Is it legal?

Image: Disney

Making an official “business” out of reselling Disney theme park merchandise is even more of a legal grey area. And while it is rather unclear what the legalities of this practice are, it does not take a lawyer to determine that running this as a business may indeed have some kind of legal consequence.

A person running a business of reselling Disney theme park merchandise may run into tax issues down the line. Legitimate businesses pay legitimate taxes, but whether or not a person running a reselling business via a social media page is paying legitimate taxes is a bit unclear. A business would need a state tax ID number, meaning that an individual who is reselling as a business may run into problems if this number was never acquired. (I personally would feel rather odd going to file my taxes and telling my accountant that reselling Disney merchandise was my career, but to each his own).

Image: Disney

Another issue with reselling is the fact that it would void warranties. Technically speaking, warranties do not transfer when items are resold. Presumably in the case of an item like a Dooney and Bourke bag, the reseller would include the original receipt and warranty information, and while this would work if the purchaser needed to act on the warranty it is technically illegal. Also illegal would be transferring warranties, meaning that if the person reselling the item already registered the warranty in his or her name, the person buying the product would be without a warranty.

As with any business, trademark, logos, and image permissions can be a cause for concern as well. A reselling business with a Facebook cover photo using a Disney copyrighted logo without permission can technically encounter legal consequences. While I think we can all agree that Disney probably has more important things to do than crack down on logo usage on social media, this is not something I would personally risk and attach my name and business to.

Lastly, there is the issue of the fine print for some products literally stating “not for resale.” This may be far and few between in Disney theme park merchandise, but it likely exists on at least some items that are resold through “businesses.”

But is it right?

Image: Brittany DiCologero

There is no definitive answer to whether or not reselling Disney theme park merchandise is morally right. After having researched the topic in depth (both while working in merchandise at Walt Disney World, and through conversations with said “business” owners) I will offer my opinion on the topic.

Ethically speaking, I think that this entire practice is extremely wrong, and Disney should be doing more to prevent guests from doing this. I’m sure from a company standpoint, the bottom line doesn’t matter because the company is making the same amount of money regardless of which guests purchase which items. In a sense however, the company is getting ripped off.

Image: Disney

Consider the Beauty and the Beast Enchanted Rose Tumbler Cups that took the parks and the internet by storm during the spring of 2017. Purchasing the cups in person at the parks would have cost you $15. Purchasing them from a reseller during the height of this frenzy would have cost $60 or more. If one person or “business” were to buy 5 cups and resell them, they would be making a profit of $225. This $225 profit would only be the outcome of a one-time 5-cup purchase. Someone doing this for “work” would certainly be selling much more than this one time deal, and would in some cases end up with absolutely tremendous profits—all from guests who were not able to purchase them for the reasonable price of $15 in the parks. Sure, Disney is not losing money, but is it really fair that there are people out there running businesses out of this kind of behavior?

While speaking to owners of some of these businesses (who will not be named in this article) I attempted to ask genuine questions from a consumer standpoint, because I honestly have a difficult time understanding how this business works from both ends. I don’t understand how the “business” owner can condone what is essentially a scam, and I definitely don’t understand why guests are willing to pay such ridiculous prices. (I can sympathize with wanting certain items while you are unable to be at the parks, but a line needs to be drawn somewhere. A 400% markup for the Rose Tumbler Cups? I would have to pass on that out of principle alone).

Image: Disney

In one such instance, I decided to open the Shop Disney Parks app on my smartphone to see if any of the items being resold by “businesses” on the internet would be available for purchase there, through Disney directly. As it turns out, a number of the items guests request in personal shopping and reselling groups on social media are available directly from Disney FOR A CHEAPER PRICE. This finding prompted me to contact a couple of “shop owners” to ask, “Can you please explain to me why I would purchase x item from you when I could purchase it directly from Disney using their official app for a smaller cost?”

Unfortunately, I was never given a satisfactory answer. Many of the owners were quite rude, and while I was obviously frustrated I took a step back multiple times and explained that as a potential customer I simply wanted to know what the reasoning was. Even more unfortunate than the answers being unsatisfactory, many of them made so little sense at all—further convincing me that this whole practice is simply a scam. One woman told me that people liked to purchase from her and support her livelihood. Apparently I was being rude, but I honestly don’t care to support a random person’s livelihood when the company who makes the product will sell the items to me for less money.

Image: Disney

Another unsatisfactory answer was that the prices seem inflated but are adjusted to make up for the “work” of the shop owner having to go into the park to purchase the item. One of the items in question was a blanket (which was also available on the Shop Disney Parks app) and which I know is available in multiple stores at Walt Disney World. The reseller business advertised the item on its Facebook page with an additional $10 cost. I really cannot imagine this being just me, but I still do not understand why I would pay an extra $10 to apparently “support the livelihood” of a random person, when I could have the blanket mailed to me through Disney’s official app for less. If I’m shopping for Disney merchandise, then I am doing just that. I’m supporting a company whose products I enjoy. I am NOT supporting another guest being able to pay to spend time in the parks.