The New York Supreme Court today ruled that the 33rd America’s Cup, scheduled in February 2010, must take place in a venue in the Southern Hemisphere as per the strict reading of the competition’s governing document, the Deed of Gift, or in Valencia, Spain, as the only exception to that rule.
“This is a disappointing result as we were certain that Justice Cahn’s May 2008 decision allowed the Defender to chose Valencia or ‘any other location’,” said Lucien Masmejan, Société Nautique de Genève (SNG) legal counsel. “Ras Al Khaimah has put enormous time and effort into this 33rd America’s Cup project. We thank them and feel sorry for this unexpected result out of the New York court”.
“We are satisfied, however, as Justice Kornreich confirmed that the Deed of Gift Match will be conducted under SNG rules as she had already ruled in a previous court order,” added Lucien Masmejan.
Ras Al Khaimah, UAE, host venue for the 33rd America’s Cup 2010
US team Oracle on Friday rejected the choice of Gulf emirate Ras al-Khaimah as the venue for its February duel with America’s Cup defender Alinghi, describing it as “illegitimate and unsafe” due to its proximity to Iran.
“In light of the developing situation in the Arabian Gulf region, Ras al-Khaimah is particularly unsuitable,” Oracle’s representative, the Golden Gate Yacht Club, said in a statement.
It called on the New York Supreme Court to order the race instead be held in the Spanish Mediterranean port of Valencia, where the last America’s Cup, won by Alinghi, took place in 2007.
Alinghi condemned Oracle’s move as a “tactic” by its owner, American computer billionaire Larry Ellison, and vowed to press on with plans to hold the event as scheduled.
“Their complaints as to safety are not truly held by them, demonstrated by the fact that they have relocated personnel to Ras Al Khaimah, and have equipment at the venue in preparation for the match,” Alinghi skipper Brad Butterworth said in a statement.
“We believe this lawsuit is yet another tactic employed by Larry Ellison and BMW Oracle to avoid racing us for the Cup on the water… Our Cup preparations and training will continue in Ras al-Khaimah.”
Alinghi, owned by Swiss biotech billionaire Ernesto Bertarelli, and Oracle have been engaged in a two-year legal battle over the next edition of yachting’s premier event.
Under a ruling by a New York court in April, the 33rd America’s Cup was scheduled to be settled in a three-leg duel starting February 8 instead of the traditional fully-fledged regatta involving several teams.
In a surprise move, Alinghi, represented by the Societe Nautique de Geneve (SNG), announced in August that Ras al-Khaimah would be the site of the race.
Representatives of Oracle inspected the proposed venue last month.
“It was clear that the RAK venue fails on every key measure necessary for a successful America?s Cup, including: lack of infrastructure, security and wind,” Oracle’s representative, the Golden Gate Yacht Club, said in a statement.
It said Alinghi’s “proposed course area is within 17 miles (27 kilometres) of islands occupied by Iran in a current territorial dispute with the United Arab Emirates of which Ras al-Khaimah is a member state,” it said.
“GGYC will not consent to SNG?s choice of an illegitimate and unsafe venue.”
It said that under America’s Cup rules the race cannot be held in the northern hemisphere without the mutual consent of the two teams.
“The only exception is Valencia, which the (New York) courts April 7, 2009 decision expressly permits,” GGYC said.
But Butterworth countered that the New York court’s order said “the location of the match shall be in Valencia or any other location selected by SNG.”
Oracle’s New Zealand skipper Russell Coutts described the choice of Ras al-Khaimah as “another example of Alinghi abusing its role as trustee of the America’s Cup.
“We want to get this going on the water but not in a risky or unsafe situation. Ras al-Khaimah is a very remote place, it’s a half-completed real estate development,” he told AFP.
The America’s Cup was to be held in the Middle East for the first time as Ras al-Khaimah’s Investment Authority tries to develop the tiny emirate by attracting investment, tourism and major international events.
US team Oracle reiterated Thursday its wish that the next edition of the America’s Cup, a multihull duel against defending champion Alinghi of Switzerland, be held in March 2010 in Valencia, Spain.
It also said the following edition of yachting’s premier racing event could also be staged in 2011 or 2012 in Valencia, where Alinghi won the 32nd America’s Cup in July 2007, and has asked its Swiss rivals to aim for this.
This position was expressed by two officials, Oracle spokesman Tom Ehman and the team’s skipper Russell Coutts of New Zealand, to local media Thursday in Valencia, and in a letter sent to Alinghi.
In the letter, Oracle recalled that a US court has ruled that the multihull duel must take place no later than next February in Valencia, or if not there in a location selected by Alinghi by August 8 in the southern hemisphere.
The US team left the door open to a mutual agreement on another location in the northern hemisphere with Alinghi, which said earlier this week that it was studying “various locations” for the duel without giving further details.
Oracle suggested as a mediator for the organization of this duel the International Sailing Federation (ISAF), but said it does not want to change the date for the event.
Ehman and Coutts said that no matter what the outcome of the duel is, Oracle would like the 34th America’s Cup to be held soon in Valencia in its traditional format, involving multiple challengers, in what is a departure from its usual position up until now.
They also indicated that racing events similar to the Louis Vuitton Pacific Series held earlier this year in New Zealand could take place this fall at Valencia.
Oracle also indicated that its “USA” multihulls yacht for the duel will be launched this summer but did not clarify whether the ship the giant trimaran it is modifying in San Diego or a new multihull under construction.
The multihull Alinghi is building in Switzerland is also expected to be launched this summer. Oracle said the rules of the event forbid it from having two masts, as Alinghi proposed in a recent letter.
Will happen from 10 to 19 of July and currently there are 19 teams registered, which must now ratify its participation, as says sources of America’s Cup Management (ACM), organizer of the event. The agreement sets a price of nine million euros plus VAT, while the second competitions in October pending verdict of the dispute between the teams Alinghi and BMW Oracle.
In this way the relationship continues between Valencia and the America’s Cup sailing, even with a race that might not rate in the official competition. Everything depends of the Court of New York.
If BMW ORACLE American syndicate win in Court, the scene changed completely. The rules of the America’s Cup winner said that the trial is up to ten months to fix the dates of the Challenge, which might discourage this pre-rregata in the event of a collision of dates.
The spectator boats are in this kind of competitions in different perimeters, depending on the privileges they have. Similarly, the proximity to the port also facilitates the television to wireless networks.
Now it’s time to realize all these logistics, and advanced according to the councilman of Sports of Valencia, Cristóbal Grau. The representative of ACM, Lucien Masmejan, said that there is still no agreement in sight on what channel will the races.
What will happen with the BMW Oracle in case you lose the trial? Currently is not among those registered for pre-rregatas, which would negate their participation in the 33rd edition of the America’s cup, according to sources from ACM.
The only way to change this is that all equipment approved unanimously to allow the entry of the Americans, something difficult to achieve especially in the case of Alinghi, current holder of the Mug Hundred Guineas and he faces in court Supreme New York.
A matter of contract and absent is striking is that the organizer does not reserve any percentage of the revenues of the restaurants in the dock. This line of business at the marina kept in exclusive Consorcio Valencia 2007, the public agency that undertook the infrastructure at the port for the races.