In 1985, Disney and Metro-Goldwyn-Mayer entered into a licensing contract that gave Disney worldwide rights to use the MGM name and logo for a yet-to-be-built backlot studio theme park.
Disney's plans for what became the Disney-MGM Studios theme park at Walt Disney World Resort included working production facilities for movies and television shows and a satellite animation studio, which began operation prior to the park's debut. In 1988, MGM/UA responded by filing a lawsuit that claimed Disney violated the 1985 agreement by operating a working movie and television studio at the Florida resort.
In 1989, the theme park opened adjacent to the production facilities as the Disney-MGM Studios. The only affiliation MGM had to the park was the original licensing agreement that allowed Disney to use the MGM brand name and lion logo in marketing, plus separate contracts that allowed specific MGM content to be used in The Great Movie Ride.
Disney later filed a countersuit, claiming that MGM/UA and MGM Grand, Inc. had conspired to violate Disney's worldwide rights to the MGM name in the theme park business and that MGM/UA would harm Disney's reputation by building its own theme park at the MGM Grand hotel and casino in Las Vegas, Nevada.
On October 23, 1992, Los Angeles Superior Court Judge Curtis B. Rappe ruled that Disney had the right to continue using the Disney-MGM Studios name on film product produced at the Florida facility, and that MGM Grand had the right to build a Las Vegas theme park using the MGM name and logo as long as it did not share the same studio backlot theme as Disney's property.[12] The 33 acre MGM Grand Adventures Theme Park opened in 1993 at the Las Vegas site and closed permanently in 2000.
Disney was contractually prohibited from using the Disney-MGM Studios name in certain marketing contexts like the free Walt Disney World vacation-planning kit; in those instances the park was called The Disney Studios.