The Canadian Soccer Players’ Association (CSPA) – the union that represents players on the senior women’s national team – has filed a $40 million lawsuit against 15 current and former Canada Soccer board members. TSN reports.
On February 16, the CSPA filed a statement of claim against Canada Soccer in the Ontario Superior Court of Justice in Toronto, and on February 20, a statement of claim against the 15 board members was filed in the same court.
The statement of claim sets out the union’s arguments for the board members’ alleged negligence, while the statement of claim is a request for the court to allow the CSPA to sue the board members on behalf of the association.
In 2018, Canada Soccer’s board members signed an agreement with private company Canadian Soccer Business (CSB) that transferred Canada Soccer’s marketing and sponsorship rights to the CSB for an annual fee.
The lawsuit alleges the board members’ deal breached their fiduciary duty to Canada Soccer.
“Each of the 2018 Canada Soccer Directors owed Canada Soccer a fiduciary duty to act honestly and in good faith with Canada Soccer’s best interests in mind,” the lawsuit says. “However, instead of considering the best interests of Canada Soccer when approving the CSB agreement, they focused on the best interests of CSB, a private, for-profit company.”
Defendants named in the lawsuit include Canada Soccer’s president from 2017 to 2020, Steve Reed, the association’s then vice-president from 2017 to 2020, Nick Bontis, and Canada Soccer’s current president and board member since 2012, Charmaine Crooks.
“We have been informed that the Canadian Soccer Players’ Association has commenced legal proceedings against the members of the 2018 Canada Soccer Board,” a Canada Soccer spokesperson wrote in an email to TSN. “Our organization is currently seeking advice on this matter.”
The Canadian women’s soccer team won the gold medal at the 2020 Summer Olympics in Tokyo and has qualified for the Paris Summer Games, where they will have a chance to defend their title.
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