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American Focus > Blog > Entertainment > Disney Shareholders Demand Documents Related to Jimmy Kimmel Suspension About Whether Company Committed ‘Wrongdoing’ by ‘Capitulating’ to Trump Administration
Entertainment

Disney Shareholders Demand Documents Related to Jimmy Kimmel Suspension About Whether Company Committed ‘Wrongdoing’ by ‘Capitulating’ to Trump Administration

Last updated: September 25, 2025 7:32 am
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Disney Shareholders Demand Documents Related to Jimmy Kimmel Suspension About Whether Company Committed ‘Wrongdoing’ by ‘Capitulating’ to Trump Administration
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A coalition of organizations advocating for democracy has reached out to Disney CEO Bob Iger on behalf of two shareholders, pressing for transparency regarding ABC’s surprising suspension of Jimmy Kimmel. This decision reportedly came amidst considerable pressure from the Trump administration.

In the letter dated September 24, the shareholders—comprising the American Federation of Teachers, affiliated with the AFL-CIO, and Reporters Without Borders—are invoking their rights under Delaware law to obtain internal documents and communications relating to the rationale behind the abrupt suspension of Kimmel for a week. The legal framework allows such inquiries only in cases where there is a potential breach of fiduciary duty rather than for mere operational choices.

The letter raised concerns that Kimmel’s suspension could indicate a breach of Disney’s responsibilities to its shareholders. The organizations are seeking clarity on whether the company engaged in any wrongdoing regarding Kimmel’s temporary removal. The abrupt halt of a highly visible late-night show, followed by its swift reinstatement, has heightened anxiety about possible capitulation to governmental pressures, thus potentially undermining shareholder interests.

“There exists a credible foundation to believe that the [Disney] Board and its executives may have forsaken their fiduciary obligations of loyalty, care, and good faith by prioritizing inappropriate political considerations over the best interests of the Company and its shareholders,” the letter indicated. The groups also stated their right to pursue legal action should it be determined that company executives or board members failed to uphold their fiduciary duties appropriately.

Disney representatives have yet to respond to the inquiry. For those seeking to view the original letter, it is accessible at this link.

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The letter further alleged that “Disney’s stock underwent considerable declines” following the Kimmel suspension, noting a 3.3% drop in shares from September 18-23, though the stock had a slight recovery, closing up 1.05% on the following Wednesday.

On September 17, ABC announced the indefinite suspension of “Jimmy Kimmel Live!” following comments made by Kimmel regarding political exploitation connected to Charlie Kirk’s murder. However, Kimmel was welcomed back on Tuesday night, with that episode marking one of the highest ratings in the show’s history, despite the fact that around 70 ABC affiliates operated by Sinclair and Nexstar, representing about 23% of U.S. TV households, opted to black out the episode. The affiliate groups had taken this step after FCC Chairman Brendan Carr warned of pursuing “news distortion” complaints against ABC unless Kimmel was removed.

In their correspondence with Iger, the groups referenced a social media post by Trump criticizing both ABC and Kimmel, remarking, “I think we’re going to test ABC on this. Let’s see how we do. Last time I went after them, they gave me $16 Million Dollars.” The organizations emphasized that this threat adds urgency to their concerns outlined in the letter.

Among the documents requested are those detailing “the actual or potential financial, contractual, or reputational impacts on the Company stemming from any decision or threats made by Nexstar or Sinclair regarding the airing of ‘Jimmy Kimmel Live!’.”

“Despite Jimmy Kimmel’s return to late-night television, this situation is far from resolved. The FCC continues to intimidate media organizations over content it finds objectionable. In Kimmel’s case, many affiliates still refuse to air his show,” said Clayton Weimers, executive director of Reporters Without Borders USA. He expressed the necessity for public awareness of how governmental interventions in media play out to prevent any further threats to the First Amendment.

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Randi Weingarten, president of the American Federation of Teachers, echoed these sentiments, stating, “Disney shareholders deserve complete transparency regarding what transpired within the company following Brendan Carr’s threat against ABC if action wasn’t taken on Kimmel. The Disney board is obligated to act with utmost fidelity toward its shareholders, and we seek accountability to determine if that trust was compromised to appease the Trump administration.”

The letter is also backed by attorneys Christopher J. Clark of Clark Smith Villazor LLP, Roberta A. Kaplan of Kaplan Martin LLP, and Norm Eisen of the Democracy Defenders Fund.

“The repercussions following the suspension of ‘Jimmy Kimmel Live!’ have been perceived by many as an assault on free speech, leading to boycotts and bringing forth union support for Kimmel. There are now fears of brand damage, compounded by concerns that Disney may have yielded to governmental overreach and media censorship,” the letter concluded. Furthermore, it emphasized that the backlash could persist given Trump’s subsequent threat on his social media platform, Truth Social, stating on September 23, 2025, “I think we’re going to test ABC out on this. Let’s see how we do.”

This rewritten article maintains the core elements of the original content while ensuring a unique presentation suitable for a WordPress platform.

TAGGED:AdministrationCapitulatingCommittedcompanydemandDisneydocumentsJimmyKimmelrelatedshareholderssuspensionTrumpWrongdoing
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