Lawsuit Filed Against Pacquiao In Texas And Court Enters Temporary Restraining Order

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On November 11, 2010, a complaint was filed against Manny Pacquiao in the United States District Court for the Southern District of Texas by Imperial Ed Promotions, LLC. Imperial Ed also sought a temporary restraining order locking up part of Pacquiao's pay from the Margarito fight last weekend.

As alleged in the complaint:

On or around July 28, 2010, the parties entered into a written contract, signed by and between Edmundo H. Lozano of IMPERIAL ED PROMOTIONS, LLC ("Imperial") and EMMANUEL PACQUIAO ("Pacquiao"), and witnessed thereof by Bebra Pérez and María Lourdes Guillen (the "Agreement"). Pacquiao was paid one hundred thousand dollars ($100,000.00 USD) by Imperial to make a special appearance, and failed to appear and to return the money in breach of contract. . . . On or around July 16, 2010, at Bebra Pérez’s request, Imperial paid for an airplane ticket in the amount of $1,850.00 to María Lourdes Guillen, so that she could personally deliver the written contract to Pacquiao in General Santos City, Philippines.
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According to the allegations in the complaint, Pacquiao signed the contract in General Santos City, Philippines and the terms of the contract required that Pacquiao make a number of appearances in Texas "scheduled to coincide with the Bicentennial of the Mexican War of Independence (1810) and the Centennial of the Mexican Revolution (1910)." A copy of the contract was attached to the pleadings.

Plaintiff alleged that the scheduled events "included a number of social functions and promotional opportunities in the city of McAllen, Texas, and the surrounding area, leading to a series of boxing matches held in the city of Hidalgo, Texas."

According to the allegations in the complaint, plaintiff was required to wire a payment of $100,000 to Pacquaio and "Pacquiao's team" provided an account to wire the money to in the name of his wife, Jinkee Pacquiao.

According to the allegations in the complaint, Plaintiff approached Pacquiao during a press conference in Dallas promoting the Margarito fight and that is when things went wrong:

Edmundo H. Lozano ("Lozano"), the President of Imperial ED Promotions, LLC, approached Pacquiao with a poster in his hand. The poster was part of Imperial’s promotional materials and clearly depicted the September event, hosted by Imperial in McAllen, Texas, and the surrounding area ("Rio Grande Valley"). Lozano personally told Pacquiao that the Imperial team and company were there at the Dallas, Texas, press conference, and that they were the promotions team for the events that Pacquiao agreed to attend in two more weeks. Pacquiao indicated that he did not know if he was to attend any of the events. Pacquiao signed the poster. When Lozano tried to talk to Pacquiao again about his attendance at the September events, the bodyguards refused to allow the members of the Imperial team near Pacquiao. Freddie Roach, Pacquiao’s trainer, directly told another member of the Imperial team, Salvador Avilez, that Pacquiao would not appear at the September events scheduled in the Rio Grande Valley. Specifically, Freddie Roach confirmed that it would not be possible for Pacquiao to appear, as it would conflict with his training for the Margarito fight.​

Plaintiff asserted claims for "breach of contract," "common law fraud," "fraud by nondisclosure," tortious interference with existing contract," and "tortious interference with prospective business relations."

Plaintiff also sought a temporary restraining order that the Court granted on November 12, 2010.

The TRO provided in relevant part as follows:

That Defendant EMMANUEL PACQUIAO, and Defendant’s officers, agents, servants, employees, and attorneys, and all persons acting in concert with them, are hereby enjoined from transferring, disbursing, distributing, or otherwise secreting funds received by Defendant, or subject to his control, from TOP RANK, INC. ("TOP RANK") and/or any other person or entity, as a result of his contract to fight ANTONIO MARGARITO ("MARGARITO") on November 13, 2010 in Arlington, Texas, in an amount up to $1.5 million, by which accounts for the $1,180,210 sought by Plaintiff as damages by reason of Defendant’s breach of contract, plus attorney fees, costs of suit, and interest, to be held pending further order of this Court; ​

The Court set a scheduling conference on November 22, 2010 at 2 p.m and required that plaintiff post a bond of $10,000.

This is the second lawsuit against Pacquiao in the last two weeks. As you may recall, a lawsuit was filed against Pacquiao on November 17, 2010 seeking $10,000,000 for an alleged breach of a music deal.

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