Inter-Continental Promotions, Inc. v. William B. MacDonald Jr., and New Amsterdam Casualty Company

367 F.2d 293, 1966 U.S. App. LEXIS 4760
CourtCourt of Appeals for the Fifth Circuit
DecidedOctober 10, 1966
Docket22685_1
StatusPublished
Cited by17 cases

This text of 367 F.2d 293 (Inter-Continental Promotions, Inc. v. William B. MacDonald Jr., and New Amsterdam Casualty Company) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Inter-Continental Promotions, Inc. v. William B. MacDonald Jr., and New Amsterdam Casualty Company, 367 F.2d 293, 1966 U.S. App. LEXIS 4760 (5th Cir. 1966).

Opinions

WISDOM, Circuit Judge:

Before a small crowd in Miami Beach, Florida, February 25, 1964, Cassius Clay (Muhammad Ali) knocked out “Sonny” Liston in the seventh round of a lackluster prize fight for the heavyweight championship of the world. Inter-Continental Promotions, Inc. owned both fighters. William B. MacDonald, the on-the-scene promoter, had agreed to pay Inter-Continental $625,000 for the live gate rights. Unfortunately for MacDonald, the gate receipts amounted to only $225,000. He turned over this amount to Inter-Continental. Inter-Continental sued for the balance. MacDonald and his surety now say that it was illegal to promote a prize fight in Florida, and that the contract was illegal on its face. The district court, agreeing with the defendants, dismissed the complaint. We disagree.

******

■ The contract between the parties called for MacDonald “to stage and handle the [295]*295live aspect of [the] promotion”. The two opening paragraphs of the contract provide:

1. Inter-Continental hereby agrees to produce Charles “Sonny” Liston and Cassius M. Clay, Jr., on Tuesday, February 25,1964, at an hour to be named, at the Miami Beach Convention Hall in Miami Beach, Florida, where they will then and there engage in a boxing contest with each other, for fifteen rounds or less, for the Heavyweight Boxing Championship of the World.
2. MacDonald shall have the right and obligation to promote said boxing contest in the manner he deems fit; to print and sell admission tickets thereto; to collect the proceeds of ticket sales; to arrange all seating; to make whatever arrangements he deems necessary for the press; to pay all local, state, and federal taxes on admissions; to arrange and pay for the undercard preliminary fights; to pay all fees and expenses of the controlling boxing commission ; to advertise and promote said live gate; to make press releases; and, to do any and all things of that kind and nature reasonably necessary for the enhancement of said live gate.

MacDonald agreed to post a bond of $300,000 insuring his performance. New Amsterdam Casualty provided this bond.

The contract required MacDonald to-pay the sum of $625,000 “upon the completion of the boxing contest”. At the time MacDonald made his payment of $225,000, apparently he assumed that the contract was lawful.

Inter-Continental notified New Amsterdam of MacDonald’s default. New Amsterdam refused to pay the $300,000 allegedly due under the performance bond. Inter-Continental then brought this diversity action for breach of contract against MacDonald and New Amsterdam.

The defendants moved to dismiss the original complaint on the ground that Florida law makes it a felony “to voluntarily engage in” or “to render aid” in “any pugilistic exhibition, fight or encounter * * * [for] which any admission fee is charged” 1 2except “ * * * boxing exhibitions held by and under the auspices of the American Legion, disabled American veterans, veterans of foreign wars of the United States, * * * ” or one of several other specifically approved organizations.8

Inter-Continental moved to amend its complaint. The amendment alleges facts bringing the contract within the exception permitting “boxing exhibitions” to be held under the auspices of certain organizations :3

“Said contract concerned the holding and conducting of a pugilistic contest which was to be held on February 25, 1964 between Charles ‘Sonny’ Liston and Cassius M. Clay, Jr. Said contest was held by and under the auspices of the Veterans of Foreign Wars of the United States and was licensed and/or [296]*296permitted by the City of Miami Beach, Florida, as a pugilistic exhibition held under the auspices of the Veterans of Foreign Wars of the United States. In this connection, plaintiff specially pleads Florida Statutes Annotated Section 548.03 as being the statutory basis for (a) the legal holding and conducting of said pugilistic encounter, and (b) the legality of said contract.”

The district court did not rule on this motion for leave to amend nor refer to it in the order dismissing the complaint.

The court gave two reasons for its order. First, the “contract between the parties called for the promotion of a prize fight”, not a “boxing exhibition” within the meaning of the exception provided in Section 548.03. Second, even if it was a “boxing exhibition, none of the parties to the contract are within the exception provided in Section 548.03” because none is a member of any of the exempted organizations listed in that section of the law. “Nor does the contract provide that the fight shall be held under the auspices of one of the exempted organizations.”

I.

There is no doubt that a contract to perform an illegal act is void and will not be enforced in Florida courts. Local No. 234, etc. v. Henley & Beckwith, Inc., 1953, Fla., 66 So.2d 818; Lassiter & Co. v. Taylor, 1930, 99 Fla. 819, 128 So. 14, 69 A.L.R. 689. But a close look at the statute’s language and legislative history compels the conclusion that the Florida legislature regards a prize fight as a “pugilistic exhibition”; a prize fight with gloves as a permissible “boxing exhibition”, if it meets certain requirements.

A. Section 548 was enacted in 1895. Section 548.01 is entitled, “Prize fighting, pugilistic exhibition; penalty.” It reads:

Any person who shall voluntarily engage in any pugilistic exhibition, fight or encounter, with or without gloves, between man and man, or in an exhibition or fight between man and bull, or between man and any other animal, for money or anything of value, or upon the result of which any money or anything of value is to be collected, acquired, bet or wagered, or to see which any admission fee is charged, directly or indirectly, shall be punished by a fine of not less than two thousand five hundred, nor more than five thousand dollars, or by imprisonment for not more than five years.

The statutory definition, originally enacted without provisos, is contained in Section 548.03:

By the term “Pugilistic exhibition, encounter or fight, with or without gloves,” as used in this chapter, is meant any voluntary fight or personal encounter, by blows, between two or more persons, for money, prize of any character, points, distinction or fame, or other thing of value, or upon the results of which any money or thing of value is bet or wagered, or for which an admission fee is charged, directly or indirectly. (Emphasis added.)

The defendants construe the definition as referring to three different kinds of pugilism: (1) exhibition, (2) encounter, and (3) fight. Or at least two: (I) exhibition and (2) encounter or fight. They rely on Webster’s New International Dictionary (2d Ed.) to show that “fight” means “a violent physical struggle for victory” and “encounter” means “a meeting with hostile purpose”. They make no reference to Webster’s definition of “exhibition” as “any public show; a display as of feats of skill”. By exclusion, the defendants reach the result that a “pugilistic exhibition” is not a “fight” or an “encounter” and therefore does not apply to prize fights.

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Cite This Page — Counsel Stack

Bluebook (online)
367 F.2d 293, 1966 U.S. App. LEXIS 4760, Counsel Stack Legal Research, https://law.counselstack.com/opinion/inter-continental-promotions-inc-v-william-b-macdonald-jr-and-new-ca5-1966.