One of the problems with arbitration is that it’s private, which means the results never make it into the news. This poses a problem for those trying to use lawsuits in order to make a statement.
Rick Pitino recently sued Adidas for allegedly inflicting damage to his reputation after a corruption scandal that eventually resulted in him losing his job at Louisville. The defamation lawsuit sought both compensatory and punitive damages, although the complaint did not specify an amount for either one. According to Steve Pence, Pitino’s attorney, the lawsuit was less about the money than it was about trying to salvage Pitino’s reputation.
But shortly after Pitino filed the lawsuit, Adidas filed a motion to dismiss it, saying the case belonged in private arbitration outside of court. The judge agreed and dismissed the case.
It’s worth noting that the dismissal does not mean that Adidas is innocent of the allegations against it. All it means is that the U.S. court is not the proper jurisdiction to handle the dispute. But since the results of arbitration are never made public, Pitino’s stated main goal of clearing his name cannot be accomplished through arbitration.
In 2017, an FBI investigation linked Pitino with improper recruitment practices, specifically his connection with Brian Bowen, a five-star player who was allegedly paid $100,000 to commit to playing for the University of Louisville.
Pitino was initially placed on administrative leave in September of 2017 after the results of the FBI investigation were made public. He was fired just a few weeks later and Bowen ended up not playing for U of L. Continue reading ›