publicly. On the down side, it may have failed to consider the narrative arc.

On July 30, Johansson sued Disney’s decision to release Black Widow not only in theaters but on the Disney+ streaming service. She is the film’s star and an executive producer.

Johansson says streaming the film simultaneously with its theatrical release has cost her millions. Also, she claims her contract stipulated a theatrical release only. Johansson was promised a portion of the box-office take, which is diminished since people can watch the film on Disney+, for $30 a pop. Some see Johansson’s suit as a bellwether in the rift between talent and management over streaming.

‘No Merit’

Unusually, Disney responded to the suit publicly.

“There is no merit whatsoever to this filing,” its statement said. “The lawsuit is especially sad and distressing in its callous disregard for the horrific and prolonged global effects of the COVID-19 pandemic. Disney has fully complied with Ms. Johansson’s contract and furthermore, the release of Black Widow on Disney+ with Premier Access has significantly enhanced her ability to earn additional compensation on top of the $20 million she has received to date.”

Two things stand out about Disney’s response.

1. Its invocation of the pandemic as a defense against a possible contract breach. This didn’t go over well.

“Disney’s response is obsoletely [sic] repulsive. Disney is using the pandemic to protect its greed,” a source in a Wall Street Journal article says.

In another Journal article, an opinion column, Holman W. Jenkins Jr. wrote, “If you weren’t on Ms. Johansson’s side before, you were now.”

2. Disney’s mention of Johansson’s $20 million alleged salary. That got attention from Johansson’s Hollywood agency, which felt compelled to release a statement.

“[Disney] included her salary in their press statement in an attempt to weaponize her success as an artist and businesswoman, as if that were something she should be ashamed of,” Creative Artists Agency (CAA) co-chair Bryan Lourd said in the statement.

‘Character Attack’

Some noted a whiff of sexism in Disney’s response. Women in Film, ReFrame Project and Time’s Up tweeted a joint statement decrying “this gendered character attack.”

The only substantive points Disney made were its contentions that streaming didn’t violate Johansson’s contract. In fact, it said, she will make more money because some who will avoid a theater during the pandemic might stream Black Widow at home.

A better tactic for Disney: Elaborate on these points rather than taking cheap shots about the pandemic and Johansson’s income.

PR Takeaways: Use Facts & Avoid Character Attacks 

There are many lessons from Disney’s fumbled attempt at a response.

Any decision, action or communication that looks like corporate interests are being put before the interests of those impacted will, rightly, receive heavy criticism. Instead of responding with ‘the lawsuit has no merit and we look forward to our day in court,’ Disney attempted to shift blame to a popular actress.

Instead of getting people to forget the issue, Disney damaged its reputation. Its statement paints it as a perfect example of a tone-deaf organization and one that does not understand the difference between the court of public opinion and the court of law.

It’s never a good idea to employ character assassination as a response to litigation when the person attacked has a positive public perception and charisma. While Disney’s response was immediate, which usually is good in crisis and litigation communication, the company completely ignored the obvious, predictable backlash.

In a brilliant PR/crisis move, Lourd seized the moment with his impassioned statement. It blasted Disney for attacking Johansson’s character.

“[Disney is] shamelessly and falsely accus[ing] Ms. Johansson of being insensitive to the global COVID pandemic, in an attempt to make her appear to be someone they and I know she isn’t.”

Thom Weidlich is managing director of PRCG Haggerty. Eric Rose is a partner at Englander Knabe & Allen.

Los Angeles, October 26, 2020 – Veteran Los Angeles television journalist Jeff Michael has joined strategic communications firm EKA as a Joint Venture Partner.

Michael brings his more than 35 years of news reporting, anchoring and producing to EKA, adding his expertise to the firms media relations, litigation support, crisis communications and political campaign management capabilities.

“Jeff Michael is one of the most respected names in journalism and he brings world-class talent and a wealth of knowledge and experience to our team,” said Matt Knabe, Managing Partner at EKA. “It is a major coup for us to get someone of his caliber and experience and we are excited to have Jeff join the EKA team.”

Michael has been a respected presence in Los Angeles and throughout Southern California for three decades. He brings with him the unique background of leading teams at KCBS/KCAL, KTTV Fox 11 and ABC 7 Eyewitness News. Michael’s distinguished career in journalism includes numerous awards and accomplishments. He is the recipient of multiple Emmy and Southern California Radio & TV News Association awards and is a member of the Society of Professional Journalists and the Television Academy.

Organizations need to ensure that their messages are clear and on point and have a compelling story to tell. Michael will play a crucial part in working with clients on media relations strategy.  In addition, utilizing this background, he will also serve as an expert witness regarding media practices.

About EKA

EKA is a strategic communications firm specializing in lobbying, public affairs, crisis communications and litigation support. EKA’s roster of over 150 clients includes companies such as Enterprise Rent-A-Car, LegalZoom, AT&T, BNSF Railway, Westfield, Association of Deputy District Attorneys, Waste Management, and Coca-Cola. For more information visit www.ekapr.com For more information visit www.ekapr.com

Eric W. Rose (213) 741-1500 x 525 or Eric@ekapr.com

Amid the #MeToo and Black Lives Matter movements, McDonald’s is changing the rules for how corporate America handles a crisis. Earlier this week, the company sued disgraced former CEO Steve Easterbrook to recoup stock options and other compensation. The hamburger giant alleges Easterbrook had sexual relationships with three employees and awarded stock shares to one of them. The suit seeks to recoup millions in severance it paid the former chief.

Click here to read the full op-ed by EKA Partner Eric Rose and Thom Weidlich.

 

EKA partner Eric Rose was quoted in a recent UpCity article entitled “Common Web Design Mistakes And How to Avoid Them: According to the Experts”:

The most common mistakes I see are (1) too much information on a page, (2) websites that do not display properly on smart phones, (3) when websites are updated, an inconsistent look and feel and (4) poor typeface and too much whitespace. And it goes without saying that if visitors can’t understand what a companies website is about in a matter of seconds, they will leave the page.

Click here to read the complete article.

EKA partner Eric Rose has co-authored a new article published at Medium  with Thom Weidlich:

Our first post about communicating the COVID-19 pandemic noted at least two canceled music festivals weren’t planning to provide refunds, which we said would probably lead to another round of crises. The refund issue is now raging in the worlds of sports and recreation. Some companies are handling it better than others.

Click here to read the complete article.

Alex Cherin, a Partner at EKA was quoted in the Long Beach Business Journal discussing the Port of Long Beach.   In the story, “Coronavirus slows down trade, FMC forms teams to tackle supply chain issues” Alex says key productivity metrics, including truck turn times and container moves per hour, remain at pre-COVID related impact levels and have even exceeded them in some cases.

Click here to read the complete story.

EKA’s Alex Cherin was quoted in a recent article at Food Logistics regarding Port of Long Beach activity during the COVID-19 shutdowns:

As far as the sector as a whole, State agencies and municipalities alike have recognized the essential nature of the maritime sector and transportation workers have been specifically deemed “essential” in recent guidance provided by the federal Department of Homeland Security, the State of California and both the Cities of Los Angeles and Long Beach. “The fact that some of these productivity measures seem to have weathered the storm and that maritime workers are being recognized as an essential part of the economy during these times is a bright spot for sure,” said Alex Cherin, Executive Director of the California Trucking Association’s Intermodal Conference.

Click here to read the complete article.

EKA partner Eric Rose was quoted in a recent ABC News piece on charges being brought against actor Jussie Smollett:

But Eric Rose, a partner in the public relations firm Englander Knabe & Allen, said that how the actor responds to the latest charges could determine whether he can recover.

“The public is extremely forgiving and allows people to make mistakes, but you have to own up to your mistakes and apologize in sincere fashion, and he has done none of that,” said Rose, who specializes in reputation management and crisis communications. He said he doesn’t believe Smollett’s claims of innocence.

Click here to read the complete article.