Justice Department To Sue Lance Armstrong for Fraud & $40 Million?

Now here’s a contract lawsuit which Florida has not seen the likes of: the Wall   Street Journal reports that the USJustice Department is now permitted to sue the former cycling great, Lance Armstrong.

• A report stated that a US federal court judge denied Lance Armstrong’s motion to dismiss the Justice Department’s lawsuit.
• The Wall Street Journal reports that the Justice Department can proceed with a civil lawsuit against Lance Armstrong.  Here’s the link :  http://online.wsj.com/articles/governments-false-claims-case-against-lance-armstrong-to-proceed-1403214546?KEYWORDS=lance+armstrong
• Evidently the US Postal Service paid Lance Armstrong’s cycling team $40 Million from 1998-2004
• HALF of this money supposedly went to Lance Armstrong personally

What Did the Endorsement Contract Say: Was there a morals clause?

• Which makes you wonder what their contract said.
• Can you insert a contract provision which states that one party to the contract is not lying?  Not necessary, suggests most Florida business litigation lawyers:  in Florida contracts, for example, there is an implied duty of good faith and fair dealing
• But typically, in a Florida contract lawsuit, one party has to first allege that there was some other wrong or cause of action…. and then you can also bring a cause of action for breach of the duty of good faith and fair dealing
• When assessing damages, one has to wonder….. during all those years, didn’t the US Postal Service get some benefit from having Lance Armstrong ride with the US Postal Service jersey?  (Maybe, maybe not, but if this proceeds to trial, you can bet this will be an argument to reduce any potential damages).  In Florida, damages must be PROVEN, not guessed at, and there can be some “offset”.+

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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