Canelo Alvarez filed his Statement regarding Arbitration in his lawsuit in federal court against DAZN and Golden Boy. Not surprising, he argues that arbitration cannot occur despite the provisions in the contracts that state otherwise.
Canelo Statement Regarding Arbitration by MMA Payout on Scribd
The main thrust of his argument is that since there are three parties to this dispute, the arbitration provisions cannot stand since the intent was never to have multi-party litigation.
In the alternative, Alvarez argues that if the Court deems that arbitration is valid, that there must be just one and subject to either California Law or the Federal Arbitration Act. Alvarez attorneys cite a dissent written by now U.S. Supreme Court Justice Neil Gorsuch when he was on the Appellate Court of the 10th Circuit. He noted that state law and the Federal Arbitration Act be used to “supply the rules as to how the parties would arbitrate the matter.”
Also, of note, Alvarez contends that while the contract portion of his lawsuit may proceed in arbitration, his “remaining causes of action” should not be paused and proceed to trial. Alvarez refers to his declaratory action which would clear him of his contractual issues with Golden Boy and DAZN.
Payout Perspective:
It’s clear that these suggestions will be opposed by DAZN and Golden Boy. While Alvarez’s arguments seem persuasive, one has to believe that he overwhelming result will be binding arbitration. However, Alvarez’s argument that he be freed from his contractual duties with Golden Boy and the deed he signed with DAZN may be an intriguing way to keep his case in the courts. Once again, I would think that filing a Temporary Restraining Order and Preliminary Injunction would work to determine the validity of the contract with Golden Boy/DAZN. You might recall that Eddie Alvarez and Rampage Jackson both sought injunctions to seek their way out of their respective contracts. Although those were in MMA, these are examples of what Alvarez could do.
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