Credit: Inside the MagicDisney has lost its legal bid to block YouTube from “poaching” one of its former employees.
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A California Superior Court judge rejected The Walt Disney Company’s attempt to prevent Justin Connolly from working at YouTube, according to a new report from Variety. Connolly previously served as Director of ESPN Strategy and Operations before exiting his role earlier this year.
This move was unexpected for a few reasons, as Connolly had been a part of The Walt Disney Company for over two decades. Connolly had also recently extended his contract with Disney and ESPN.
Connolly landed a new job at YouTube, something his former employer has taken issue with. Disney filed a lawsuit against YouTube and Connolly, citing breach of contract, tortious interference in a contractual relationship, and unfair competition.
However, Judge James C. Chalfant ruled against Disney’s motion for an injunction, a major blow for Disney and its legal battle. Chalfant cited three reasons for the decision: Disney showed a lack of emergency, the balance of harms works in Connolly’s favor, and Disney did not demonstrate a probability of success on the merits.
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“We are disappointed in today’s ruling, but will continue to pursue our legal remedies,” a Disney spokesperson said.
Disney states that the company’s deal with YouTube TV is set to expire soon and that it would be “extremely prejudicial” for Connolly to breach his contract.
YouTube filed an objection to Disney’s suit earlier this June, stating that Google has made it clear to The Walt Disney Company that Connolly will not be involved in any capacity with YouTube’s licensing agreement editions.
Connolly signed a three-year contract back in November 2024. However, according to YouTube, Disney employed Connolly on an at-will basis.
Disney says it will continue to pursue legal remedies.
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This change in leadership comes ahead of the launch of ESPN’s new direct-to-consumer streaming service, which will debut this fall.
Platform Distribution EVP Sean Breen and Platform Distribution Strategy EVP Jimmy Zasowski are set to serve as interim leaders following Connolly’s departure.
This is hardly the only staffing shake-up The Walt Disney Company has seen recently. In 2024, Disney’s President of Motion Pictures, Sean Bailey, exited his role after 15 years of service. Disney has seen other positions change over the last few years, though the most significant change will happen in 2026 when CEO Bob Iger steps down.
Iger has served as CEO of The Walt Disney Company for nearly two decades, guiding the company through some of its most challenging and rewarding times. Iger is set to retire from his post. Disney has stated it will announce Iger’s replacement next year, with many speculating Disney Parks and Experiences Chairman Josh D’Amaro is in “pole position” for the job.
Other industry insiders claim Co-Chairman of Disney Entertainment Dana Walden may also be named Iger’s successor.
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