Tuesday, July 14, 2009

BMW Oracle files contempt motion on 33rd America's Cup sailing rules

Related PDF files- Order to Show Cause, 14 July 2009

- Memo of Law, 14 July 2009

- Affidavit of Thomas F. Ehman, Jr, 14 July 2009

- Affidavit of Richard P.F. Slater, 14 July 2009

[Source: BMW Oracle] At Golden Gate Yacht Club’s request, today the Supreme Court of the State of New York issued an order directing the defender, Société Nautique de Genève (SNG), to show cause why it should not be held in contempt of court for failing to comply with the America’s Cup Deed of Gift by denying GGYC its rights, as the next America’s Cup challenger of record, as detailed in the Order and Judgment.

Specifically, to date SNG has refused to affirm its sailing regulations and rules to GGYC as required by the Deed. To make matters worse, SNG said that it may change the rules in the future without GGYC’s consent, including the rules governing construction of the competing vessels. Further, it has entered into a secret agreement with the International Sailing Federation (“ISAF”), the organization which will have a central role in selecting match officials and sailing jury.

“Once again, Alinghi seems to believe the Deed and other rules do not apply to them,” said GGYC spokesman Tom Ehman. “As we said in our court brief today, the prejudice to GGYC is manifest. For example, SNG has proclaimed the intent and authority to construct its competing vessel with engines to trim sails and movable ballast, each now banned by the ISAF rules, and then announce a change in those rules that permits them. In designing its competing vessel, GGYC was compelled to rely on the ISAF rules which prohibit engines and movable ballast.”

In early April the New York State Court of Appeals, in a unanimous 6-0 ruling, held that GGYC is the rightful challenger, and that the next match would be in early February 2010.

The Deed of Gift provides that the Cup match “shall be sailed subject to [the defender’s] rules and sailing regulations so far as the same do not conflict with the provisions of this deed of gift.” The Deed also explicitly provides that the defender’s “rules and sailing regulations” for the match may only be modified through mutual consent of the defender and challenger.

At the time of GGYC’s challenge on July 11, 2007, SNG’s “rules and sailing regulations” were those of the International Sailing Federation (“ISAF”), including the ISAF Racing Rules of Sailing (“RRS”) that then and now govern major sailing events. These rules apply “so far as the same do not conflict with the provisions” of the Deed.

However, by letter to GGYC dated April 23, 2009, SNG for the first time claimed the right to change the rules for the match at anytime without mutual consent.

But SNG did not stop there. An ISAF Executive Committee member has acknowledged that on June 5, 2009, SNG (or its racing team Alinghi) paid ISAF €150,000 pursuant to a secret agreement making certain arrangements concerning ISAF’s role in, and the “rules and sailing regulations” for, the next Cup match.

Neither ISAF nor SNG/Alinghi will disclose the secret agreement to GGYC. Especially in light of ISAF’s central role in selecting the match officials and sailing jury, such collusive secrecy is unacceptable and violates SNG’s fiduciary duty to GGYC as the challenger of record and trust beneficiary.

The court scheduled a hearing for Tuesday, July 21 at 10 a.m.

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13 Comments:

At 10:27 PM, Anonymous WetHog said...

WTF?

 
At 10:52 PM, Anonymous Anonymous said...

So SNG wants to play with the rules again in secret. But this time in secret with paying ISAF. Time to take The Cup away from SNG as they don't get the word sportsmanship.

"But SNG did not stop there. An ISAF Executive Committee member has acknowledged that on June 5, 2009, SNG (or its racing team Alinghi) paid ISAF €150,000 pursuant to a secret agreement making certain arrangements concerning ISAF’s role in, and the “rules and sailing regulations” for, the next Cup match.

Neither ISAF nor SNG/Alinghi will disclose the secret agreement to GGYC. Especially in light of ISAF’s central role in selecting the match officials and sailing jury, such collusive secrecy is unacceptable and violates SNG’s fiduciary duty to GGYC as the challenger of record and trust beneficiary"

 
At 11:32 PM, Anonymous Anonymous said...

What proof do they have the they paid ISAF? This whole press release stinks of Oracle whinging, and its getting tired.

If you dont think you can sail they race, stop stalling and get stuffed.

Without proof I don't see how they can argue this, it will be interesting to see what they say. I would imagine the court is getting tired of Oracle filing papers every five minutes.

Of course an American team will win in an American court.

You can't take the Cup away from SNG, its not going to happen. Time for Oracle to grow some balls.

 
At 12:48 AM, Anonymous Anonymous said...

11:32 pm - you say "If you dont think you can sail they race, stop stalling and get stuffed."

BUT it's been SNG who has stalled & wasted everyone's time in court since they created CNEV. If SNG had listen to everyone we wouldn't be here. Get your facts right vs trying to follow in SNG footsteps by twisting the truth!!!

 
At 5:36 AM, Anonymous Anonymous said...

Yes, SNG cocked up with CNEV. But now CNEV is dead and a challenge, the challenge Oracle wanted can go ahead - if they show up rather than hiding for years behind legal papers and fat salaries. Do you think the courts look favorably on people whinging about boats when half the world had gone broke? The Cup doesn't matter to most; they are making themsleves look stupid by filing papers yet again.

Everyone loves to bring up Alinghi's 'we will not appeal' over and over. Oracle are no different!! They love the court room, not the water!

 
At 5:38 AM, Blogger Paul said...

Internal combustion engines do not belong on America's Cup yachts. The defender's claim that they can change the RRS at will is absurd. Everyone else wants to see these wonderful and powerful multi-hulls in a fair race for the Cup. Alinghi just wants to win by hook or by crook. When will the sailing team rebel? Do they have any pride?

 
At 8:33 AM, Anonymous Anonymous said...

B.O.R.I.N.G.!!!!!!

 
At 9:30 AM, Anonymous Anonymous said...

5:36 am - we would be racing if SNG couldo get on with it. They played with the courts for 2 years as they couldnt' build a boat in 10mths. Only reason we are in court is because SNG keeps trying to hijack the AC just like they did with CNEV. The sooner SNG is good whether on or off the water the better off all of us will be.

 
At 4:01 PM, Anonymous Tsunami said...

I think that everybody knows Einstein's famous quote about stupidity: "Two things are infinite: the universe and human stupidity; and I'm not sure about the universe." If only he had met Bertarelli... His greed and stupidity surpass any measure.

Can anyone be more stupid and more corrupt than the Swiss sailing team? This is even worse than an African totalitarian regime. Bribing ISAF to bend the rules as it sees fits. I only wish the stupid yacht drowned together with Butterworth and all the kiwi mercenaries on her.

 
At 7:30 PM, Anonymous Anonymous said...

It seems that ISAF has gotten some dirt on her too. Where is their integrity to the sailing community to say "We cannot change these rules without consent, surely you [SNG] know that." Besides, this is the hallmark of yacht racing. Their agreement to modify the rules to allow internal combustion engines smacks the face of the tradition of sailing.
Ed in Houston

 
At 8:50 PM, Anonymous Rockem Sockem said...

I'm convinced that it will be years before we ever see another Americas Cup Race.

Larry Ellison has always wanted a one on one race vs Alinghi on his terms and his terms only. Alinghi is the defender and gets to set the rules, get over it! Every time Larry Ellison see a rule he doesn't like he goes to court.

Let's not forget that BMW Oracle didn't even get out of the LV Semi Finals.

Get on the water and prove that you are the better sailor!

 
At 10:45 PM, Blogger Paul said...

"Get on the water and prove that you are the better sailor"

I'm sure that GGYC/BMWO have no problem with that, it's just that they'd rather not race a sailboat against a motorboat. Would you?

 
At 4:17 AM, Anonymous Anonymous said...

NYAG has been served & is getting all the legal documents now. Look for a showing of the AG office from here on in. SNG you have been on notice so now either wake up or get the heck out of Dodge!!!

 

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