‘No evidence’ McIlroy tried to escape contract
There is “not a shred of evidence” Rory McIlroy was involved in some conspiracy with others to plan his exit from his representation contract with his former sports management company, counsel for the golfer told the High Court yesterday.
Michael Cush said such a claim by a lawyer for Horizon Sports Management and two other companies was “implausible”. Mr McIlroy, who first signed the agreement in December 2011, signed a third agreement with Horizon in March of 2013. Mr McIlroy sought to repudiate the contract and brought legal proceedings seeking to have it cancelled.
The court is hearing an application by Horizon for inspection of mobile phones, and better disclosure of material allegedly held Mr McIroy and others in advance of the full hearing.
Mr Cush said Horizon’s application for the right to forensically inspect the phones held by Mr McIlroy over a three-year period had effectively been dealt with during another hearing earlier this year.
This latest application was “dressed up” as seeking inspection of phones when it was in fact an application for further discovery of documents previously dealt with by the High Court in July, counsel said. Horizon says Mr McIlroy and others close to him deliberately wiped data on their phones which could be relevant to the case.
Mr McIlroy is suing the Dublin-based Horizon, with Gurteen Ltd, with a registered address in Malta, and Canovan Management Services, also based in Dublin, claiming the agreement is unenforceable on grounds including alleged undue influence. He claims he was just 22 at the time with no business experience and without legal advice. The defendants deny the claims and have counter-claimed for money allegedly outstanding under the agreement, for off-course revenues.
They estimate they lost $9m (about €7.2m) in commission and seek damages for loss of future revenues. Paul Sreenan, for the defendants, said at the opening of the hearing that barely was the ink dry on the March 2013 agreement but Mr McIlroy had set up his own sports management company, “Rory McIlroy Inc”.
This was in circumstances where Horizon had provided 365-day-a-year services during a time when Mr MIroy’s wealth was “significantly enhanced” and where a $100m, five-year contract with sports giant Nike had been set up, counsel said.
His personal assistant Sean O’Flaherty left Horizon to work for the new firm, as did consultant Donal Casey who later became CEO of Rory McIlroy Inc, counsel said. Despite the existence of legal proceedings, Mr McIlroy, his father Gerry, Mr O’Flaherty, and Mr Casey destroyed relevant data on their mobile phones by “factory resetting” them, thereby wiping them, counsel also said.
Yesterday, Michael Cush, for Mr McIlroy, said the application was “wholly misplaced” and should be refused. Mr McIlroy had done nothing wrong. It was criticism “made against a backdrop of an allegation of conspiracy that he planned his exit from Horizon for which there is not a shred of evidence”, counsel said.
The allegation was “speculation and conjecture”. There was a determination on the part of Horizon to mischaracterise Mr McIlroy as having not complied with a previous court order and that was wholly wrong, Mr Cush said. He had fully complied. In reply, Maurice Collins, for the defendants, said there had been significant destruction of data and this was not an inference or speculative assertion.
It was admitted by Mr McIlroy that data had been destroyed, innocently or unknowingly, he said. It was in everyone’s interests, including the interests of justice, that he should make the phones available for forensic examination but had refused to do so, counsel said.
The hearing continues.
