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13 July 2010  
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Yachting rivals ordered to August 10 court hearing 
 31/07/2009
 
 
A New York judge on Thursday ordered the feuding rivals for the next America's Cup yachting race back in court for an August 10 hearing on race guidelines.

New York State Supreme Court Justice Shirley Kornreich directed defending champion Alinghi and challenger BMW Oracle to present arguments about the timeline for BMW Oracle to produce official certification for the boat it plans to race.

Switzerland-based Alinghi, which is backed by biotechnology billionaire Ernesto Bertarelli and the Societe Nautique de Geneve, or SNG, has argued BMW Oracle should have already made the certificate, the Custom-House Registry, available.

BMW-Oracle, which sails under the colors of the Golden Gate Yacht Club and is backed by software executive Larry Ellison, has argued Alinghi has tried to secure an unfair advantage.

"The court ... finds that a hearing is necessary to determine exactly what would be practicable or reasonable," the ruling said.

The two rivals for yachting's top prize have been locked in a legal dispute for more than two years over the terms of the 33rd edition of the race.

Kornreich also ruled that Alinghi could change certain racing rules up until the last minute and that Alinghi was permitted under the Deed of Gift, which sets out the terms of the event, to employ an engine to trim its sails.

"This decision reflects (Kornreich's) clear understanding of the defender's rights under the Deed of Gift, which makes it the duty of Societe Nautique de Geneve to set the rules for the upcoming 33rd America's Cup," Fred Meyer, Alinghi's vice- commodore, said in a statement.

BMW Oracle said in a statement it looked forward to "clear the air" on the custom-house registry issue, but added it was disappointed by other parts of Kornreich's ruling.

"We are disappointed that the court has said that SNG can change the other racing rules at any time up to the start of the match," the statement said, adding the team was "reviewing our options in this regard."

Under America's Cup rules, a challenger proposes to race the defending champion, and together they plan the terms of the next race.

The next America's Cup competition had been scheduled for this year and is now scheduled to begin on February 8, 2010. Alinghi has until August 8 to announce its chosen venue.

Alinghi initially agreed to race Club Nautico Espanol de Vela, or CNEV, a Spanish team that formed as a club just days before submitting its challenge for the America's Cup.

But BMW-Oracle contested CNEV's challenge in a lawsuit filed in 2007. New York state's highest court earlier this year rejected the Spanish team as the challenger and picked BMW-Oracle as the official challenger.

(Source: Reuters)
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