Report: US court sides with Pacquiao in Paradigm lawsuit

MANILA, Philippines – A California court reversed a verdict originally against Filipino boxing legend Manny Pacquiao in relation to Paradigm Sports Management (PSM)’s civil lawsuit, a report said.

Last year, a US jury ordered Pacquiao to pay $5.1 million to Paradigm — $3.3 million for Pacquiao’s alleged breach of contract and $1.8 million for breach of implied covenant of good faith and fair dealing.

About a couple of weeks after the verdict, Pacquiao’s attorneys reportedly filed a motion stating that PSM was not properly licensed as a manager under California law.

According to veteran boxing columnist Kevin Iole, California superior court judge Walter Scwarm on Wednesday (Thursday Manila time) agreed with Pacquiao’s camp in a tentative ruling.

“The court finds for Mr. Pacquiao on the declaratory relief cause of action and declares the contract void due to illegality,” Iole quoted Schwarm’s ruling.

Pacquiao’s lawyer, Atty. Jason Aniel, lauded the latest decision.

“Although the judgment is not presently final, we are pleased that the Court made its tentative decision on the legal issues in Mr. Pacquiao's favor,” Aniel said.

“The Court decided the contract that Paradigm Sports Management sought to enforce against Mr. Pacquiao was illegal as Paradigm was not properly licensed,” he added.

PSM lawyer Judd Burstein, for his part, said they will appeal the ruling.

“I have great respect for this judge but I disagree with him in this decision,” Burstein told Iole.

“I disagree with him on the fundamental issue, but he's the judge. ... I have won a lot of appeals in cases that I have lost at trial and I believe this will be one of those,” he added.

According to Iole in his article, PSM’s Audie Attar testified that he did not have a manager’s license for boxers in California in 2019, and that did not recall if he had such a license in 2020 and 2021.

“It noted that Attar was licensed as a manager in California from April 14, 2016, through April 30, 2017, but ‘his license expired after he did not complete the required annual renewal,’” the report read.

The two sides first signed an agreement on February 8, 2020, and in October of the same year, they entered into a partnership contract.

The initial plan was for Pacquiao to face MMA star Conor McGregor — who belongs to PSM’s stable — but the planned bout did not materialize.

The eight-division world champion then ended up fighting Yordenis Ugas in what turned out to be his swan song in the professional ranks.

Pacquiao, meanwhile, is set to hold an exhibition bout in Japan later this month. Additionally, there are reports that he is eyeing a shot at World Boxing Council welterweight champion Mario Barrios later this year. – With a previous report from Dino Maragay