Re: Top Rank files against Al Haymon and his money men for 100 million.
De La Hoya did release a statement:
“I applaud Bob Arum and Top Rank Boxing for stepping up on behalf of fighters not only in their own stable, but all across the sport. Those like Bob and myself who have spent the bulk of their lives around boxing understand that the Muhammad Ali Boxing Reform Act is a crucial piece of legislation that serves to protect boxers and enhance the sport. Golden Boy Promotions will continue to push forward with our own lawsuit to ensure our wonderful sport continues to grow in a competitive, just manner.
“Background on GBP Lawsuit:
“On May 6, 2015, Golden Boy Promotions filed a $300 million lawsuit against Al Haymon and his related companies alleging repeated violation of antitrust laws and the Muhammad Ali Boxing Reform Act. The case was filed in Federal Court in Los Angeles.”
By and large, the Arum suit puts forth that Haymon is acting illegally, per the Muhammad Ali Act, by acting as both promoter and manager. The Act was set up to, basically, protect boxers and their wallets from managers and promoters colluding together.
Team Haymon folks would protest that the fighters under the Haymon banner are more than well compensated, so where is the harm here? Also, as for repression and suppression of business-doing, they will point out that nothing prevents other promoters from doing “time buys” themselves. In the suit, those “time buys” are basically likened to “payola,” payoffs made to radio personnel decades ago to insure excessive airplay of certain artists favored by certain unsavory record companies.
The Arum suit seeks to turn off the money spigot, close the war chest of more than $400 million available to Haymon to use in a “loss leader” capacity while he builds his brand in this unparalleled manner. “Haymon is rigging the boxing industry,” the suit says, and that violates not only the Ali act, but the Sherman Act.
The check made out to Julio Cesar Chavez Jr, who jumped from the Top Rank ship to team Haymon months ago, in his last fight, a loss to Andrezej Fonfara, is pointed to as an example of the blurred lines which the suit maintains are illegal; typically the promoter signs out the check to the boxer, not the adviser. If Haymon is not a promoter, why was the check on his company letterhead?
Terms such as “monopolistic,””coercive,” “brazen illegal activities,” and “anticompetitive” pepper the suit, and it is alleged that down the line, fans will pay dearly. Once Haymon snaps up all the product and players, the suit states, they will enjoy pricing power that will be detrimental to fans.
This battle, with men in suits armed with legal precedents in mind, is of a different sort than what we see in the ring, but the stakes are immense, and the action, in the coming months and years, will likely be savage at times.
Do not let success go to your head and do not let failure get to your heart.
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