Touchstone films is part of Disney. Was that common knowledge back then? To my recollection it was not. Did the release of "Pretty Woman" in 1990 have controversy? Sure it did. The likes of programs such as The 700 Club made it one.
The fact that Disney owned film divisions that played along controversial themes was not easily appropriated information.
In the 1990s, it became more widely recognized that Disney's holdings included more "adult" fare like Miramax (which released Pulp Fiction back when Disney still owned Miramax).
There was also a rather large controversy when the Insane Clown Posse released an album with Hollywood Records (which Disney owned). As I recall, the album had lyrics that referenced killing cops(?) or some other "controversial" material. Was the album pulled from shelves?
Here's the story from Wikipedia:
>> The group started recording its fourth studio album,
The Great Milenko, in 1996, during which Disney requested that the tracks "The Neden Game," "Under the Moon," and "Boogie Woogie Wu" be removed. Disney also asked that the lyrics of other tracks be changed, threatening to not release the album otherwise.
[18][19] Bruce and Utsler complied with Disney's requests...
During a music store autograph signing, Insane Clown Posse was notified that Hollywood Records had recalled the album within hours of its release,
[18] despite having sold 18,000 copies and reaching #63 on the
Billboard 200.
[20][21] The group was also informed that its in-store signings and nationwide tour had been canceled, commercials for the album and the
music video for "Halls of Illusions" (which had reached #1 on
The Box video request channel) were pulled from television, and that the group was dropped from the label.
[18] It was later revealed that Disney was being criticized by the
Southern Baptist Convention at the time because of Disney's promotion of "Gay Days" at
Disneyland, in addition to presiding over the gay-themed television sitcom
Ellen. The Convention claimed Disney was turning its back on "
family values."
[22] Although Abbiss told the press that Disney had stopped production of
The Great Milenko to avoid further controversy, Disney claimed instead that the release of the album was an oversight by their review board, and that the album "did not fit the Disney image" because of its "inappropriate" lyrics,
[23] which they claimed were offensive to women. <<