Bob Arum & Manny Pacquiao (Photo : Reuters)
Undefeated American boxer Floyd Mayweather Jr. has said he is not interested in a rematch with Filipino champion Manny Pacquiao whom he beat on May 2 through a unanimous decision. While his statement appears to close the door for a second match, the managers of the two boxers are the ones who would be slugging it out in court.
The New York Daily News reports that Bob Arum, Pacquiao's manager, filed a $100 million lawsuit on Wednesday with the U.S. District Court in Los Angeles against Al Haymon, adviser of Mayweather. Arum, head of Top Rank Promotions, sought a court injunction to prevent Haymon from "rigging the boxing industry." Included in the lawsuit is Waddell & Reed, an asset management and financial planning firm.
Arum accused Waddell & Reed of allegedly financing Haymon's Premier Boxing Champions boxing series by investing $400 million. He said Haymon is affecting negatively the business practices of promoters like his Top Rank and Roc Nation, owned by rapper Jay-Z.
Arum said that Haymon's arranging of time-buy deals with NBC, CBS, ESPN, Fox Sports and Spike to broadcast boxing on network TV changes the way sports fan watch boxing. By gaining exclusive commitments from broadcasters through the purchase of spots, Haymon uses tactics similar to the notorious payola practices in the music industry.
The lawsuit said it was not surprised by Haymon's monopolistic practices because of his experience in the music business, reports The Washington Post.
The Top Rank boss warns, "Once Haymon obtains monopoly power in the market for promoting professional matches, he will recoup the losses by charging exorbitant prices to broadcasters, sponsors, and consumers." It would be detrimental to other boxing promoters, Arum said.
The lawsuit also accused Haymon of reserving dates at boxing venues like Staples Center and the Forum to prevent other promoters from mounting events. But Haymon allegedly cancels the reservations when rivals get other venues. Arum also charged Haymon with breaching the principles of the Muhammad Ali Boxing Reform Act and other federal and state laws by acting as promoter and manager by using fake officials to front for him as promoters.
It is not the first time that Haymon has been accused of anti-competitive practices. Golden Boy Promotions, owned by boxer Oscar de la Hoya, filed a similar lawsuit in May. The Association of Boxing Commissions also wrote in April to U.S. Attorney General Loretta Lynch to investigate Haymon, who the paper noted, does not talk to media.
Thomas Hauser, a boxing historian, points out that Haymon's goal is apparently not to save the sport of boxing but to make money for himself and his investors. "In some aspects, Al Haymon is Don King for the new millennium," Hauser says.
