AC Legal: Team NZ vs Alinghi has first hearing
The opening round in the second Americas Cup action against parties associated with Team Alinghi (Societe Nautique de Geneve, Team Alinghi, and Ernesto Bertarelli) has concluded in New York after a short in chambers hearing.
'New York State Supreme Court'
Event Media
There are two actions the first under US Anti-Trust law alleging that the Alinghi parties had operated in abuse of a monopoly position in regard to other teams who wished to participate in the 33rd America's Cup. That action is being heard under the Sherman Act and Team New Zealand would like that to be heard in the US Federal Court.
The second action relates to the agreement in place between the Alinghi Team and Emirates Team New Zealand prior to the Challenger for the 32nd America's Cup entering the 33rd event. The tenets of that agreement were that there would be an Event in 2009, and subsequently Alinghi announced that because of the legal processes that was underway between themselves and Golden Gate YC/BMW Oracle Racing, that event in 2009 would not take place. Team New Zealand later made a claim for damages based on a 'normal' America's Cup being held in 2010 and 2011 - with the claims being for $37million and $50million respectively.
In a later move, Alinghi had been successful in having both actions combined, and heard as one and wished those to be both heard by the Arbitration panel set up for the 33rd America's Cup.
Today in New York an In Chambers hearing was conducted to set in place a process for both actions, and the following was ordered by the Court.
The judge agreed to the following schedule:
?July 3: SNG file motion to compel arbitration
?July 31: TNZ file response to motion
?August 7: SNG file final reply
?Sept. 5: oral argument
The above actions were in regard to the antitrust lawsuit in front of Federal Court.
In regard to the breach of contract lawsuit (the second issue mentioned above) TNZ lawyers are trying to remand it to State Court (Justice Cahn) and they will be presenting a motion to remand in front of Justice Pauley on July 25.
Alinghi parties believe that both actions should be heard by the Arbitration Panel for the 33rd America's Cup. Alinghi General Counsel, Hamish Ross explained to Sail-World that even though the Protocol had since been voided by the decision (under Appeal) of the New York Supreme Court. The fact that the Challenge was made under the Protocol in place at the time meant that the Arbitration Panel established under that Protocol was still valid, and that it was the appropriate body to hear both actions.
The next hearing date on this matter will be 25th July.
It should be noted that this matter is a legal issue between TNZ and Alinghi and is not affected or will ahve any affect on the more advanced action bought by Golden Gate YC against Societe Natuique de Geneve over the conduct of the 33rd America's Cup.
The outcome of the SNG Appeal in that matter is expected before the end of June.
by Richard Gladwell, Sail-World
perth, WA
