US court rules in favor of Pacquiao, ending three-year legal battle with PSM


At a glance

  • A California court has ruled in favor of eight-division world champion Manny Pacquiao, ending a three-year legal battle against Paradigm Sports Management which filed a lawsuit versus the Filipino champion over breach of contract.


A California court has ruled in favor of eight-division world champion Manny Pacquiao, ending a three-year legal battle against Paradigm Sports Management which filed a lawsuit versus the Filipino champion over breach of contract.

 

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In a final decision dated Aug. 12, Superior Court of the State of California County of Orange Central Justice Center Judge Walter Schwarm declared that the contract between Pacquiao and PSM was "void due to illegality" as the management firm was not properly licensed as a manager under California law.

Manny Pacquiao’s US lawyer Atty. Jason Aniel said the former senator was glad to hear the court’s final decision and thanked everyone who prayed for it to resolve the legal issue. 

“We are pleased that the court made its final decision on the legal issues in Mr. Pacquiao’s favor,” Aniel said. “After hearing Paradigm Sports Management’s objections to the tentative decision, the court decided the contract that Paradigm sought to enforce on Mr Pacquiao was illegal as Paradigm was not properly licensed.”

Pacquiao’s MP Promotions President Sean Gibbons welcomed the decision, saying that the former senator was finally vindicated.

“He did nothing wrong as the Superior Court of California has already announced its final statement of decision declaring that the contract offered by Paradigm was void due to illegality,” Gibbons said, referring to the judge’s final decision. 

“God bless Manny Pacquiao,” Gibbons added.

The US jury’s May 2023 first decision ordered him to pay $5.1 million to Paradigm with $3.3 million for breach of contract and $1.8 million for breach of implied covenant of good faith and fair dealing.

But Pacquiao’s legal camp waited for the whole legal process of trial since last year. And then, the same judge found out that Paradigm was not licensed as a manager under the California law that nullified the jury’s early verdict and not reversed as reported earlier.