12.15pm
The battle between neighbours on the America's Cup 'Syndicate Row' in Auckland will not be going to court after all.
The Italian Prada campaign, winner of the 2000 challenger series, says it has dropped legal action against United States billionaire Larry Ellison's Oracle Racing which is based next-door.
The dispute related to
a barge belonging to Oracle, which Prada claimed had been positioned on the boundary line between the two syndicates' bases, breaching Prada's privacy.
In response to the High Court action, Oracle Racing accused Prada of violating the Protocol of the XXXI America's Cup.
Article 10 of the Protocol states that any challenger who resorts to court or tribunal other than the Arbitration Panel or any other dispute body agreed by the Royal New Zealand Yacht Squadron and the Challenger of Record will be in breach of the protocol.
Prada said today that it still believed the matter did not fall under the jurisdiction of the AC Arbitration Panel, but it was dropping the legal challenge "in the interest of the event and in order to avoid a sterile discussion of issues having no relation with the substance of the sport".
Oracle has yet to say if it will drop its protest to the arbitration panel, alleging that Prada broke the protocol by taking legal action against another syndicate.
The AC Arbitration Panel is refusing to rule on disputes until they are guaranteed not to be sued.
Map of Viaduct Basin showing team bases
nzherald.co.nz/americascup
