Let's see what settlement round 2 looks like, not that I think it'll be a real offer they expect to get accepted. UFC spent the first several years leading up to the cert wait doing everything they could to delay and slow down discovery. I'm sure they'll be doing the same moving forward, starting with another settlement offer good enough to muddy the waters of public opinion, but lacking in substance where it counts.
The first issue is whether or not they actually believe they've done anything wrong. Do they believe a second proposed settlement offer would somehow make them look "guilty" to the public?
The second issue is whether or not they are willing to raise the settlement offer because they've taken out so much corporate debt over the last several years to pay themselves and their investors.
The third issue is how politically-minded they are right now. They seem to be really in a box and are navigating some uncharted waters.
"The settlement is anticipated to be deductible for tax purposes as and when paid. As a result, we expect our tax distributions to members as required under our Up Fee structure to be meaningfully reduced such that we won’t realize an adverse dollar for dollar impact to cash on hand."
Very curious to see if they're just going to brazen this out and rely on bullying the fighters out of the courtroom.
This might be the best piece i have read in a while. Flawless.
thanks much!
Let's see what settlement round 2 looks like, not that I think it'll be a real offer they expect to get accepted. UFC spent the first several years leading up to the cert wait doing everything they could to delay and slow down discovery. I'm sure they'll be doing the same moving forward, starting with another settlement offer good enough to muddy the waters of public opinion, but lacking in substance where it counts.
with the trial date being locked in they don't have as much room to screw around as they used to
The first issue is whether or not they actually believe they've done anything wrong. Do they believe a second proposed settlement offer would somehow make them look "guilty" to the public?
The second issue is whether or not they are willing to raise the settlement offer because they've taken out so much corporate debt over the last several years to pay themselves and their investors.
The third issue is how politically-minded they are right now. They seem to be really in a box and are navigating some uncharted waters.
My understanding was in the last quarterly call they basically called the settlement amounts a tax write off
https://archive.is/xPCU0
"The settlement is anticipated to be deductible for tax purposes as and when paid. As a result, we expect our tax distributions to members as required under our Up Fee structure to be meaningfully reduced such that we won’t realize an adverse dollar for dollar impact to cash on hand."
I was struck by that too. It seems they didn't plan on adding to that amount and didn't anticipate that they'd need to.