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Impact FC Stiffs Fighters, Promoters Blaming One Another

Ken Shamrock preparing to fight for free at Impact FC Sydney. Photo by Chris Dela Cruz via Sherdog.com

Cage Potato does some excellent reporting:

We learned of the situation Wednesday from one of the affected fighters who wished to remain anonymous, but have since been able to confirm the story with more than a dozen others, including Karo Parisyan, Rameau Thierry Sokoudjou, Jesse Taylor and Brian Ebersole, that none of the cards' participants have received their complete fight purses .

Although most commissions require that fighters be paid before the promoter leaves the arena the night of the show (some even hold onto and distribute the money themselves) none of the men who fought on either show received checks before flying home from Australia. A handful of them have since received partial payment - the most being 75% of what was owed, however most of the fighters we spoke to have yet to receive a dime, despite multiple phone calls they have made and emails they have sent to promoters Tom Huggins and Andrew McManus asking that they be paid.

They get quotes from both partners, first Andrew McManus, the "money mark" blames Tom Huggins, the "MMA veteran" claims that McManus was always the sole responsible party for paying the fighters. Huggins is in Brazil and McManus asserts that he hasn't been able to get a response from him. Huggins, for his part, insists that he has a contract that clearly indicates that McManus agreed to pay all the costs of the events. McManus asserts that he never signed that contract.

There's also an interesting "it's the UFC's fault conspiracy" angle in the full entry, plus Jordan Breen's comments:

Star-divide

A source close to the situation indicated that the UFC purportedly contacted any sponsors of the event who also sponsored UFC or WEC shows and told them in no uncertain terms that if they backed Impact, they would no longer be welcomed as a ZUFFA sponsor. As such, several sponsors pulled out last-minute, adding to the promotion's financial issues.

This strikes me as extremely unlikely. The UFC, sadly, does have a track record of behavior bordering on tortuous interference against major rivals such as M-1 Global, but Impact FC's two cards featuring nothing but UFC castoffs in a minor market does not appear to fit the profile of a promotion that Dana White feels threatened by. 

Jordan Breen, who traveled to Australia to cover both Impact FC events for Sherdog tweeted on the topic today:

re: Impact FC not paying fighters, Tom Huggins indicated to me from the outset that AMP was on the hook for production and payroll costs.

After a weak gate in Brisbane (gate was AMP responsibility to promote), McManus complained. He clearly thought all MMA works like UFC.

For reference, whole Impact model is supposed to be franchising, i.e. Huggins works with different Impact promoters in different countries.

McManus was supposed to be the cashcow in Australia, but clearly didn't understand at all and freaked out when Impact didn't do UFC numbers.

AMP is McManus' company. 

Sadly, this debacle fits an all too common pattern in MMA. Impact FC had all the signs of being a disaster in the making going in:

  • Overly ambitious new promotion aiming to score big on Pay Per View right out of the gate;
  • Money mark financing 
  • Card stocked with (relatively) high dollar veterans who are nonetheless unlikely to draw;
  • Weak or absent regulators that fail to protect the fighters by collecting the fight purses up front;
I really feel sorry for two of the fighters in particular: Ken Shamrock who is openly desperate for money and fighting well past the age where he's competitive; and Karo Parisyan who hasn't fought in over 18 months due to mental health and drug abuse issues. But all of the fighters did their best and don't deserve this kind of treatment. 

There's no place in the sport for promoters who don't live up to their contractual obligations to the fighters, regardless of how poorly their business venture fares. The promoters are the ones assuming the financial risk, the fighters are risking their lives and deserve to be paid.


More BE coverage of Impact FC: The Uprising Sydney

More BE coverage of Impact FC: The Uprising Brisbane

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Wow

What can they do about this legally?

by MickDawg on Jul 29, 2010 1:08 PM EDT reply actions  

They can sue Impact. However, the question then becomes, can they get paid if they get a judgment? Probably not.

"an excellent example of why most MMA "journalism" is a joke. Pseudonyms like "toxic" and shitty writing like that dopey article"--- Joe Rogan.

by toxic on Jul 29, 2010 3:31 PM EDT up reply actions  

McManus has had his fair share of issues promoting pro wrestling and music in Australia as well. Rob Nashville wrote a good piece on what AMP’s initial intentions were:

Article

For a promoter, McManus has a fairly good rep…just not the best business sense.

http://www.instrength.com

by Tim Burke on Jul 29, 2010 1:17 PM EDT reply actions  

I know guys who dealt with him during his wrestling stint.

He is the very definition of a money mark.

Koscheck eats it.

by Ozzz on Jul 29, 2010 9:53 PM EDT up reply actions  

Pay the fucking fighters.

I am. I think. I will. - Ayn Rand

by vivero on Jul 29, 2010 1:21 PM EDT reply actions  

To be fair, it wasn’t that they couldn’t afford Bob Sapp’s plane ticket. It’s that they refused to fly out his 50 Bulgarian “sambo coaches”. They told him he could bring two corner men and he refused.

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by Brian Mayes on Jul 29, 2010 2:24 PM EDT up reply actions  

Yeah thats true, and thats why I worded that as an article about Sapp “claiming” they couldnt afford a ticket…. but regardless, they were a small ‘regional’ show trying to appear to be larger than they actually were, but they didnt have their proverbial shit together, as they say. It’s the same thing that Affliction, Bodog, IFL and EliteXC did, try to become overnight what took the UFC 10 years to become.

by TheConcreteKid on Jul 29, 2010 2:56 PM EDT up reply actions  

UFC won’t pay for guy’s to fly out their entourage either. They’ll pay to fly out your corner. Beyond that, you’re on your own. Might be different for guys like Chuck, Brock, Randy, ect, but then I don’t really think they’re in a finacial situation where they have to worry about paying to fly out their buddies to see the show.

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by Brian Mayes on Jul 29, 2010 4:12 PM EDT up reply actions  

Brock himself flew out his whole team for UFC 116 on his own dime

Called it before the fight:
Cardio - The BIG question. Does Shane Carwin have cardio? He's never gone past the first round. His muscle mass is astounding and we all know that with all that muscle comes a need for the heart to pump fresh oxygenated blood to keep them from building lactic acid. He does train up in the thin air of Colorado, so that can't do anything but help. However, we have seen him pretty winded after a 1st round fight. Adrenaline dump or cardio problems? We won't find out the answer to that until someone takes him out of the first round.

by S.C. Michaelson on Jul 29, 2010 4:14 PM EDT up reply actions  

That’s what I’m saying. Those guys don’t really have to worry about such things. Brock Lesnar doesn’t have to worry about details like that the same as say Gerald Harris for example.

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by Brian Mayes on Jul 29, 2010 4:17 PM EDT up reply actions  

Why?

Is Gerald Harris rich?

by Holls Hoyce on Jul 29, 2010 6:14 PM EDT up reply actions  

You read it wrong, Lesnar doesn’t have to worry about buying a couple of extra tickets out of his own pocket but a guy like Gerald Harris would, Harris was an example of a fighter that wasn’t rich and couldn’t easily fly a whole team to his fights on his own dime.

by who me on Jul 29, 2010 10:13 PM EDT up reply actions  

The way you phrased the statement clearly indicated that you believed the UFC would do thinsg like that for the marquee fighters

Called it before the fight:
Cardio - The BIG question. Does Shane Carwin have cardio? He's never gone past the first round. His muscle mass is astounding and we all know that with all that muscle comes a need for the heart to pump fresh oxygenated blood to keep them from building lactic acid. He does train up in the thin air of Colorado, so that can't do anything but help. However, we have seen him pretty winded after a 1st round fight. Adrenaline dump or cardio problems? We won't find out the answer to that until someone takes him out of the first round.

by S.C. Michaelson on Jul 30, 2010 3:39 AM EDT up reply actions  

you sir deserve a cookie. after looking at roster im kinda suprised more people didnt see this coming.

by mmatokyo on Jul 29, 2010 8:16 PM EDT up reply actions  

Fail...

And people think MMA will prosper when you have micro-organization housing mediocre talent can’t even afford to pay these fighters. Ontop of Zuffa pulling a Steinbrenner, buying up all marketable sponsors then threaten them with a lifetime ban if they take their business elsewhere that doesn’t have the UFC/WEC banner.

I wonder if these clowns check their bank accounts before they put on these shows.

"Okay, I stay clever like Mayweather, will lay leather 'til your face sever, one of the greatest ever." -- Big Daddy Kane

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by Ryan Tical on Jul 29, 2010 1:35 PM EDT via mobile reply actions  

I think people are going overboard with the Zuffa hardball sponsor stuff. From what I’ve read and seen Zuffa isn’t out there mucking with sponsors on a whim. In fact I’ve only read about them doing it on a very limited basis. Zuffa has played hardball with those that want to play hardball with them. That isn’t a very uncommon approach in the business world but for some reason a lot of people expects Zuffa to be this altruistic company because they think it would be good for MMA. Which seems to ignore the fact that it would be Zuffa helping it’s competitors.

Just BE.

by mattman73 on Jul 29, 2010 2:08 PM EDT up reply actions  

This whole statement is misguided and untrue.

Sorry.

"Someone is WRONG on the internet. What do you want me to do? LEAVE? Then they'll keep being wrong!"
-Randall Munroe

by pdl on Jul 29, 2010 2:12 PM EDT up reply actions  

Thanks.

I share my opinion based on what I have read. I’m sorry I’m not as enlightened as you. But thanks for helping me understand why I’m misguided with that response.

I would love to know why and am more than happy to learn more. Please. I hate to be misinformed but responses like that don’t do me any good in making me better informed. I have no problem in being wrong and admitting it.

Just BE.

by mattman73 on Jul 29, 2010 2:16 PM EDT up reply actions  

I would have elaborated if I could

but I’ve got ties on my tongue, hence the apology. Didn’t mean to come off as snarky.

"Someone is WRONG on the internet. What do you want me to do? LEAVE? Then they'll keep being wrong!"
-Randall Munroe

by pdl on Jul 29, 2010 2:21 PM EDT up reply actions  

It’s ok but seriously I hate to be misinformed and would be more than happy to be set straight.

Well maybe next time you will be able to share more about why I’m wrong and misguided instead of just telling me I’m wrong and misguided. Cause now I just feel like an idiot but don’t know why.

Just BE.

by mattman73 on Jul 29, 2010 2:29 PM EDT up reply actions  

now I just feel like an idiot but don’t know why.

Story of my life

ALL OF YOU LISTEN TO MEE, DON'T DISTURB HERE, I WILL CALL POLICE CATCH YOU, DON'T COME TO MY BANGOLOW HOUSE, UNDERSTAND, O.K. I HATE ALL OF YOU.

by Chris Barton on Jul 29, 2010 2:41 PM EDT up reply actions  

Wait, what?

It’s Zuffa’s fault that this shitty promotion can’t pay its fighters? That’s bullshit.

"Daydreams of a 'fair' world which would treat him according to his 'real worth' are the refuge of all those plagued by a lack of self-knowledge." -- Ludwig von Mises.

by IKilled007 on Jul 29, 2010 4:03 PM EDT up reply actions  

Wow.

Getting played by a wannabe pro wrestling promoter.

A bad one at that.

"Respond intelligently even to unintelligent treatment."

-Lao Tzu

by RoyalB on Jul 29, 2010 1:35 PM EDT reply actions  

Fuck ufc and these fly by night promotions who wanna follow in their footsteps. Fuck the ppv model and fuck dana white.

Strikeforce is doing things the right way.

by PipRocks on Jul 29, 2010 1:39 PM EDT via mobile reply actions  

well one thing you can say in Dana's defense

is that he always pays the fighters. The Fertittas went millions into the hole and still paid everyone. Not really fair to compare Dana to McManus and Higgins.
And the PPV get rich quick model actually goes back to SEG and the dawn of the UFC.

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by Kid Nate on Jul 29, 2010 1:43 PM EDT up reply actions  

i am surprised you didnt ban him

I am. I think. I will. - Ayn Rand

by vivero on Jul 29, 2010 1:48 PM EDT up reply actions  

he's not name calling or breaking any of the rules

it’s not much of a contribution to the discussion but it’s not bannable.

Follow me on Twitter @KidNate

by Kid Nate on Jul 29, 2010 1:51 PM EDT up reply actions  

ok, i just thought it was an obvious troll job.

I am. I think. I will. - Ayn Rand

by vivero on Jul 29, 2010 1:53 PM EDT up reply actions  

…?

When a true genius appears in the world, you may know him by this sign, that the dunces are in a confederacy against him. - Jonathan Swift
Contributor for WatchKalibRun.com
Still Subo at Fightlinker.com

by Derek Suboticki on Jul 29, 2010 2:10 PM EDT up reply actions  

Strikeforce is doing things the right way?

So, you say F*** the PPV model, but you think SF is doing things the right way?

You do know that the SF model is all about getting on PPV when they think it will work, right? Coker has stated over and over that they want to be on PPV.

So, I think it’s safe to say that once SF is on PPV, you will hate on SF and their “model”?

by Bob Loblaw TX on Jul 29, 2010 2:32 PM EDT up reply actions  

Are you TBA’s father?

"Ten more seconds is all I ever ask. That's the good thing I learned about being KO'd twice. You don't see it coming -it's like death- you don't plan for it so don't wait for it. So many people are afraid of getting Ko'd that their hands stay home, but not me. I got to go out there and shoot the lights out and fall down" Jens Pulver

by StevenGiles on Jul 29, 2010 5:08 PM EDT up reply actions   2 recs

Bahahahahahahaha....

Strikeforce was doing somewhat okay before the Fedor and Henderson clusterfucks.

Granted, they base everything on fights turning out “as expected” and when they don’t they look like ever bigger idiots.

If anyone is showing how to do things as an alternative to the UFC’s proven model (and in a sustainable format), its Bellator.

Everytime I think Strikeforce finally might be doing something right, Lucy yanks the ball out and they fall on their collective arses…

On the plus side, you made me reflexively laugh out loudly in a crowded restraunt. At a table for 1…

"All truth passes through three stages. First, it is ridiculed. Second, it is violently opposed. Third, it is accepted as being self-evident." -Author Schopenhauer

Haters are gonna hate and bitches are gonna bitch...

by BigDNotDallas on Jul 29, 2010 6:48 PM EDT via mobile up reply actions  

Sarah Kaufman would like a word.

Jake Shields after that.

Koscheck eats it.

by Ozzz on Jul 29, 2010 9:56 PM EDT up reply actions  

A minor-league promotion does not do UFC numbers on their first PPV?

What a shock [/sarcasm]

You don't like wrestling in MMA? Go watch K-1.

by Monday Morning Martial Artist on Jul 29, 2010 1:46 PM EDT reply actions  

Wow, this is horrible

As much as I like to talk about how little the fighters get paid in the UFC, Strikeforce etc. at least they get paid.

ALL OF YOU LISTEN TO MEE, DON'T DISTURB HERE, I WILL CALL POLICE CATCH YOU, DON'T COME TO MY BANGOLOW HOUSE, UNDERSTAND, O.K. I HATE ALL OF YOU.

by Chris Barton on Jul 29, 2010 1:46 PM EDT reply actions  

*sigh* This may be in litigation for years

so many parties involved, the finger pointing has already started, and it seems a fairly suspicious and complicated business model. I’d be surprised if the fighters all got paid their full contractual amount at any point in time. Colossal FUBAR.

I’d be very interested in some real investigative journalism if Zuffa did in fact interfere with sponsorship. That would be a clear cut tortuous interference case.

by Cocytus on Jul 29, 2010 1:50 PM EDT reply actions  

I’ll be damned if Zuffa/White had those intentions.

I am. I think. I will. - Ayn Rand

by vivero on Jul 29, 2010 1:54 PM EDT up reply actions  

On my end, I heard nothing about UFC interference regarding Impact FC

and I know of some talks regarding sponsorships with them, so I’m skeptical to see that used as a defense. I know of other similar issues that haven’t been publicized, and this isn’t one of them. It’s possible that it happened, but I’m not buying it this time.

Then again, that’s just lil old me.

"Someone is WRONG on the internet. What do you want me to do? LEAVE? Then they'll keep being wrong!"
-Randall Munroe

by pdl on Jul 29, 2010 1:55 PM EDT up reply actions  

yeah I think that's a red herring

one of the promoters threw out there as an excuse.

Follow me on Twitter @KidNate

by Kid Nate on Jul 29, 2010 2:45 PM EDT up reply actions  

That’s what I thought when I read that bit, someone read the stuff about Fedor and Tapout and decided to try and fly the same excuse. For the UFC to go after a promotion like that I would assume they would have to see them as some kind of threat and Impact FC was just a bit above the level of Wargods, I just don’t see it poping up on the UFC’s radar.

by who me on Jul 29, 2010 4:56 PM EDT up reply actions  

I’m totally making this up, but a sponsor could have also made that lie up when they realized that this was going to be a lot smaller event than the promoters originally though.

by Phildo on Jul 29, 2010 5:59 PM EDT up reply actions  

Fighters Need to Wisen Up

I don’t want to tell the fighters I told you so, but I can’t feel bad for them when this happens again and again. Not that this is an excuse for AMP and it was too good a pay day to pass up maybe, but if you don’t fight for a reputable organization or in an area with strong commissions then shit like this happens

by SES 84 on Jul 29, 2010 1:55 PM EDT reply actions  

both parties signed a contract and fighters must be paid. There is no freaking way we can blame the fighters on this.

I am. I think. I will. - Ayn Rand

by vivero on Jul 29, 2010 1:57 PM EDT up reply actions  

it’s just something to keep in mind though. 10k/10k from someone who will have the event and pay you is better than 25k/25k from someone that’ can stiff you.

by Phildo on Jul 29, 2010 2:00 PM EDT up reply actions  

Signing a contract doesn't mean blindly neglecting the context...

The civil judicial system is absolutely clogged with cases of abused contracts. Its a fact of life and of doing business. You and I could sign a contract right now where I promised to pay you $100k for cleaning my kitchen. Sure as hell doesn’t mean you’re going to get that money contractually or through litigation if I don’t have it. I’d would hope, for your case, that you consider the context of any contract before signing into it.

by Cocytus on Jul 29, 2010 2:08 PM EDT up reply actions  

For clarity, I’m not blaming the fighters for not getting paid. That is soley on the promotions shoulders. But they do have some responsibility in who they signed with.

by Cocytus on Jul 29, 2010 2:10 PM EDT up reply actions  

I would seriously doubt if Zuffa gave a damn about this promotion. Like 1,000 people showed up to each card, and I doubt if they did more than 10,000 PPV buys. If Zuffa felt threatened by them in the least, I’d be shocked.

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by Brian Mayes on Jul 29, 2010 2:30 PM EDT reply actions  

So...

Does this mean I have to pay my cable provider for the card? Or can I pay them 22.50, that is 75% after all..

by Bwills23 on Jul 29, 2010 2:41 PM EDT reply actions  

I highly doubt the UFC was interfering with sponsors in this case.

It just doesn’t seem worth the effort for the bad publicity.

by pud333 on Jul 29, 2010 2:50 PM EDT reply actions  

Whoever wrote that piece for CP doesn’t sound very sure of the UFC sponsor thing. Why not just call up the sponsors who supposedly backed out and ask them it it is true?

by smoogy2 on Jul 29, 2010 3:12 PM EDT reply actions  

The hamster passed out on the wheel coming up with those “witty” captions below the photos.

There's no depth to my shallowness.

by Earl Montclair on Jul 29, 2010 3:14 PM EDT up reply actions  

What are the gonna say now Kid?

They call you a UFC hater, but here you went against words of UFC hating.

by truck on Jul 29, 2010 3:33 PM EDT reply actions  

I see this happening with Shark Fights..

There are gonna be paying some serious cash for all the names on one card, yet they aren’t gonna be pulling in any significant PPV’s sooo I don’t know how they are gonna be able to finance this card. OR if they do, I can see it being one of their last shows

by Fedorable on Jul 29, 2010 3:43 PM EDT reply actions  

we'll see

unlike Impact FC, Shark Fights has a pretty good track record of doing smaller events.

Follow me on Twitter @KidNate

by Kid Nate on Jul 29, 2010 3:49 PM EDT up reply actions  

Don Frye fought for Shark Fights some time back and said they were very well run, paid on time and treated everyone very well. If Don Frye says you are on the up and up, that’s a good sign. That guy has no love lost for promoters.

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by Brian Mayes on Jul 29, 2010 4:15 PM EDT up reply actions  

Well, a key difference is that shark fights is happening in Texas, not Australia. Now people have had issues with the Texas commission before in regards to who they license, but they will do a better job of making sure people get paid than Australia.

by Phildo on Jul 29, 2010 4:04 PM EDT up reply actions  

This is the exact reason why I thought that athletic commissions made promtions give them the money for fighter pay up front (the whole reason they know what the payouts are is because they hold the money). I’m going to assume that a big part of the issue that happened here was that the Australian athletic commission is very different in what it does and doesn’t do from the athletic commissions in North America. I would imagine that TAC makes Shark Fights put up the fighter pay money before the event happens and if they can’t then they would stop the event.

by who me on Jul 29, 2010 5:03 PM EDT up reply actions  

that’s why shine was ultimately cancelled.

the commission didn’t have the money, and mayorga being pulled from the card caused the commission to realize that the money wasn’t coming.

by Phildo on Jul 29, 2010 6:49 PM EDT up reply actions  

Wonder if the fighters who signed with Impact FC knew that the Austrailian Athletic Commission wasn’t guaranteeing their purses in advance by making the company put money down up front?

by who me on Jul 29, 2010 10:16 PM EDT up reply actions  

Australian Athletic Commission

Firstly there is no Australian Athletic Commission and like USA, different states have different rules.

MMA in the state of Queensland, where the first Impact event was held is not regulated at all. It’s the wild wild west and luckily to date, the majority of events held have been by legitimate promoters who have the best interested of the sport in mind. Not always though. Tomorrow for example, there will bet open weight event held locally, and if the fights go to a decision, the crowd picks the winner. So a popularity contest as such. frowns

The state of NSW (where Sydney lies) is different and as of 1 January, 2010 all combat sports are looked after by the Combat Sports Authority. That Combat Sports Authority recently has been in the news as being the Commission that denied Paul Briggs the license to fight Danny Green. The fighters fought in Perth, Western Australia where their commission is less lenient and well, you just have to google to find out what happened if you don’t already know.

I am not 100% sure though if the combat sports authority makes promoters put money down beforehand, however am doubtful that they do.

It has actually been a bad few weeks for Andrew McManus who has also been involved in one of biggest controversies in Australian sport, as being part of the the Melbourne Storm salary cap fiasco. Will be interesting to see if the mainstream media in Australia catch on to this ‘impact news’ and choose to run it as well.

Full Tilt Poker is a sponsor that I heard was supposed to sponsor the Brisbane show but was pulled at last minute. Go back and watch the fights. No sponsor in the middle of the cage.

www.fightnewsaustralia.com

by Chris Postupalski on Jul 30, 2010 9:20 AM EDT reply actions  

I was using Australian Athletic Commission as a generic term as I didn’t know exactly where the events were being held and how things were broken down there. Thanks for the information on how they are broken down.

Full Tilt Poker doesn’t work as a sponsor for the UFC so the UFC would have little sway with them anyway.

by who me on Jul 30, 2010 10:53 AM EDT up reply actions  

I hear that Full Tilt were negotiating to get back into the UFC. If that is the case, then UFC does have a sway over them.

by Chris Postupalski on Jul 30, 2010 8:24 PM EDT up reply actions  

...

From the sounds of things Mcmanus is in a bit of financial strife, see this article:

http://www.smh.com.au/entertainment/music/sour-note-at-axed-concert-prompts-lawsuit-20100731-110je.html

Sounds like he’s really clutching at straws to recoup a bit of cash

by LDUBU on Jul 31, 2010 10:45 AM EDT reply actions  

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