NEW YORK, March 12 (Reuters) - SeaWorld was sued on

Thursday by Sesame Workshop, which is seeking to end their

decades-long relationship after the theme park operator

allegedly breached its obligations to promote the "Sesame

Street" brand.

Sesame Workshop said SeaWorld, a unit of United Parks & Resorts ( PRKS )

, has been its exclusive U.S. theme park licensee for 45

years, opening several "Sesame Street"-themed parks and

attractions featuring characters from the iconic children's TV

show, including Big Bird, Cookie Monster and Elmo.

But in a complaint filed in Manhattan federal court, Sesame

Workshop said SeaWorld has for a few years ignored the most

recent licensing agreement, which dates from 2017, withholding

royalties and closing sites, including Sesame Place San Diego.

According to the complaint, matters worsened in September when

SeaWorld stopped paying royalties to Sesame Workshop altogether,

and as a pretext to end the relationship made the "preposterous"

accusation that the New York-based nonprofit failed to invest in

its own brand.

"SeaWorld's rogue, retaliatory actions pose an imminent threat"

to Sesame Workshop by tarnishing its reputation, going "rogue"

in using its intellectual property, and "disappointing children

and families" who hoped to visit the closed sites, the complaint

said.

"Sesame Workshop is left with no choice but to seek termination

of the agreement and all related damages and termination fees,"

the complaint added.

United Parks and SeaWorld, both based in Orlando, Florida, did

not immediately respond to requests for comment after market

hours.

The lawsuit also seeks unspecified compensatory and punitive

damages.

In September 2024, a federal judge in Orlando upheld an

arbitration ruling that required SeaWorld to pay Sesame Workshop

more than $11 million, including interest for breaching their

licensing agreement. SeaWorld didn't pay until October 2025,

Sesame Workshop said.