Litigation

image

February 17, 2015

Lance Armstrong loses $10 million arbitration ruling.

The New York Times reports that an arbitration panel has ordered the cyclist to pay $10 million in a fraud dispute with SCA Promotions citing an “unparalleled pageant of perjury, fraud and conspiracy” related to the cover-up of Armstrong’s use of performance enhancing drugs.  Armstrong’s lawyer stated that the ruling is “contrary to Texas law” and predicted it would be overturned in court.  Such confidence is, in all likelihood, misplaced.  Courts routinely uphold awards even when the law is misapplied by arbitrators.  The standard to throw out an arbitration award requires the panel to have acted “in manifest disregard of the law.”  That standard is rarely met.  If I were a betting man, I’d wager Armstrong eventually writes the check.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s