(CelebrityAccess MediaWire) — A judge threw out the $90 million verdict against Clear Channel Entertainment for a division of Chicago-based promoter Jam Productions.
A Chicago jury had awarded more than $90 million to JamSports and Entertainment LLC on March 21 in a suit against CCE and Paradama Productions (doing business as AMA Pro Racing) regarding promotion of American Motorcycle Association events.
“The court clearly found that the jury’s verdict was unreasonable in light of the evidence,” Andy Levin, executive VP and chief legal officer for Clear Channel told Billboard.biz. “We’re very pleased with the decision and look forward to a new trial and just result.”
The judge ruled in favor of CCE in a post-trial motion filed by the company, by throwing out the “tortuous interference with prospective advantage” charge. The judge upheld the jury’s finding in favor of Jam on a separate claim that CCE toritously interfered with a contract that JamSports had entered into with AMA, saying he found “ample evidence” supporting the jury’s decision in that regard.
The jury had lumped together the damages on the two charges, awarding Jam over $17 million in lost profits plus $73 million in punitive damages. The judge said a new trial is required only on the damages to JamSports interference to a contract charge.
“Although we are mildly disappointed by the result, we look forward to another trial, where we expect a new jury will award JamSports even more money than the $90 million that the first jury awarded,” Jeffrey Singer, lead attorney for JamSports, told Billboard.biz.
The case focused on promotional rights for supercross events for the AMA. Jam alleged that CCE unfairly used its clout in the marketplace to shut out JamSports, the sports division of Jam Productions from production similar events.
JamSports filed the suit in April 2002.
At issue was a long-term contract to produce supercross events, which for years were held by CCE’s motorsports division. The AMA had signed a letter of intent with JamSports in late 2001 for a long-term deal, but supercross ended up back with CCE. –by CelebrityAccess Staff Writers