WWE: New Potential Lawsuit Against WWE Directors, XFL Lawsuit Update, Two Dimes Release Update

WWE

Jun 17, 2022

WWE Facing Potential New Lawsuit Over Breach of Fiduciary Duties Allegations

WWE reportedly is currently facing the possibility of a new class-action lawsuit against the company over allegations that WWE Directors and officers breached their fiduciary duties, according to PWInsider.

Mike Johnson reported that law firm Scott+Scott Attorneys at Law LLP filed a notice stating that they are investigating WWE over claims that several of the company’s Board of Directors and senior management officers failed to “manage WWE in an acceptable manner, in breach of their fiduciary duties to WWE” resulting in WWE and their shareholders suffering damages as a result.

This lawsuit stated that the Wall Street Journal’s recent report exposing an on-going internal investigation against WWE CEO and Chairman Vince McMahon over his misconduct that had been kept secret from WWE’s shareholders was the cause for this lawsuit.

Official press release:

WORLD WRESTLING ENTERTAINMENT, INC. INVESTIGATION ALERT: Scott+Scott Attorneys at Law LLP Investigates WWE’s Directors and Officers for Breach of Fiduciary Duties – WWE
June 16, 2022 05:25 PM Eastern Daylight Time
NEW YORK–(BUSINESS WIRE)–Scott+Scott Attorneys at Law LLP (“Scott+Scott”), a national securities and consumer rights litigation firm, is investigating whether certain directors and officers of World Wrestling Entertainment, Inc. (“WWE”) (NYSE: WWE) breached their fiduciary duties to WWE and its shareholders. If you are a WWE shareholder, you are encouraged to contact attorney Joe Pettigrew for additional information at (844) 818-6982, or jpettigrew@scott-scott.com.
Scott+Scott is investigating whether members of WWE’s board of directors or senior management failed to manage WWE in an acceptable manner, in breach of their fiduciary duties to WWE, and whether WWE and its shareholders have suffered damages as a result.
On June 15, 2022, the Wall Street Journal reported that the WWE board was investigating an alleged $3 million settlement that CEO Vince McMahon agreed to pay in January 2022 to a former WWE employee with whom he allegedly had an affair.
What You Can Do
If you are a WWE shareholder, you may have legal claims against WWE’s directors and officers. If you wish to discuss this investigation, or have questions about this notice or your legal rights, please contact attorney Joe Pettigrew toll-free at (844) 818-6982 or jpettigrew@scott-scott.com.
About Scott+Scott Attorneys at Law LLP
Scott+Scott has significant experience in prosecuting major securities, antitrust, and consumer rights actions throughout the United States. The firm represents pension funds, foundations, individuals, and other entities worldwide with offices in New York, London, Amsterdam, Connecticut, California, and Ohio.

Vince McMahon XFL Lawsuit Update

As noted before, former XFL Commissioner Oliver Luck is currently suing Vince McMahon over claims of wrongful termination. McMahon filed a countersuit alleging that Luck defied his orders on league personnel decisions and was derelict with his duties on the job.

Pro Football Talk reported that mediators met with representative for Luck and McMahon this past Wednesday for talks regarding a potential settlement deal. These talks reportedly ended after nine minutes with no deal made meaning that the lawsuit will now go ahead to a jury trial on July 11th.

Dave Meltzer reported in this week’s Wrestling Observer Newsletter that those close to the situation stated that neither side was close on terms for a potential settlement deal. Those close to Luck’s side stated that Luck currently believes he will win the case and did not want to settle for anything less than $24 million. Those close to McMahon’s side stated that they feel they will win regardless of the court’s decision since either McMahon will win and have to pay nothing or appeal based on the idea that the presiding judge shouldn’t have thrown out some of McMahon’s defenses like the phone calls in dispute.

Troy “Two Dimes” Donovan Comments on WWE Release, Reason for Release Revealed

As noted before, NXT talent Troy “Two Dimes” Donovan was released from WWE this past Sunday due to an unknown policy violation issue.

Donovan confirmed earlier this week on Twitter that the reports of his released were true. Donovan stated:

“Thank you to everyone who’s reached out. Mistakes happen and lessons are learned. A bump in the road doesn’t define me though. I’ll be back.”

In regards to the “policy violation” surrounding his release, Dave Meltzer reported in this week’s Wrestling Observer Newsletter that Donovan had been fired after failing a recent drug test.