Manny Pacquiao’s former manager Shelly Finkel is seeking unspecified damages that could amount to a tidy sum in filing a suit against the boxing icon, Bob Arum and Top Rank, Inc. for allegedly concealing vital information resulting in a breach of contract.
Finkel’s lawyer Judd Burstein submitted the case before the New York County Clerk’s Office last Friday and in a summons, asked the defendants to reply to the complaint within 20 days.
A source said Finkel met with Pacquiao in a New York City restaurant for about 30 minutes a few weeks ago to revive talks of renewing his management contract that ended last Aug. 11. Finkel reportedly said Pacquiao’s promotional deal with Top Rank was not to his advantage because there were no specifics on a minimum purse, no time frame and no minimum number of fights. He offered to relieve Pacquiao of the relationship with Arum’s group.
The source claimed Finkel tried to convince Pacquiao to join Golden Boy but pleaded for the details of their discussion to be kept confidential. But the source insisted Finkel was misinformed on the contents of Top Rank’s contract which stipulates a $2 million minimum purse, a four-year time frame and a set number of fights. “Maybe, Finkel thought Golden Boy’s contract was Top Rank’s,” said the source.
When it became apparent Pacquiao would not heed Finkel’s advice, the source said the suit was filed.
Finkel’s contract to manage Pacquiao was due to expire last Jan. 31 but ended earlier after an agreement in Las Vegas with Arum, the fighter and the manager. In the agreement, Finkel renounced rights to Pacquiao on the condition he is paid 20 percent of the purse and net profits due from the third Erik Morales fight and 20 percent of the fighter’s pay-per-view share from the second Morales match through Top Rank. The contract was signed last Aug. 11 by Finkel, Arum and Pacquiao in Las Vegas.
But in his suit, Finkel claimed he is also entitled to 20 percent of Pacquiao’s fee from the Philippine TV rights of the third Morales fight. Burstein said the fee was paid directly to Pacquiao and not through Top Rank, a vital piece of information withheld from the contract negotiations.
“From the agreement, Finkel isn’t entitled to a share of Pacquiao’s fee from the Philippine TV rights,” said the source. “In fact, not even Arum is entitled to a share of that. Finkel called Arum two months ago about that and it was explained clearly.”
Burstein said Arum destroyed Finkel’s relationship with Pacquiao and initiated the agreement to terminate his contract under false pretenses. He mentioned in the suit that Finkel would not have agreed to the termination if he had known about a “secret” arrangement about the Philippine TV rights paid directly to Pacquiao.
Burstein also said Pacquiao did not pay Finkel a share of his purse for fighting Oscar Larios at the Araneta Coliseum in July last year.
“Top Rank and Arum tortously interfered with Finkel’s prospective advantage –the extension of his management agreement – by wrongful means,” said Burstein who added that Pacquiao and Top Rank breached the Aug. 11 agreement by withholding key information on the Philippine TV rights to deprive Finkel of his share of that fee. Finkel is now pushing for the abrogation of the agreement.
