Golovkin Sues Golden Boy Promotions For At Least $3 Million Owed From Canelo Rematch

[Enlightened-One]

"Golovkin Sues Golden Boy Promotions For At Least $3 Million Owed From Canelo Rematch"

Gennadiy Golovkin will be paid handsomely if he and Canelo Alvarez handle their business in upcoming bouts and finally fight again September 17.

Meanwhile, the longtime middleweight champion understandably still wants what he and his team contend he is owed from their second fight in September 2018.

BS.com has learned that attorneys filed a lawsuit Friday on Golovkin’s behalf against Golden Boy Promotions in the State Superior Court of California. Their rematch took place in Las Vegas, but the lone named defendant, Oscar De La Hoya’s promotional company, is headquartered in Los Angeles.

The suit was filed in the County of Los Angeles’ Central District. The civil complaint alleges breach of contract, breach of fiduciary duty, conversion, constructive trust and accounting, and demands a jury trial.

In the suit, Golovkin seeks “not less than $3 million” in damages from Golden Boy for profits owed mostly from gate receipts and sponsorships. Golovkin also wants interest on the $9,025,351 it took Golden Boy nearly three years after the fight to pay him.

Golden Boy made its final installment on that debt last July 6.

According to the suit, a copy of which was obtained by BS.com, Golovkin is owed an additional $1,375,000 from gate receipts, a minimum of $450,000 from sponsorships for that HBO Pay-Per-View event, $31,500 in pay-per-view upside (45 percent), funds deducted as an expense from the postponement of the fight (due to Alvarez twice testing positive for a performance-enhancing drug in February 2018), unapportioned insurance expenses, “other funds simply not paid though listed on Golden Boy’s own accountings” in the amount of $177,458 and interest on the $9,025,351 it eventually paid in full.

Golovkin’s lawyers referred to Golden Boy’s deferred payments on the aforementioned $9 million-plus as “an interest-free loan” in court documents. The suit states that Golden Boy acknowledged in January 2021 that it owed Golovkin that enormous sum of money, but that it “had used that money for other purposes” and repeatedly broke promises to make payments on the full amount.

Nearly half of the damages sought by Golovkin stem from what is called Golden Boy’s “revised accounting” last September 27 of proceeds from ticket revenue. In contracts for their rematch, Golden Boy was entitled to 55 percent of ticket revenue and Golovkin was supposed to receive 45 percent.

Golden Boy has “refused to pay” Golovkin that additional $1,375,000, according to court documents, despite “clear contract language” that entitles him to that amount.

According to the Nevada State Athletic Commission, the Alvarez-Golovkin rematch generated $24,573,500 in ticket revenue. It stands as the fourth highest-grossing gate for boxing in Nevada history, behind only Floyd Mayweather-Manny Pacquiao ($72,198,500), Mayweather-Conor McGregor ($55,414,865.79) and the first Alvarez-Golovkin fight ($27,059,850).

This lawsuit shouldn’t in any way prohibit Golovkin, 39, and Alvarez, 31, from moving forward with their third fight. Alvarez, who is not named in the suit, parted ways with Golden Boy due to his own contract dispute in the fall of 2020.

Their third fight would be co-promoted by Eddie Hearn’s Matchroom Boxing, Alvarez’s promotional partner, and Golovkin’s company.

Thoughts?

[Enlightened-One]

More than 3½ years have passed since the last GGG-Canelo bout. And he’s decided to wait nine months after GBP’s final payment to file the lawsuit for monies owed?

I don’t know whether or not there’s any merit behind Gennadiy’s claims, but I suspect the matter will be settled out-of-court, with Golovkin ultimately agreeing to compromise and receiving less than $3m.

In terms of GBP, I don’t know what to say about them.

Since Oscar De La Hoya removed Richard Schaefer and Al Haymon from the company, they’ve not been doing well.

They’ve lost the vast majority of their stable to the PBC, a lot of their own fighters have publicly complained about them and those that work with GBP (i.e. GGG) fail to receive the monies they were promised.

[gregregegg]

Probably was waiting to have his fights locked in befor sueing... Sueing basically ends any future golden boy fight for GGG, with Mung as a big potential opponent he probably held off, but now he has murrate and canelo lined up as good a time as any to go after it.

[Enlightened-One]

Probably was waiting to have his fights locked in befor sueing... Sueing basically ends any future golden boy fight for GGG, with Mung as a big potential opponent he probably held off, but now he has murrate and canelo lined up as good a time as any to go after it.

Yeah, you’re probably right. I never thought of it that way.

After facing Murata and then engaging in the Canelo rematch, GGG would only have one fight remaining of his deal with DAZN.

So then he can either choose to retire or engage in one final farewell bout on DAZN.

But I agree, this lawsuit will burn bridges and prevent GGG working with GBP ever again, which obviously rules-out any hope of the Munguia bout.

[Nightmare Roy]

3 years to get paid! piss taking pudenda

[Enlightened-One]

3 years to get paid! piss taking pudenda

I can see where you’re coming from, but Floyd Mayweather Jr. recently disclosed that many of his purses took years to be fully-repaid (in instalments).

He claimed this was the industry norm for fighters engaging in marquee bouts where purses were worth several million dollars.

But yes, if GBP haven’t honoured their contractual commitments to GGG, which clearly seems to be the case, then they have indeed taken the “piss.”

[gregregegg]

3 years to get paid! piss taking pudenda

I can see where you’re coming from, but Floyd Mayweather Jr. recently disclosed that many of his purses took years to be fully-repaid (in instalments).

He claimed this was the industry norm for fighters engaging in marquee bouts where purses were worth several million dollars.

But yes, if GBP haven’t honoured their contractual commitments to GGG, which clearly seems to be the case, then they have indeed taken the “piss.”

I dont see why it would be normal... The money is out of the customers accounts before the fight starts. Shouldent take more than a week or so to figure out how much someone is owed and deposit it.

Floyd is probably saying that, and defending it as normal because he is a promoter now not a fighter, and taking years to pay people suits him.... he hasnt paid logan yet has he? and is getting sued? im guessing thats why he is saying it.

[Ruthless-RKO]

3 years to get paid! piss taking pudenda

I can see where you’re coming from, but Floyd Mayweather Jr. recently disclosed that many of his purses took years to be fully-repaid (in instalments).

He claimed this was the industry norm for fighters engaging in marquee bouts where purses were worth several million dollars.

But yes, if GBP haven’t honoured their contractual commitments to GGG, which clearly seems to be the case, then they have indeed taken the “piss.”

I dont see why it would be normal... The money is out of the customers accounts before the fight starts. Shouldent take more than a week or so to figure out how much someone is owed and deposit it.

Floyd is probably saying that, and defending it as normal because he is a promoter now not a fighter, and taking years to pay people suits him.... he hasnt paid logan yet has he? and is getting sued? im guessing thats why he is saying it.

That's what I don't get.. Fair enough might take a week to count up all the PPV buys, but the PPV.s are paid for up to a month before the fight.

Floyd talks like a promoter now anyway..

4 years to pay someone.. Where exactly is the money?

Floyd also said (to defend himself), he's still receiving PPV for some of his fights..

That doesn't make sense right?

[Enlightened-One]

I can see where you’re coming from, but Floyd Mayweather Jr. recently disclosed that many of his purses took years to be fully-repaid (in instalments).

He claimed this was the industry norm for fighters engaging in marquee bouts where purses were worth several million dollars.

But yes, if GBP haven’t honoured their contractual commitments to GGG, which clearly seems to be the case, then they have indeed taken the “piss.”

I dont see why it would be normal... The money is out of the customers accounts before the fight starts. Shouldent take more than a week or so to figure out how much someone is owed and deposit it.

Floyd is probably saying that, and defending it as normal because he is a promoter now not a fighter, and taking years to pay people suits him.... he hasnt paid logan yet has he? and is getting sued? im guessing thats why he is saying it.

That's what I don't get.. Fair enough might take a week to count up all the PPV buys, but the PPV.s are paid for up to a month before the fight.

Floyd talks like a promoter now anyway..

4 years to pay someone.. Where exactly is the money?

Floyd also said (to defend himself), he's still receiving PPV for some of his fights..

That doesn't make sense right?

The in’s-and-out’s of the payment schedule for marquee bouts are almost never disclosed to the public, unless it's publicly-detailed in lawsuit documentation.

I suspect for bouts involving the purse bid process or involving fighters that aren’t receiving huge purses, are probably paid immediately and in one-go, which I suspect covers the majority of boxers.

So I don’t really understand the reason why certain big-name fighters would agree to receive their purses in instalments (unless it’s treated as a “loan” of sorts to the promoter that results in the fighter being paid more money than only receiving one payment).

I don’t know what to say, but I do recall a few fighters over the years claim they’ve received their purses in instalments.

I seem to recall Ricky Burns and Herbie Hide filing lawsuits against Fṛḁռk Wḁṛṛȅռ related to their purses being paid in instalments.

We also know that a lot of fighters aren’t paid immediately and only choose to file lawsuits several years afterward against their promoters when this happens (i.e. Don King).

Perhaps somebody else can pitch in who knows more can explain what the norm really is?

I can’t really say any more about the matter than I already have.

[H8Usernames]

Money is a boring thing.

For huge ammounts it's very understandable that folks need something like 6 months to pay them out in full. Heck even longer can be understandable. I am not however sure that the disagreement between GGG and GBP falls into this understandable bracket, kind of sounds more like GBP greed really.

Sometimes people ask me for money and ask me why I haven't sent it to them already. "Sent it where?" you never provided me with your bank details and those details aren't a matter of public record.

[apollo creed]

3 years to get paid! piss taking pudenda

I can see where you’re coming from, but Floyd Mayweather Jr. recently disclosed that many of his purses took years to be fully-repaid (in instalments).

He claimed this was the industry norm for fighters engaging in marquee bouts where purses were worth several million dollars.

But yes, if GBP haven’t honoured their contractual commitments to GGG, which clearly seems to be the case, then they have indeed taken the “piss.”

I dont see why it would be normal... The money is out of the customers accounts before the fight starts. Shouldent take more than a week or so to figure out how much someone is owed and deposit it.

Floyd is probably saying that, and defending it as normal because he is a promoter now not a fighter, and taking years to pay people suits him.... he hasnt paid logan yet has he? and is getting sued? im guessing thats why he is saying it.

True.

A fighter should be paid rightfully and according to the contract. If in the contract it says that the entire purse should be in the pocket of the fighter in 48 hours, then it should be like that. This world is full of croocked-greedy-scumbags that are trying to cheat and steal from the honest people.

[H8Usernames]

I can see where you’re coming from, but Floyd Mayweather Jr. recently disclosed that many of his purses took years to be fully-repaid (in instalments).

He claimed this was the industry norm for fighters engaging in marquee bouts where purses were worth several million dollars.

But yes, if GBP haven’t honoured their contractual commitments to GGG, which clearly seems to be the case, then they have indeed taken the “piss.”

I dont see why it would be normal... The money is out of the customers accounts before the fight starts. Shouldent take more than a week or so to figure out how much someone is owed and deposit it.

Floyd is probably saying that, and defending it as normal because he is a promoter now not a fighter, and taking years to pay people suits him.... he hasnt paid logan yet has he? and is getting sued? im guessing thats why he is saying it.

True.

A fighter should be paid rightfully and according to the contract. If in the contract it says that the entire purse should be in the pocket of the fighter in 48 hours, then it should be like that. This world is full of croocked-greedy-scumbags that are trying to cheat and steal from the honest people.

This is easy to do when the contract states that the fighter shall receive X for the bout. Unless the fighter ofcourse fails to provide his bank details.

When contracts are more complicated and there are questions about who should pay whom what then it's easy to understand delays.

Regarding fairness of such delays well if the matter can't be resolved because the promoters accountant is on a 3 month vacation then obviously the fighter should recieve interest ontop of any funds owed to him. If the funds can't be paid out however due to something which can not be considered the fault of the promoter then no interest should be added ontop of the amount.

Does every fighter produce a fight of the year candidate every time he steps into the ring? Ofcourse not. Should every promoter obey demands for funds immediately when he gets them? I don't think so.

[Perseus]

Some boxing promoters get sued by boxers on a regular basis.
Is GBP one of them?

[coneye]

Some boxing promoters get sued by boxers on a regular basis.
Is GBP one of them?

Used to have lads box on a promoters show regular ,, we had a good arrangment ,,
1..... i would'nt come UNLESS he paid airfares , in front or put petrol money im my account BEFORE i left ,,

2 ,, we had hotels booked and payed for BEFORE we got there ,,, couple of occasions he tried to put us in a run down building with a demolishen order on it ,, once when i told him to fook off , he said to me you come stay at my house the fighters can stay here

3 He paid me up BEFORE they got in the ring ,, Once i told him , my lads gonna get dressed and were going home 30 minuites before we went on has main event ,,, learnt very early money was always gonna be a problem with this guy if you did'nt take these steps always the same excuse , we did'nt sell enough tickets i'm going broke .

For us though , it added to the fun gives us yarns to spin now years later when i get together with the fighters ,we still laugh and joke about this stuff and the fond memories but there never was big money involved , .

But one thing i always said , if a promoter cannot afford to put the money in escrow , he can't afford the fights ,, also always felt the relevent boards should be given the purses BEFORE fight night ,, but always found the only money they were interested in was there own

When you talk about this sort of huge money , i guess they need the huge purses to pay the expensive lawyers