US court rules in favor of Pacquiao in case vs sports management firm

MANILA, Philippines – A California court has ruled as “void” the contract entered by Filipino boxing legend Manny Pacquiao and a sports management company, ending a three-year legal battle between the two sides. 

In a decision dated August 12, 2024, Superior Court of the State of California judge Walter Schwarm said that the contracts entered by Pacquiao and Paradigm Sports Management are “illegal,” a year after the attorneys of the eight-division champion filed a motion stating that Paradigm was not properly licensed as a manager under California law. 

The decision said that Paradigm chief executive officer Audie Attar “testified he did not believe he had a manager’s license for boxers in the State of California in 2019, and he did not recall if he had such a license in 2020 and 2021.” 

“Mr. Attar did not believe anyone at Paradigm had a manager’s license in 2019. Mr. Attar testified that he did not personally have and that no one at Paradigm had a promoter’s license in 2019, 2020 and 2021,” it added. 

Citing a certificate of non-licensure dated April 18, 2023, the decision also stated that the California State Athletic Commission certified that Attar was licensed as a manager from April 14, 2016 to April 30, 2017, but his “license expired after he did not complete the required annual renewal.” 

“The court finds for Mr. Pacquiao on the declaratory relief cause of action and declares the contract void due to illegality,” the decision read. 

Pacquiao’s lawyer, Atty. Jason Aniel, said that their camp is “pleased” with the decision.

“After hearing Paradigm Sports Management’s objections to the tentative decision, the court decided the contract that Paradigm sought to enforce Mr. Pacquiao was illegal as Paradigm was not properly licensed,” he said in a statement. 

“This decision negates the jury’s findings back in May of 2023. We thank the court’s time and effort in this matter. Mr. Pacquiao thanks his fans for their patience while the court fully resolved all the legal issues,” he added.

MP Promotions president Sean Gibbons, for his part, also lauded the decision. 

“Manny Pacquiao has finally proven innocent. He did nothing wrong as the Superior Court of California has already announced its final statement of decision declaring that the contract offered by Paradigm was void due to illegality.” 

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.

But after a couple of weeks, the camp of the boxer filed a motion stating that PSM was not properly licensed as a manager under California law.