The USTA has filed a claim against Olympus, which sponsors the U.S. Open Series, claiming the company has backed out of its sponsorship agreement a year early due to category conflicts with Panasonic, reports Courthousenews.com.
The USTA is claiming Olympus is trying to back out of sponsoring the 2011 U.S. Open Series because it wants to save the $11.7 million it will cost. The USTA is also claiming Olympus manufactured a dispute with Panasonic to breach Olympus' exclusive contract for camera products. The USTA says the issues stem from its collaboration this year with CBS, DirecTV and Panasonic to film and broadcast U.S. Open matches in 3D.
Olympus apparently complained that a Panasonic executive made statement about its products’ 3D capabilities that crossed the line.
"Because Panasonic is expressly identified in the Olympus agreement as not being a 'competitive company' with regard to Olympus and because the scope of the two sponsorship agreements are markedly different, there is no conflict between the two sponsorships," the USTA complaint reads.
Olympus has apparently pulled of its USTA contract, which runs through 2013. The USTA is seeking $11.65 million for breach of contract, and a declaratory judgment that it did not violate Olympus' exclusive sponsorship rights.—Matthew Cronin