Alvarez Wins Against Former Promoter
Canelo Alvarez will not pay his former promoters an $8.5 million award, following a victory in a Miami court on Monday.
While Alvarez may have to pay damages to All Star Boxing, the Third District Court of Appeal ruled that $8.5 million amount set by a jury was based on “speculation.” The case now reverts to the initial judge for a new number.
Alvarez was promoted by All Star from September 2008 until December 2009, and would land the then 18 year old nine fights, as well as a travel visa to fight in the United States.
All Star would also cover portions of Alvarez’ training and apparel expenses, and allow Alvarez to keep any and all fees entitled to them as a promoter.
“All Star viewed Alvarez as an investment,” according to the opinion published Wednesday. “It assumed that if Alvarez reached the top, All Star would then obtain a fair return on investment by sharing the earnings generated by Alvarez’s fights.”
Alvarez would leave in January 2010, and sign a contract with Golden Boy Promotions, which included a $1 million signing bonus.
Even though there was not a written agreement between either side, All Star boxing would sue Alvarez for “enriching unjustly” from the company’s services, and also file a suit against Golden Boy Promotions.
A Miami-Dade civil jury would reject the suit against Golden Boy, but in 2016 order Alvarez to pay $8.5 million in punitive damages.
The appeals court ruled that allowing jurors to rely on assumptions on Alvarez’ earning power for two fights a year for the rest of his career, was not an accurate representation and there was not enough evidence to justify a specific amount for damages.
Alvarez’ lawyer believes that the boxer will likely pay back around $50,000 for the shoes, airfare and other out-of-pocket expenses documented by All Star.
Initial Report: Miami Herald