When Austin cyclist Lance Armstrong won a Tour de France, he received a bonus from a promotional company. But after Armstrong admitted he used performance-enhancing drugs to win the races, SCA Promotions wants its money back.
Now Armstrong has turned to the Texas Supreme Court to stop the repayment of at least $12 million to the company.
SCA Promotions sued Armstrong in 2013, but the dispute goes back to 2005 when SCA investigated allegations of drug use among the cyclists, and Armstrong gave sworn testimony that he did not dope. SCA settled the matter in arbitration, and agreed to pay Armstrong the bonus in 2006.
SCA wants to reopen the settlement and have Armstrong pay back the bonuses.
According to an article in Sports Illustrated, the arbitration panel agreed to reconsider the case. In March, Armstrong asked the Texas Fifth District Court of Appeals in Dallas to stop the proceedings.
However, on April 24, the appeals court ruled that it does not have jurisdiction at this stage of an arbitration matter.
''As a general matter, an arbitration must be complete before appellate review is appropriate,'' the court wrote in its opinion.
Armstrong's attorneys insist state law doesn't allow SCA to reopen the original settlement, which included a clause that said ''no party may challenge, appeal or attempt to set aside'' the payment and that it was ''fully and forever binding.''
SCA said the ruling by the appeals court allows the arbitration to proceed. If the panel rules against him, state law will allow Armstrong to appeal any final judgment.
On May 2, Armstrong took his case to the Texas Supreme Court, asking the court to “issue a new order permanently staying the reconvened arbitration.”