Pacific Sports LLC, the event production and sports marketing firm based in Anaheim, California, has filed a lawsuit, which could have a major impact on organisations that hold running, cycling and triathlon events across the US.
Since 1998, Pacific Sport has produced the award-winning Catalina Marathon which takes place every March on land managed by the Santa Catalina Island Conservancy that is open to the public for recreational use.
The Conservancy has now refused to grant Pacific Sports a permit to hold the Catalina Marathon in 2012 and instead recently announced that it has decided to produce this race itself, and hired Spectrum Sports to assist it in doing so.
In previous years Santa Catalina Island Conservancy has received a permit fee and charitable donation from Pacific Sports LLC for organising the race.
According to the Pacific Sports, in addition to holding the event in the same location, during the same month and using an almost identical name, the Conservancy has also promoted the event citing awards and accolades, and quoting marketing materials verbatim from the Pacific Sports website.
According to Pacific Sports, race organisers invest money, resources and years growing their events. This case could set a precedent that determines the future rights to and ownership of existing sports events being held across the US.
Tens of thousands of events around the nation rely on permits to hold their events. This is the first such case within the endurance sports industry in which the permit holder denied the permit in order to take over the event itself.
Jack Caress, President and CEO of Pacific Sports LLC said, "Pacific Sports LLC has produced 45 successful events on Santa Catalina Island including the Buffalo Run Half Marathon, Catalina Triathlon and for the past 13 years the Catalina Marathon.
“We’ve built the Catalina Marathon into an award-winning premier event that has brought millions of dollars to Catalina Island’s economy. To have the Santa Catalina Island Conservancy deny a permit in 2012 and essentially claim the event as its own should be very concerning to organisers of endurance events throughout the country.
“Pacific Sports LLC chose to file this lawsuit because event organisers have a right to protect their assets and primary source of revenue."
Laura Hess, attorney with Kring & Chung LLP, which is representing Pacific Sports LLC in this case, added, "Event producers of all kinds should be paying close attention to this case.
“The issue is broader than just what happens to your asset when the city won’t give you a permit. The issue is whether someone can try to stand in your shoes and capitalise off of your success by putting on an event so much like yours that people are confused as to which event is which."
