Armstrong To Face Lawsuit For Lying Under Oath About Doping

A Texas appeals court has temporarily blocked an arbitration panel from reviewing bonuses paid to Lance Armstrong. This was after a request by Lance Armstrong to stop an arbitration panel from reviewing $12 million in bonuses he was paid before admitting he used performance enhancing drugs had been initially rejected by a Texas judge.

Judge Tonya Parker declined to stop the panel from evaluating whether bonuses that were awarded to the cyclist for three of his seven Tour de France victories should be repaid to Dallas-based SCA Promotions. An attorney for SCA Promotions, Jeff Tillotson, remarked the panel will be meeting on March 17 for discussing his request that the disgraced cyclist forfeit prize money from those races and is penalized for committing perjury. Tillotson said it is beyond dispute that Armstrong perjured himself in our 2006 proceeding. He added the only thing left to resolve is in what manner should he be punished and he should not be allowed to retain the benefits he got from lying.  Tillotson also said Armstrong used his lies to obtain more than $10 million from us. Tillotson added we had several million dollars in legal fees and suffered an enormous amount of damaging publicity and those are factors we’re going to ask the panel to consider.

The Dallas-based company filed one of many lawsuits against Lance Armstrong after he admitted to doping during an Oprah Winfrey interview in January 2013. The cyclist was stripped of all his seven Tour de France wins by the United States Anti-Doping Agency (USADA), which also banned him for life.

SCA’s attorneys wanted to question Lance Armstrong under oath but attorneys of Armstrong appealed to the Dallas-based Fifth Court of Appeals. Thereafter, Judge Kerry Fitzgerald ordered all proceedings to be stopped pending further review by the court later this month. It is insisted by Armstrong’s attorneys that state law won’t allow SCA to reopen the original settlement that included language that said “no party may challenge, appeal or attempt to set aside” the payment and that it was “fully and forever binding.” Armstrong attorney Tim Herman said we are pleased the court will consider the issue of whether a final settlement, to which all parties agreed would end all disputes, can be reopened when one side has buyer’s remorse.

SCA remarked that the cyclist deceived the arbitration panel by lying under oath that he had never used performance enhancing drugs.  The Dallas-based company is now seeking the return of $12m – Tour de France prize money of $1.5m in 2002, $3m in 2003 and $5m in 2004, plus $2.5m in costs paid in 2004 – plus interest, costs and damages.

The SCA case goes back to 2006. Armstrong’s United States Postal Service team protected itself against that potential financial liability through a policy from SCA Promotions – a company specializing in assuming risks associated with prizes. SCA declined to make payment for bonuses to Lance Armstrong after a French book detailed allegations of doping against Armstrong in 2004. The company however agreed to the policy after an arbitration process, in which Armstrong made a denial of doping under oath.

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