OneWorld forfeits point for having competitors' secrets

By HELEN TUNNAH

OneWorld Challenge did have significant and confidential design plans belonging to Team New Zealand, but the America's Cup Arbitration Panel has accepted their word that it was not used.

The Panel today penalised the Seattle syndicate one competition point for breaking Cup rules by having three other syndicates' design secrets.

OneWorld will forfeit a point gained from a race won in the initial round robins of the Louis Vuitton challenger series which starts on October 1.

The syndicate escaped being fined, because the Panel said a monetary punishment would not be serious enough, and will not be ruled ineligible to challenge Team New Zealand for the America's Cup, should they win the Louis Vuitton Cup.

The one point fine could be significant, as the two Louis Vuitton Cup round robins will rank the challengers for the selection of quarter-final opponents.

The Arbitration Panel released its long-awaited decision this morning after Team New Zealand and the nine challenging syndicates agreed not to take legal action against the panel over decisions.

OneWorld Challenge had admitted to the Panel that it did have some design data from Team New Zealand, and two other syndicates, but asserted the material was not significant, was gained inadvertently and was never used.

In its ruling the Panel said documents OneWorld admitted it had include Team New Zealand measurement certificates for their winning 2000 boats, carbon fibre material certificates, tank-testing photographs and a general deck layout plan for NZL60.

The syndicate also admits having information from Prada's 2000 sail design programme and design drawings from former syndicate America True, whose boats were bought by OneWorld.

Former Team New Zealand designer Laurie Davidson, now a OneWorld designer, said he had briefly and casually shown the tank-testing photographs to others at his new syndicate. However the Panel accepted Mr Davidson's assertion that he had not worked for Team New Zealand past the end of his 2000 contract, so had broken no Cup rules regarding designers transferring between syndicates.

Another former Team New Zealand designer with OneWorld, Ian Mitchell, said he had drawn up a deck layout plan "as an initial point of reference for discussion by a group of OneWorld Challenge designers and crew" based on NZL60.

He said he did have a copy of a Team New Zealand file but the information could have been obtained by publicly available photographs of the boat. Team New Zealand disputed his evidence.

In its summing up, the five-member Panel said the position of another syndicate's design information must be a breach of the Cup's Protocol.

"The Panel accepts the unchallenged evidence given by the OWC witnesses to the effect that the material wrongfully in their position was not utilised by OWC for design purposes.

"However...it may be impossible for another participant to prove that that information has been used."

The Panel said OneWorld's culpability may lie in not ensuring its new design team did not have anyone else's information.

In finalising its penalty, the Panel accepted as a mitigating factor that OneWorld had referred the matter to it. As with all cases taken to the Panel, OneWorld as the applicant will pay costs, which total US$13,500.

The five-member panel comprises two New Zealanders, retired High Court judge Sir David Tompkins and High Court Master John Faire, two European lawyers, Professor Henry Peter and Donald Manasse, and is chaired by retired Australian judge Michael Foster.

OneWorld chief executive Gary Wright said the syndicate always believed it was doing the right thing by bringing the issues before the panel to get them resolved once and for all.

"They are issues that many teams will face in the years ahead as the Cup's dimension becomes increasingly multi-national."

He said it was good to put the issues behind them and he thanked the Panel for their "diligent investigation".

"We accept the panel's decision and we are thrilled to be participating in what we believe will be a tremendous Louis Vuitton Cup in just seven weeks time."


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