By Bryanna Fissori Legal Analyst
The current legal drama set forth involving boxer Hank Lundy is classic affair of one boxer and two promoters, with both promoters staking legal claim to their champion.
The story begins with the signing of promotional agreement between Lundy and Classic Entertainment and Sports (CES) on September 16, 2010, which was all fine and good until he then signed a contract with Boxing 360 on December 23, 2010…and so the plot thickens.
Boxing 360 is now bringing causes of action against Lundy and CES for declaratory relief for breach of contract, fraud and misrepresentation. They also requested injunctive relief to stop the Lundy’s July 27, 2012 bout against Raymundo Beltran for the NABF Lightweight title. The complaint, which included the injunction, was filled just nine days prior to the scheduled bout. The injunction was denied just a day prior to the event, which Lundy ultimately lost in a hard fought decision.
Regardless of the injunction decision, the remainder of the claims still wait to be addressed. Boxing 360 asserts that they have a valid right to exclusively represent and promote Lundy under the December 23, 2010 contract and that in allowing CES to represent him, Lundy has breached that agreement, causing damages in the sum of $150,000 to Boxing 360. The amount stems from a $7,500 signing bonus and a purported $8,086.00 total for the actual agreement.
Commitment and exclusivity are a common problem in relationships, but issues are often exacerbated when one party is under the impression they are exclusive, but there is actually “another” that they are not aware of. Boxing 360 contends that because Lundy was aware of his previous contract with CES and the fact that he still signed the contract which contained language asserting his freedom to enter into the agreement, he made a fraudulent misrepresentation.
Section 16 of the contract with Boxing 360 states:
16. BOXER represents, warrants, and agrees that he is free to enter into this Agreement, and has not heretofore entered into and will not enter into any other agreement of any other athletic contest without the approval of PROMOTER and that there is, in fact, no contract or agreement in existence that conflicts with the provisions hereof or which grants any similar or conflicting right which would or might interfere with the BOXER’S full and complete performance of the obligations hereunder or the free, unimpaired exercise by PROMOTER of any of the rights herein granted to.
CES was made aware of the agreement shortly after the signing, but claims to have immediately made Boxing 360 aware that Lundy was already spoken for. According to their memo in opposition to the motion for preliminary injunction, CES stated that the day after the agreement with Boxing 360 was signed they drafted a cease and desist letter informing the company that they were already under contract with Lundy and that Boxing 360 was “risking a claim for tortuous interference.” CES also asserted that they received no reply to the letter.
Since the signing of the contract with Boxing 360, CES has continued to promote Lundy in three different bouts including the most recent against Beltran. Boxing 360 makes no contention that they have taken any action to do the same, though they did state that they were always willing to find fights for Lundy.
BoxingInsider.com will keep you posted as the case continues.