Sesame Workshop Sues United Parks Over Unpaid Sesame Place Royalties

Sesame Workshop, the nonprofit producer behind the iconic children's television program “Sesame Street,” has filed a lawsuit against United Parks & Resorts, accusing the theme park operator of failing to pay required licensing fees and royalties.

The complaint, filed in New York, alleges that United Parks & Resorts—owner of the SeaWorld brand—breached its licensing agreement related to Sesame Place theme parks and attractions that use Sesame Street characters. According to Sesame Workshop, the company ignored parts of the most recent licensing deal and withheld royalty payments owed under the contract.

The two organizations have worked together for roughly 45 years. Under the partnership, United Parks & Resorts operates Sesame Street–themed attractions and the Sesame Place parks in the United States using characters such as Elmo, Big Bird and Cookie Monster through an exclusive licensing arrangement.

Sesame Workshop claims the operator’s actions violated contractual obligations and undermined the Sesame Street brand, prompting the nonprofit to seek legal remedies including compensatory and punitive damages. The dispute follows earlier arbitration proceedings between the parties over royalty calculations and could affect the long‑standing licensing relationship that underpins the Sesame Place parks.